Global investment bank Jefferies predicts a significant 28% upside for shares of Adani Enterprises Ltd (AEL) from its current trading levels of Rs 2991 on the BSE. The analysis, released on September 22, 2026, highlights several key factors driving this optimistic outlook, particularly AEL’s strategic incubation portfolio and robust funding mechanisms.
Airports Business Nears Earnings Inflection Point
Adani Enterprises’ airports division is anticipated to be a primary catalyst for future growth, nearing a crucial earnings inflection point. Jefferies points to the ramp-up of the Navi Mumbai International Airport, projected increases in non-aeronautical revenues, and expanding city-side development opportunities as core drivers. Following significant investments and capacity expansion since acquiring its airport assets in 2021, AEL expects strong EBITDA growth over the next five years. The company plans a substantial investment of approximately Rs 200 billion into city-side commercial assets, including convention centers, hotels, and retail spaces, as part of a broader Rs 1 trillion airport capital expenditure program. This strategy aims to generate both development profits and long-term recurring income, with the airports business potentially becoming an independently listed entity, unlocking further shareholder value.
AI Boom Fuels Data Centre Expansion
The rapid adoption of artificial intelligence (AI) is significantly bolstering the growth prospects for Adani ConneX, AEL’s data center business. Management reports around 960 MW of contracted capacity, with an ambitious target of approximately 3 GW by 2031. Rising demand from hyperscalers and the increasing need for AI-related computing infrastructure are providing a robust growth runway. This surge in demand has prompted Adani ConneX to pursue an even more aggressive expansion strategy than initially planned, positioning the business to capitalize on the escalating requirement for large-scale data center infrastructure.
New Energy and Robust Funding Strategy
Adani New Industries Ltd (ANIL), AEL’s new-energy arm, is developing as an integrated platform across the entire renewable energy value chain. This includes manufacturing polysilicon, ingots, wafers, cells, modules, as well as wind turbines, electrolyzers, and green hydrogen. ANIL currently operates with 4 GW of cell capacity and 6 GW of module capacity, with plans to expand both to 10 GW. This integrated approach is expected to benefit from increasing domestic solar demand, import substitution, and governmental initiatives promoting localization.
To support its ambitious expansion across these incubation businesses, AEL has substantially increased its capital expenditure, rising from Rs 85-90 billion in 2022 to an estimated Rs 300-350 billion in recent years. This investment program has been backed by diverse funding avenues, including preferential share issuances, Qualified Institutional Placements (QIPs) totaling Rs 150 billion, and an airport equity raise of around Rs 95 billion (or $1 billion). Management affirms the company's strong position to fund its growth through rising internal cash flows and continued access to capital markets, aligning with its core strategy of incubating high-growth businesses, scaling them, and eventually unlocking value through independent listings.