1320.2000 29.00 (2.25%)
NSE Aug 08, 2025 15:31 PM
Volume: 534.6K
 

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Mahanagar Gas Ltd.
10 Aug 2019, 07:17PM
1320.20
2.25%
HDFC Securities
MGL did not win any new GAs in either of the recently concluded ninth or tenth rounds of CGD biddings. This factor may weigh on its long-term growth. We believe that the company will continue to enjoy pricing power and be able to maintain its per unit spread. This is because of a loyal customer base of CNG and commercial customers (who together comprise ~80% of total sales mix), that are less price sensitive than industrial customers. Moreover, we do not foresee any significant regulatory adversity in its CGD business either through a change in gas allocation or capping returns. We maintain BUY on MGL post an impressive performance on spreads albeit disappointing volume growth. Our TP is Rs 1,133/sh (19x Jun-21E standalone EPS).
Mahanagar Gas Ltd. has an average target of 1567.00 from 5 brokers.
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