Adani Flagship’s Share Price Has 40% More Downside, NYU Professor Says
- Adani Enterprises shares yield value of 945 rupees per stock
- The stock is expensive by metrics, including operating margins
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Shares of Adani Group’s flagship firm are still expensive on some metrics despite plunging more than 50% in the rout triggered by US short seller Hindenburg Research’s scathing report last month, according to a New York University finance professor known for his expertise on valuation.
Adani Enterprises Ltd. yielded a value of 945 rupees per share even before “factoring any of the Hindenburg accusations of fraud and malfeasance,” Aswath Damodaran of New York University wrote in a blog post on Feb. 4. The stock traded at 1,561 rupees in Mumbai at 12:30 pm on Monday, 40% more than the value ascribed by Damodaran, whose work has been widely published in leading finance journals.