Domestic mutual funds missed the opportunity in Gautam Adani-led Adani Green Energy NSE 4.99 %, whose shares have rallied nearly 24 times since their listing in 2018.

Data shows mutual funds had ‘nil’ exposure to the stock between June 2018 and December 2019 and their holdings in the company stood at a negligible at 0.01 per cent in last two quarters till June 30.

BSE data showed the promoters held 74.92 per cent in the stock as of June 30, and foreign portfolio investors (FPIs) 21.52 per cent stake.

Shares of the renewable energy firm hit their all-time high of Rs 670.65 on Tuesday, taking the company’s market capitalisation to Rs 1,04,194 crore.

The Adani Group listed the script at Rs 28 on June 18, 2018 after demerging it from Adani Enterprises NSE 0.26 %. The market value at that point stood at Rs 4,590 crore.

The company on Friday said it has tied up with around 10 international banks to diversify its construction finance portfolio of 14 GW of operating, under-construction and awarded wind and solar parks -- is aiming to commission renewable capacity of 25 GW by 2025.

Some analysts do not cover the stock, as they find it hard to understand its fair value. The stock trades at a price-to-earnings multiple of 356.92 times and a book value of 43.49 times.

“We do not understand the fair value of the stock comparing its annual sales with present market value. Therefore, we do not cover the stock as it does not fit in our criteria,” said Kishore P Ostwal, chairman, CNI Research.

Adani Green reported consolidated sales of Rs 2,526 crore for the year ended March 31, 2020, against Rs 2,050 crore reported for the previous year.

Chartist Mazhar Mohammad, Chief Strategist-Technical Research and Trading Advisory, Chartviewindia said as the stock trades in uncharted territory and has been hitting upper circuits, most of the time it becomes difficult to project any target for such stocks unless strong reversal signs get visible.”

“For the time being based on long-term charts, a price target in the Rs 720-740 zone can’t be ruled out,” he said.

However, he advised investors to remain cautious and lock in profits as vertical rallies remain vulnerable for equally sharp downswings. “The best thing for investors to do on this counter is to ride the rally with a stop below a five-day exponential moving average on a closing basis,” he said.