Motilal Oswal initiates buy on Adani Power with Rs 250 target

Motilal Oswal initiated coverage on Adani Power with a "buy" rating and a target price of Rs 250 per share, based on a research report dated September 3, 2026. The recommendation is driven by the company's growth plans and execution record. Adani Power, India's largest private thermal power producer with about 18GW capacity, plans to expand 2.3 times to 42GW by FY32. The brokerage values the stock at 16x FY29E EBITDA, forecasting an EBITDA CAGR of 21% and a PAT CAGR of 9% over FY26-29E. The company sells power under long-term agreements with discoms, covering 95% of operational capacity, plus merchant contracts. Motilal Oswal also cites optionality from a nuclear foray and limited competition in the thermal segment as positive factors.