diff --git a/erpnext/stock/doctype/serial_and_batch_bundle/serial_and_batch_bundle.py b/erpnext/stock/doctype/serial_and_batch_bundle/serial_and_batch_bundle.py
index 932e5dec8cbc17082e3daf6b51b4fc8a6c7c3fdc..bf069b8f7f7e17212b63ec07909165a6558c7240 100644
--- a/erpnext/stock/doctype/serial_and_batch_bundle/serial_and_batch_bundle.py
+++ b/erpnext/stock/doctype/serial_and_batch_bundle/serial_and_batch_bundle.py
@@ -276,7 +276,7 @@ class SerialandBatchBundle(Document):
 				)
 
 	def validate_negative_batch(self, batch_no, available_qty):
-		if available_qty < 0:
+		if available_qty < 0 and not self.is_stock_reco_for_valuation_adjustment(available_qty):
 			msg = f"""Batch No {bold(batch_no)} of an Item {bold(self.item_code)}
 				has negative stock
 				of quantity {bold(available_qty)} in the
@@ -284,6 +284,18 @@ class SerialandBatchBundle(Document):
 
 			frappe.throw(_(msg), BatchNegativeStockError)
 
+	def is_stock_reco_for_valuation_adjustment(self, available_qty):
+		if (
+			self.voucher_type == "Stock Reconciliation"
+			and self.type_of_transaction == "Outward"
+			and self.voucher_detail_no
+			and abs(frappe.db.get_value("Stock Reconciliation Item", self.voucher_detail_no, "qty"))
+			== abs(available_qty)
+		):
+			return True
+
+		return False
+
 	def get_sle_for_outward_transaction(self):
 		sle = frappe._dict(
 			{