Adani Ports Gets Jefferies Buy Rating with ₹1,880 Target After NQXT Acquisition

2 min read Updated on 24 Dec 2025, 07:57 PM

Reviewed by

Shriram SScanX News Team

Overview

Jefferies has maintained its bullish stance on Adani Ports post-NQXT acquisition, setting a ₹1,880 target price with 25% upside potential. The brokerage expects the Australian terminal acquisition to boost volumes by 8% and EBITDA by 6% for FY26, while highlighting the company's improved financial health with a robust 0.70x net debt-to-equity ratio compared to 3.60x during the 2011 acquisition.

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Adani Ports and Special Economic Zone has received a strong endorsement from Jefferies following the successful completion of its acquisition of Australia's North Queensland Export Terminal (NQXT). The brokerage firm has maintained its buy rating with a target price of ₹1,880, representing a 25% upside from the closing price of ₹1,496, citing the company's improved financial position and international expansion prospects.

Jefferies Analysis and Target Price

Jefferies expects the NQXT acquisition to significantly boost Adani Ports' operational and financial metrics on a full-year consolidation basis for FY26. The brokerage highlighted the strategic value of the acquisition in accelerating the company's international expansion plans.

Impact Parameter	Expected Boost	Details
Volume Growth	8% increase	Based on full-year consolidation
EBITDA Growth	6% increase	FY26 projection
Target Price	₹1,880	25% upside potential
Current Price	₹1,496	Wednesday closing
Rating	Buy	Maintained

The acquisition aligns with Adani Ports' ambitious goal of handling 150.00 million tonnes of international cargo by 2030, providing clear visibility on the company's international expansion strategy.

Acquisition Transaction Details

The NQXT acquisition was completed through a preferential allotment structure, with Adani Ports taking over the terminal from promoter group entity Carmichael Rail and Port Singapore Holdings. The transaction involved issuing approximately 144.00 million equity shares at ₹1,199 per share.

Transaction Parameter	Details
Shares Issued	144.00 million equity shares
Issue Price	₹1,199 per share
Equity Dilution	6% for existing shareholders
Seller	Carmichael Rail and Port Singapore Holdings
Terminal Capacity	50.00 million tonnes per annum

Improved Financial Health

Jefferies emphasized the fundamental difference between the current acquisition and Adani Ports' previous experience with the same asset. The terminal, formerly known as Abbot Point Coal Terminal, was initially acquired by Adani Ports in 2011, which significantly impacted the company's balance sheet at that time.

Financial Metric	2012 Levels	Current Levels	Improvement
Net Debt-to-Equity Ratio	3.60x	0.70x	Substantial improvement
Balance Sheet Health	Precarious	Robust	Strong recovery
Financial Position	Strained	Improved	Ready for expansion

The brokerage noted that the re-acquisition in 2025 occurs from a position of financial strength, unlike the previous acquisition that had strained the company's balance sheet.

Revised FY26 Guidance

Following the NQXT acquisition, Adani Ports has updated its FY26 financial and operational guidance on a proforma basis to reflect the acquisition's impact.

Parameter	Revised FY26 Guidance	Previous Guidance	Increase
EBITDA	₹22,350-23,350 crore	₹21,000-22,000 crore	₹1,350 crore (midpoint)
Cargo Volume	545-555 million metric tonnes	505-515 million metric tonnes	40.00 million metric tonnes

Strategic Expansion Impact

The NQXT acquisition represents a key milestone in Adani Ports' journey toward achieving 1.00 billion metric tonnes of cargo handling capacity by 2030. The terminal, located at Australia's Port of Abbot Point, operates as a natural deep-water, multi-user export facility serving mining customers in the Bowen and Galilee basins, with an 88% market share of cargo volumes in FY25.