Last Updated : Feb 26, 2019 05:09 PM IST | Source:

Buy Indraprastha Gas; target of Rs 381: Motilal Oswal

Motilal Oswal is bullish on Indraprastha Gas has recommended buy rating on the stock with a target price of Rs 381 in its research report dated February 06, 2019.

Broker Research @moneycontrolcom
  • bselive
  • nselive
Todays L/H

Motilal Oswal's research report on Indraprastha Gas

CNG/PNG segments grew by 13%/10% YoY in 3QFY19. PNG domestic grew by 11% YoY and industrial/commercial by 13% YoY. High volume growth, combined with marginal expansion in EBITDA/scm, resulted in EBITDA of INR3.2b (our estimate: INR3.1b; +21% YoY, +3% QoQ). PAT of INR2b (+19% YoY, +6% QoQ) came in marginally below our estimate due to a higher effective tax rate of 35.3% in the quarter.


The stock trades at 21.6x FY20E EPS of INR12.7. We value IGL at 24.3x (~20% premium to global peers) Dec’20E EPS to arrive at a fair value of INR381, implying an upside of 27%. Maintain Buy.

For all recommendations report, click here

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

First Published on Feb 26, 2019 05:09 pm
More From
Follow us on
Available On
PCI DSS Compliant