Fundamental Analysis
Oil and Natural Gas Corporation Ltd. is the largest crude oil and natural gas company in India, contributing almost seventy one percent to Indian domestic production, and is also the one of most profitable PSU in India.
Revenue Mix of the company
• Crude Oil - 70% of FY21 revenue
• Natural Gas - 17% of FY21 revenue
• Value Added Products(VAP) - 13%
VAP includes products such as LPG, Naphtha, Ethane – Propane, Butane, and superior kerosene oil. ONGC is catering 93.5% of revenue is from India and 6.5% through International Trade.
Key Data :
Stock PE Ratio 3.48
Industry PE Ratio 17.8
PB Ratio 0.67
Current Market Price INR 138
Book Value INR 206
ROE 19.50%
Dividend Yield 7.62%
High/Low 195/120
52W Index 24%
PEG Ratio 0.24
** Eye opening facts are, book value of company is INR 206 while stock is traded with stock exchange around INR 138.
** PE Ratio of stock is mere 3.48 as against Industry PE ratio of 17.8
** As per recent quarterly data, revenue is rising on quarter on quarter basis.
** Global Crude oil price is set on rise since couple of days. ONGC is one of the largest crude extraction companies as far as India is concerned. So, increase in crude price in global level favorable for ONGC.
As per Elliot Wave, stock is likely to touched INR 148 in couple of days. However with strong backing of fundamental data and global trend, stock may touched his 52 week high ( INR 195) once again in couple of days.
** I am not SEBI Registered Investor. This business analysis is for education purpose only. Your comments/suggestions are welcome.
Oil and Natural Gas Corporation Ltd. is the largest crude oil and natural gas company in India, contributing almost seventy one percent to Indian domestic production, and is also the one of most profitable PSU in India.
Revenue Mix of the company
• Crude Oil - 70% of FY21 revenue
• Natural Gas - 17% of FY21 revenue
• Value Added Products(VAP) - 13%
VAP includes products such as LPG, Naphtha, Ethane – Propane, Butane, and superior kerosene oil. ONGC is catering 93.5% of revenue is from India and 6.5% through International Trade.
Key Data :
Stock PE Ratio 3.48
Industry PE Ratio 17.8
PB Ratio 0.67
Current Market Price INR 138
Book Value INR 206
ROE 19.50%
Dividend Yield 7.62%
High/Low 195/120
52W Index 24%
PEG Ratio 0.24
** Eye opening facts are, book value of company is INR 206 while stock is traded with stock exchange around INR 138.
** PE Ratio of stock is mere 3.48 as against Industry PE ratio of 17.8
** As per recent quarterly data, revenue is rising on quarter on quarter basis.
** Global Crude oil price is set on rise since couple of days. ONGC is one of the largest crude extraction companies as far as India is concerned. So, increase in crude price in global level favorable for ONGC.
As per Elliot Wave, stock is likely to touched INR 148 in couple of days. However with strong backing of fundamental data and global trend, stock may touched his 52 week high ( INR 195) once again in couple of days.
** I am not SEBI Registered Investor. This business analysis is for education purpose only. Your comments/suggestions are welcome.
Comment:
As discussed over article, ONGC Crossed 142 as on 15-11-22. The immediate target is crossed as visible in chart. Keep trading.
Trade closed: target reached:
ONGC has declared a dividend of 6.75 per share. As on 29-11-22, CMP of ONGC 139.80, after adding back dividend of 6.75 , total price would be 146.55.
In international market, brent crude is goes down up to USD 84 per barrel.
Hence, it is advisable to book profit now.
In international market, brent crude is goes down up to USD 84 per barrel.
Hence, it is advisable to book profit now.