Today’s market update
Today, Nifty 50 opened at 25,450.45, made its high/low at 25,489.80/ 25,407.25 respectively, and closed with a rise of .30 points (0.0012%) at 25,462.30 whereas Sensex opened at 83,398.08, made its high/low at 83,516.82/ 83,262.23 respectively, and closed with a rise of 9.61 points (0.012%) at 83,442.50. So, Both Nifty and Sensex has shown flat performance today. Despite of flat movement of both Nifty and Sensex Jay Prakash Power Ltd soared hit 20% upper circuit today. Here are the key reasons:
Massive Volume Surge & Technical Breakout
Today on 7th July 2025, Jay Prakash Shares has hit upper circuit which is very close to its 52-week high that is ₹23.8. This 20% upper circuit was supported by heavy volume of buying. 8.6% of total equity which is around 588 million shares has exchanged by institutional players.
From the technical point of view the stock is already in overbought zone by crossing all its moving averages.
The support level of the stock is between ₹19.5–19.85 and the strong resistances are near ₹21.5 followed by ₹23.6.
Adani-Buzz Amplifies Sentiment
According to media reports, the Adani Group is trying for acquiring key assets of Jaiprakash Associates, including its cement and power businesses. The bid worth of Jaiprakash Associates assets is over ₹12,500 crore and in this bid Adani Group is the frontrunner. According to report, Adani Group is the
 Again, according to exchange data, Jaiprakash Associates holds a 24% stake in JP Power and Adani Group is the frontrunner to acquire promoter Jaiprakash Associates holding in JP Power. This bid including approximately ₹8,000 crore could be paid upfront.
The massive entry of Adani Group has sparked bullish momentum and spread optimism in trader and investor community with an expectation that stock price will show more hike near future. Although no formal deal has been announced yet.
Broader Rally: 30% in Two Weeks, 74% in Two Months
Today, Jaypee Power climbed ~20% and hit upper circuit which is a part of the overall bullish trend of the stock. From last couple of months, it has been observed that the stock is in bullish trend.
In the last five trading sessions, the stock has gained 17.5%. It has been noted that, in last two weeks the stock has given 30% return. The value changes from ₹16.5 (mid-June) to ₹21.5 (early July). Its one-month period return is 22%.
More interestingly, the stock was trading near ₹12.5 in early May. From early May to till today which is around two-months, it has given approximately 74%.
Valuation Perspective
The Market Cap of the Jay Prakash power is ₹ 783 Crore. Basically, it’s a microcap company. The stock trades at a P/E ratio of ~16, which is not high its moderate for the sector. Its book value is around ₹17.9.
If we will put our eye on its financial then company’s expense is higher (₹1,137 crore) than its sales (₹ 1,331 crore) hence its net profit is in negative which is ₹-731 crore in this quarter. This type of performance has been showing by company mostly in every previous quarters also.
Again, the promoters have pledged their shares around 19% while Retailer holds are 52% which shows company’s shareholding condition is in quite risky position.
So, we can say this type of buying or rally only due to momentum and speculation. The company’s performance is not so impressive till today. It may be expected that the company may uplift to next level after Adani Group’s acquisitions.