Adani Enterprises Sees Surge in Call Option Activity Amid Mixed Market Signals

Intense Call Option Trading Highlights Investor Sentiment

On the expiry date of 27 January 2026, Adani Enterprises recorded the most active call option contracts among its peers, with 4,798 contracts traded at the ₹2,000 strike price. This activity generated a turnover of approximately ₹89.10 lakhs, signalling significant speculative interest. The open interest stood at 1,256 contracts, indicating sustained positions held by traders ahead of expiry. The underlying stock closed at ₹1,940.5, just ₹59.5 shy of the strike price, suggesting that traders are betting on a near-term upside move to breach this level.

The surge in call options at a strike price above the current market price reflects a bullish stance among option buyers, anticipating a rally in the stock price. However, this optimism contrasts with the broader technical and fundamental indicators that suggest caution.

Stock Performance and Technical Indicators Paint a Mixed Picture

Adani Enterprises opened the trading session with a gap up of 2.4%, reaching an intraday high of ₹1,950, a 4.6% increase from the previous close. This outperformance was notable against the diversified sector’s gain of 2.58% and the Sensex’s modest 0.37% rise. Despite this, the stock remains close to its 52-week low, trading just 4.75% above ₹1,848, highlighting persistent downward pressure over the past year.

Technical analysis reveals that Adani Enterprises is trading below its key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a bearish trend. The weighted average price of traded volumes skewed towards the lower end of the day’s range, indicating that sellers may still dominate near-term price action. However, rising investor participation, as evidenced by a delivery volume of 20.21 lakh shares on 23 January, which surged by 487.63% compared to the five-day average, suggests growing interest in the stock, possibly from bargain hunters or short-term traders.

Fundamental Outlook and Mojo Score Downgrade

MarketsMOJO’s latest assessment downgraded Adani Enterprises from a Sell to a Strong Sell on 1 December 2025, reflecting deteriorating fundamentals and heightened risk. The company’s Mojo Score stands at a low 20.0, with a Market Cap Grade of 1, despite its large-cap status with a market capitalisation of ₹2,15,001 crore. This downgrade signals concerns over earnings quality, growth prospects, or sectoral headwinds impacting the diversified conglomerate.

Investors should weigh the bullish options activity against these fundamental red flags. While the options market often anticipates short-term price moves, the underlying financial health and sector dynamics remain critical for sustained gains.

Sector Context and Comparative Performance

The diversified sector, to which Adani Enterprises belongs, has gained 2.58% on the day, outperforming the Sensex’s 0.37% rise. This relative strength in the sector contrasts with Adani Enterprises’ mixed signals, where despite a 3.92% one-day return, the stock’s technicals and fundamental scores remain weak. The sector’s broader gains may be driven by other constituents with stronger earnings momentum or more favourable valuations.

Liquidity metrics further support active trading in Adani Enterprises, with the stock’s liquidity sufficient to handle trade sizes of up to ₹9.92 crore based on 2% of the five-day average traded value. This ensures that institutional and retail investors can transact sizeable volumes without significant price impact, which may partly explain the elevated options activity.

Expiry Patterns and Investor Positioning

The expiry date of 27 January 2026 has attracted concentrated call option interest at the ₹2,000 strike price, just above the current market price. This suggests that traders are positioning for a potential breakout above this level before expiry, which could trigger further short-covering or momentum buying. However, the relatively modest open interest of 1,256 contracts indicates that while activity is high, the overall commitment is not excessively large, leaving room for volatility as expiry approaches.

Investors should monitor the stock’s price action closely in the coming sessions, especially around the ₹2,000 mark, to gauge whether the bullish options sentiment translates into actual price gains or if the stock succumbs to its bearish technical backdrop.

Balancing Bullish Options Activity with Caution

While the surge in call option contracts at the ₹2,000 strike price signals optimism among traders, the broader market indicators counsel prudence. The stock’s proximity to its 52-week low, combined with its trading below all major moving averages, suggests that the upside may be limited without a fundamental catalyst. The Strong Sell rating and low Mojo Score reinforce the need for investors to carefully assess risk before committing capital.

Moreover, the divergence between options market bullishness and fundamental weakness is not uncommon in volatile stocks, where speculative flows can temporarily distort price action. Investors should consider the expiry date dynamics and be prepared for potential volatility as positions are squared off.

Outlook and Investor Takeaways

Adani Enterprises remains a stock to watch closely in the near term, especially given the concentrated options activity and rising delivery volumes. However, the downgrade to Strong Sell and the technical downtrend suggest that any rally may be short-lived or capped. Investors with a higher risk appetite might view the current levels as an opportunity for tactical trades, while long-term investors should await clearer signs of fundamental improvement.

In summary, the options market’s bullish positioning at the ₹2,000 strike price expiry on 27 January 2026 highlights a speculative bet on a near-term rebound. Yet, the company’s deteriorated Mojo Grade and technical weakness counsel a cautious approach, underscoring the importance of balancing short-term momentum with long-term fundamentals in portfolio decisions.

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