Adani Enterprises Gains 10.26%: 6 Key Factors Driving the Week’s Momentum

2 February 2026: Weak Start Amid Broader Market Decline

Adani Enterprises began the week on a subdued note, closing at ₹1,994.70, down 1.22% from the previous close. This decline mirrored the broader market, with the Sensex falling 1.03% to 35,814.09. Trading volume was modest at 53,094 shares, reflecting cautious investor sentiment ahead of anticipated quarterly results and sector developments.

3 February 2026: Sharp Gap Up and Intraday Rally on Strong Market Interest

The stock opened sharply higher at ₹2,150, representing an 8.66% gap up from the prior close, signalling strong buying interest. It surged to an intraday high of ₹2,233.40, marking an 11.38% increase, before closing at ₹2,201.70, up 10.38% on the day. This performance significantly outpaced the Sensex’s 2.63% gain and the diversified sector’s 4.22% rise.

Heavy trading volumes of 390,678 shares and a total traded value exceeding ₹5,057 crores underscored robust market participation. Despite this, delivery volumes declined sharply by 48.76% to 2.97 lakh shares, suggesting that much of the activity was driven by short-term traders and institutional flows rather than long-term holders.

Options market activity was particularly notable, with a surge in both call and put option volumes at strikes near ₹2,100 to ₹2,300 for the 24 February expiry. Call options at ₹2,200 and ₹2,300 strikes saw turnovers of ₹3,294.08 lakhs and ₹1,158.67 lakhs respectively, while put options at ₹2,100 and ₹2,200 strikes recorded significant volumes and open interest, indicating a market divided between bullish speculation and bearish hedging.

4 February 2026: Stabilised Quarterly Performance and Technical Momentum Shift

Adani Enterprises reported a stabilised quarterly financial performance for the period ended December 2025. Profit before tax excluding other income rose 42.0% to ₹643.99 crores, while profit after tax reached a record ₹1,136.56 crores with an EPS of ₹45.99. Cash and cash equivalents strengthened to ₹9,028.28 crores, providing a strong liquidity buffer.

However, challenges persisted with a 29.41% decline in nine-month PAT to ₹2,302.13 crores and a low return on capital employed of 6.64%. The debt-to-equity ratio increased to 2.03 times, signalling elevated leverage. Non-operating income contributed over half of the quarterly profit before tax, raising concerns about earnings sustainability.

The stock closed at ₹2,201.70, up 10.38% on the day, supported by a technical momentum shift from strongly bearish to mildly bearish. Despite the rally, key indicators such as MACD and KST remained bearish, while RSI and Dow Theory showed no clear trend, suggesting cautious optimism amid mixed signals.

5 February 2026: Continued Gains Amid Mixed Market Signals

The stock extended gains modestly, closing at ₹2,236.35, up 0.34%. Trading volume declined to 91,972 shares, reflecting a more measured market approach. The Sensex fell 0.53% on the day, highlighting the stock’s relative strength. Technical indicators continued to show a mixed picture, with the stock trading above its 5-day, 20-day, and 50-day moving averages but remaining below longer-term averages.

6 February 2026: Mixed Quarterly Results and Slight Price Pullback

Adani Enterprises reported mixed quarterly results, signalling a shift from a flat to a negative financial trend. While quarterly profit before tax excluding other income and EPS showed robust growth, nine-month PAT and ROCE deteriorated, and leverage increased. Non-operating income remained a significant contributor to profits.

The stock closed slightly lower at ₹2,226.55, down 0.44%, trading within a range of ₹2,201.70 to ₹2,238.95. Despite the marginal decline, the stock maintained a strong weekly gain of 10.26%, outperforming the Sensex’s 1.51% rise. Long-term returns remain exceptional, with a ten-year gain exceeding 3,000% compared to the Sensex’s 240%.

Key Takeaways

Strong Weekly Outperformance: Adani Enterprises gained 10.26% over the week, significantly outpacing the Sensex’s 1.51% rise, driven by a sharp gap-up opening and sustained intraday rallies.

Robust Options Market Activity: Heavy volumes in both call and put options near key strike prices indicate a market balancing bullish speculation with bearish hedging ahead of the 24 February expiry.

Mixed Financial Signals: Quarterly results showed strong profit growth and cash reserves but were tempered by declining nine-month PAT, low capital efficiency, and rising leverage, reflecting operational challenges.

Technical Momentum Shift: The stock’s technical stance improved from strongly bearish to mildly bearish, with short- to medium-term moving averages supporting gains, though longer-term indicators remain cautious.

Investor Caution Evident: Declining delivery volumes and a low Mojo Score of 37.0 with a Sell rating highlight ongoing investor prudence despite recent price strength.

Conclusion

Adani Enterprises Ltd’s week was characterised by a notable price rally and strong market interest, particularly on 3 February, when the stock surged over 10% amid heavy trading and options activity. The company’s stabilised quarterly performance and improved technical momentum provided further support, although mixed financial indicators and elevated leverage underscore persistent risks. The divergence between bullish short-term price action and cautious fundamental ratings suggests a complex outlook, where momentum traders may find opportunities but longer-term investors should remain vigilant. Overall, the stock’s significant weekly outperformance versus the Sensex reflects renewed investor focus, yet the path ahead is likely to be shaped by upcoming corporate developments and broader market conditions.

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