New Delhi, Sept. 3 -- Adani Group stock Adani Power has emerged as a key stock to watch as investor focus returns to India's power sector amid rising electricity demand and expectations of stronger thermal capacity requirements.

Domestic brokerage house Motilal Oswal Financial Services (MOFSL) has initiated coverage on Adani Power with a Buy rating and a target price of Rs.250 per share, implying over 20% upside from the current market price of Rs.207. The brokerage sees the company as a key beneficiary of what it describes as India's emerging thermal power renaissance, supported by rising electricity demand, a large expansion pipeline and limited competition in the thermal segment.

"We initiate coverage on Adani Power Limited (APL) wit...