Why Adani Power Shares Fell 6% After a 45% Surge as Traders Book Profits

Adani Power’s stock came under fresh selling pressure following an impressive 45%+ rally in just three trading sessions. After hitting a peak above ₹170 post split, the share dropped by 6% to around ₹160 intra-day before recovering slightly. The momentum shift suggests that traders who piled in during the run are now locking in gains.

The recent surge had been bolstered by a regulatory victory, SEBI’s dismissal of Hindenburg Research’s allegations gave the stock a reputational boost. But markets rarely move in straight lines, and the sharp pullback signals that caution is returning.

Adani Power Stock Split Impact: Why Investors Reacted

The stock split, which came into effect this week, was a big draw for retail investors. One old share was converted into five new ones, lowering the entry price and boosting liquidity without changing the company’s market value. On paper, it made Adani Power more affordable, and that triggered a wave of buying ahead of the split.

But once the adjustment kicked in, the flood of speculative money flipped direction. Many traders saw the new price levels as an exit opportunity. That explains why the stock, which had raced past ₹170, quickly lost momentum.

Morgan Stanley Bullish on Adani Power: Why the Stock Is a Top Pick

Global brokerage Morgan Stanley has turned upbeat on Adani Power, calling it one of its “top picks” in India’s energy space.

Earlier this month, SEBI cleared Gautam Adani and the Adani Group of allegations made by U.S.-based short-seller Hindenburg Research, removing a key overhang that had weighed on investor sentiment since 2023. The regulatory clean chit has given global investors renewed confidence to look at Adani stocks, with Adani Power standing out as the most direct play on rising domestic electricity demand.

Morgan Stanley also described Adani Power as a “good illustration of a turnaround in India’s corporate history,” citing its improved balance sheet and robust demand outlook. With India’s power consumption consistently hitting new highs and policy support encouraging fresh capacity, the brokerage expects the company to consolidate its leadership in the sector.

Adani Power Share Price Today: Key Technical Levels

• Immediate support: ₹160. This is the zone traders are watching closely. If the price slips under it, the next stop could be ₹155, an area where buyers stepped in earlier this month.
• First resistance: ₹170. A strong close above this level would likely bring back momentum and open the path to ₹175, the post-split peak.
• Major support: ₹150. A breakdown here would signal a deeper correction, with the risk of a slide toward ₹140.

In short, the chart still leans bullish as long as Adani Power stays above ₹160. A push through ₹170 could reignite the rally, while a drop under ₹155 would warn that the correction is not over yet.

Adani Power Outlook: Is It Still a Buy?

Looking ahead, the fundamentals of Adani Power remain strong. India’s electricity demand keeps climbing, new plants are coming online, and SEBI’s clean chit has removed a cloud that hung over the group for nearly two years. Those forces give the company a solid base to build on.
The recent pullback feels less like the end of a trend and more like the market catching its breath. After a 45% surge and a stock split, a bit of turbulence is expected. Personally, I see this phase as a healthy reset, the kind that often lays the ground for a steadier, more sustainable move higher.

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