HomeNewsBusinessStocksBuy GAIL (India); target of Rs 156: Geojit

Buy GAIL (India); target of Rs 156: Geojit

Geojit is bullish on GAIL (India) has recommended buy rating on the stock with a target price of Rs 156 in its research report dated July 06, 2022.

July 07, 2022 / 16:08 IST
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Geojit's research report on GAIL (India)

GAIL India is a Government of India undertaking. The company processes and distributes natural gas and liquefied petroleum Revenue grew 73.4% YoY (+4.6% QoQ) in Q4FY22 aided by good performance across Trading segment slightly offset by petrochemical business. EBITDA margin fell 120bps YoY to 15.3% due to lower transmission and LPG earnings. PAT grew 40.6% YoY to Rs. 2,683cr in Q4FY22. GAIL declared Final divided of Rs. 10/share for FY22. GAIL is expected to continue delivering positive growth in near term owing to rising prices, capex prospects and surging demand from the fertilizer plants, refinery and petrochemical expansions.

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Outlook

Hence, we reiterate our BUY rating on the stock with a revised target price of Rs. 156 based on SOTP valuation methodology.

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