ICICI Direct is bullish on Adani Gas has recommended buy rating on the stock with a target price of Rs 190 in its research report dated August 10, 2020.
ICICI Direct's research report on Adani Gas
Adani Gas’ (AGL) operating revenues fell 56.9% YoY to Rs 206.6 crore in Q1FY21 due to sharp fall in sales volume during lockdown. Sales volume came in at 0.7 mmscmd, down 53.6% YoY. EBITDA for the quarter declined 42.6% YoY to Rs 77.4 crore. Gross margins were strong at Rs 19/scm, up Rs 6.2/scm YoY due to lower gas prices. EBITDA/scm was at Rs 12.1/scm, Rs 2.3/scm higher YoY. Reported PAT stood at Rs 46.3 crore, down 41.6% YoY.
Outlook
We have a positive outlook on the stock from a long term perspective as AGL is well poised to benefit from India’s growing CGD sector. We maintain BUY with a revised target price of Rs 190
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Read More