Strong FY22 volume outlook to support Adani Ports' stock after correction

Street believes concerns related to promoter group, Myanmar are overdone

From its highs on June 7, the stock of Adani Ports and Special Economic Zone (APSEZ) lost over a quarter of its market cap in a matter of ten days. Since then, however, it has managed to recoup about 11 per cent of those losses.

The price correction was due to concerns related to the promoter group as well as its exposure to the Myanmar project. Though the investments in Myanmar may be an overhang in the near term, even if a complete write down is undertaken, the company indicated that the project accounted for 1.3 per cent of total