The combined market cap of Indian industrialist Gautam Adani's conglomerate has swollen past $200 billion as multiple subsidiaries' stocks turn multibaggers in 2022.
What Happened: This came as the stocks of India's richest man's seven listed companies continued to rally despite a significant volatile environment around the global markets. The Adani conglomerate entered the three-member $200 billion club, which earlier had just two members — Mukesh Ambani-led Reliance Industries and the Tata Group.
While it entered the club yesterday, the rally in its stocks continued with a positive outlook from analysts.
The rally made the shareholders richer and also added a fortune into billionaire Adani's pocket. In 2021, the business tycoon piled on $49 billion to his wealth — more than what Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk and Azamon.com Inc's (NASDAQ:AMZN) CEO Jeff Bezos added in the same period, according to the 2022 M3M Hurun Global Rich List.
| Adani Stocks | Return since Jan 2022 (+/-) |
|---|---|
| Adani Power | 122% |
| Adani Wilmar | 104% |
| Adani Total Gas | 39.04% |
| Adani Enterprises | 24.72% |
What Brought The Rally In Adani Stocks: "The current businesses are at a growing stage and are far away from showing their full profit potential. So, future growth potential and improvement in profitability might be the reason for increasing investors’ interest,” said Santosh Meena, Head of Research, Swastika Investmart, told MoneyControl.
The multibagger stock of Adani Wilmar deals in the edible oils segment, which benefitted from the recent spike in prices of cooking oil because of the Russia-Ukraine war.
Meanwhile, its natural gas distribution arm Adani Total Gas surged significantly after it announced its entry into electric mobility by launching its first electric vehicle charging station a week ago.
Photo: Courtesy of Wikimedia
