Oil And Natural Gas Corporation Ltd. share price target

EBITDA was at | 15969.1 crore, up 20.7% QoQ (estimate: | 14975.9 crore) PAT was at | 8763.7 crore, down 52.2% QoQ (estimate of | 7932 crore) as the company reported negative tax outgo in previous quarter What should investors do? ONGC's share price has underperformed the benchmark over the past four years due to a decline in domestic oil & gas production. Due to lower production growth on a sustainable basis, despite cheaper valuation,...

ONGC reported in-line revenue with realization at USD75.4/bbl (+75% YoY, in line) and gas sales at 4.3bcm (-4% YoY). EBITDA also stood in line at INR159.7b (+91% YoY, +21% QoQ). Management has guided for production of 21mmt/24.3bcm of oil/gas for FY23E and 24mmt/32bcm of oil/gas for FY24E, respectively. Our estimates were already conservative and thus remain unchanged. Further, we build modest production estimates at 22/23mmt for oil and at 21.7/25.8bcm for gas for FY23E/24E, respectively....

With a recovery in crude oil prices in Q2FY22, we expect the segment to witness further growth in coming quarters. Upward revision in Gas prices and improvement in demand will increase the revenue. Therefore, we reiterate our BUY rating on the stock with a revised TP of...

Income Tax Act, 1961, with effect from FY 2020-21. Accordingly, the company has recognized provision for tax expenses and re-measured its net deferred tax liabilities. The net impact due to availing the option has resulted in decrease in deferred tax liability by Rs 8,541 crore and decrease in current tax liability by Rs 1,304 crore. This tax write back of Rs 7,195 crore has...

We increase our FY22-24E earnings by 35%/7%/1% to factor in 1) crude realization of USD70/bbl for FY22 (USD65 earlier) 2) gas realization of USD2.62/4/4/mmbtu (USD2.5/3/4 earlier) and 3) tax write back, as company moved to lower tax rate of 22% from FY21 level. ONGC's Q2 standalone EBIDTA was in line at Rs132.2bn (+9%Q/Q; PLe Rs129.5bn), however, lower...

The company highlighted that oil and gas production declined in 1HFY22, primarily due to restrictive conditions created by cyclone Tauktae as well as the impact of COVID. Further delay in the mobilization of MOPU to the WO-16 Cluster project impacted production from this field. Gas production from the KG Basin (currently at 0.60.7mmscmd) continues to get delayed as international travel restrictions continue to impact logistics. As a result, the management has revised down its oil and gas guidance for FY22E to 22mmt/22bcm (from 23mmt/25bcm earlier). Our estimates were...

Oil prices have also been on an upward trend for the last five quarters and are currently at nearly three-year high of US$83/bbl What should investors do? ONGC's share price has underperformed the benchmark over the past four years due to a decline in domestic oil & gas production. Due to lower production growth on a sustainable basis, despite cheaper valuations,...

PAT was at | 4334.8 crore, down 35.6% QoQ as the company had reported exceptional gain of | 2613.2 crore in Q4FY21 What should investors do? ONGC's share price has declined over the past five years due to a decline in domestic oil & gas production. Due to lower production...