- Cantor Fitzgerald has initiated coverage on Adani Ports with an overweight rating and a Rs 1,780 target price
- Adani Ports handles 27% of India's cargo and 45.5% of container traffic, leading private port firm in India
- The company’s revenue, profit, and cash flow is expected to grow 13-17% annually until 2029
Global financial company Cantor Fitzgerald has started tracking and giving investment advice on Adani Ports and Special Economic Zone Ltd (ADSEZ). The brokerage firm has given it an "Overweight" rating, which means it recommends buying the stock. It believes the share price could reach Rs 1,780 within the next 12 months.
Adani Ports has grown three times faster than the rest of the port industry over the last 10 years. Cantor called the company a "one-stop bet on India's growth." Today, Adani Ports handles 27% of all cargo in India and 45.5% of all container traffic, making it the largest private port and logistics company in the country.
Cantor also praised the leadership of Chairman Gautam Adani and CEO Ashwani Gupta.
Mr Gupta has worked with global companies like Nissan, Mitsubishi, and Renault, and Cantor believes his experience will help Adani Ports grow further. The company is also expanding to other countries like Israel, Tanzania, Sri Lanka, and Australia. By 2030, 15% of its cargo could come from outside India.
Cantor Fitzgerald expects Adani Ports' revenue, profit (EBITDA), and cash flow to grow by around 13-17% (called "mid-teens") each year until 2029. They also say this prediction makes sense because the company has already proven itself; in the last five years, its income, profit, and cash flow have been growing steadily at about 20% per year on average.
The report said, "India's underpenetrated trade infrastructure, combined with ADSEZ's integrated shore-to-door model and strategic partnerships, creates a formidable competitive moat." In simple terms, this means the company has a strong system and partnerships that give it an advantage over others.
Cantor also said that future gains could come from a US-India trade deal, stronger business performance in FY26, and even special dividends in FY27.
Cantor Fitzgerald has shared a preview of Adani Ports' first-quarter FY26 earnings, set to be announced on August 5. As per recently released volume data, the company handled 120.6 million metric tonnes (MMT) of domestic cargo, reflecting an 11% year-on-year increase, driven mainly by a 19% growth in container volumes.
(Disclaimer: New Delhi Television is a subsidiary of AMG Media Networks Limited, an Adani Group Company.)
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