JM Financial has initiated coverage on Adani Green Energy with a ‘Buy’ rating on the back of the company’s scale, strategic positioning, operational excellence, financial outlook, and predictable revenue streams. The company has kept the target price at Rs 1,289 per share, implying an upside of 21% over the next 12 months.

JM Financial on Adani Green Energy: Market leadership 

The company has demonstrated a strong execution track record, increasing its operational capacity to 16.7GW as of September 2025 from 2GW in FY18. This growth includes the development of the world’s largest 30GW Renewable Energy (RE) park at Khavda, Gujarat, which is being executed at a record speed. Adani Green is recognised as India’s largest and one of the world’s leading renewable energy companies. The ability to execute projects at immense speed and scale provides significant visibility on growth and cost leadership.

JM Financial on Adani Green Energy: Achievable and ambitious growth targets

The company in the Renewable Energy sector has set a clear goal of achieving 50GW of installed RE and storage capacity by FY30. JM Financial believes this ambition is achievable given the company’s strong execution track record, existing group synergies, and its secured inventory of 2.5 lakh acres of high-quality RE sites across India. This vast land bank, situated in resource-abundant areas such as Gujarat and Rajasthan, offers a strong basis for achieving the 50GW goal.

JM Financial on Adani Green Energy: Predictable and Stable Cash Flows Backed by Long-Term PPAs

The core of Adani Green Energy’s operational portfolio benefits from stable and diversified offtake structures. Approximately 81% of its 16.8 GW operational capacity is under long-term (25-year) Power Purchase Agreements (PPAs), out of which state and central government counterparties are at fixed tariffs. This revenue structure ensures strong revenue visibility and predictable operating cash flows, helping the company to fund 65–70% of its annual debt servicing through internal accruals.

JM Financial on Adani Green Energy: Strong execution capabilities

JM Financial further highlighted that the company has a strong execution capability. Adani Green Energy has added almost 14GW in the last 10 years. This capability is reinforced by leveraging strategic synergies with other Adani Group businesses, which span transmission, distribution, and infrastructure development. This integrated Adani ecosystem (including EPC, transmission, and logistics) enables seamless project execution and contributes to high asset uptime and strong EBITDA conversion.