Adani Group shares set to rise with circuit limit increase
Adani Group’s four shares, Adani Green Energy, Adani Transmission, Adani Wilmar, and Adani Power, are expected to see a sharp rise today as their circuit levels have been increased. The Bombay Stock Exchange has increased the circuit limit of these shares, which means that their upper circuit levels have been raised. The circuit limit of Adani Green, Adani Trans, and Adani Wilmar has been increased from 5% to 10%, while Adani Power’s circuit level has been raised from 5% to 20%. These changes will come into effect from Wednesday.
What is Circuit Limit?
To control the volatility of shares, exchanges set a limit beyond which their prices cannot move in a single day. For instance, the circuit limit for Adani Power has been increased to 20%, which means that the stock cannot fall more than 20% or rise more than 20% in a single day, compared to the previous day’s closing price. Exchanges review the circuit limit based on the movement and volatility of shares.
Adani Shares expected to stabilize
Adani Group’s shares have been volatile in recent times due to the Hindenburg Research report, which alleged that the company had inflated the value of its subsidiaries. However, the shares have stabilized in the past few days, prompting the exchange to increase their circuit limits. Despite the changes, the exchange will continue to monitor the movement of these shares and may revise the circuit limit in the future.
Current status of these shares
Adani Green Energy, Adani Transmission, and Adani Wilmar shares closed at Rs 1,140.35, Rs 1,286.45, and Rs 680.60, respectively, on Tuesday. Adani Power’s stock closed at Rs 142.90. With the increase in circuit limits, these shares are expected to show a sharp rise in prices.
Conclusion
The Bombay Stock Exchange’s decision to increase the circuit limit of Adani Group’s shares is expected to lead to a sharp rise in their prices. However, the exchange will continue to monitor the movement of these shares and may revise the circuit limit in the future.
Follow DelhiBreakings on Google News
Superfast News Coverage by DelhiBreakings.com team.
For Superfast national news and Delhi Breaking Stories visit us daily at https://delhibreakings.com
