Mehabe score: 5 G Factor: 6 Piotski Score: 7 The stock has a rating HOLD. The mehabe team score is reflective of its fundamental and technical merits. A rating above 8 is considered good buy. The stock has a G-Factor of 6 and Piotski score of 7.
Description
Petronet LNG is primarily to develop, design, construct, own and operate a Liquefied Natural Gas (LNG) import and regasification terminals in India.(Source : 201903 Annual Report Page No: 119)Site:PETRONET
Market Cap:
Rs 37,222 cr
Price:
248.0
Trading pe:
13.9x
Book-value:
76.6/share
Div yield:
5.04 %
Earning yield:
10.76%
Face-value:
10.0/share
52week high:
280.75
52week low:
207.25
Technical Analysis
Stock trades at 248.0, above its 50dma 239.23. It also trades above its 200dma 241.71. The stock remains bullish on techicals
The 52 week high is at 280.75 and the 52week low is at 207.25
Price Chart
P/E Chart
Sales and Margin
Strengths
– Stock is providing a good dividend yield of 5.04%.
– has been maintaining a healthy dividend payout of 56.20%
Weakness
– The company has delivered a poor sales growth of -2.20% over past five years.
Competition
– The industry trades at a mean P/E of 39.5x. Adani Total Gas trades at the industry’s max P/E of 373.81x. PETRONET trades at a P/E of 13.9x
– Industry’s mean G-Factor is 5.4 while the mean Piotski score is 8.0. PETRONET has a G-Factor of 6 and Piotski scoreof 7.
– Average 1 month return for industry is 9.9%. The max 1- month return was given by Adani Total Gas: a return of 25.23 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 7575.0 cr compared to Rs 8567.0 cr for period ended Mar 2020, a fall of 11.6%
Operating Profits reported at Rs 1091.0 cr for period ended Mar 2021 vis-vis 698.0 for period ended Mar 2020 .
Operating Margins expanded 625.5 bps for period ended Mar 2021 vis-vis Mar 2020 .
The EPS for Mar 2021 was Rs 4.25 compared to Rs 5.88 for previous quarter ended Dec 2020 and Rs 2.49 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 26023.0 cr for period ended Mar 2021 vis-vis sales of Rs 35452.0 cr for the period ended Mar 2020, a fall of 36.2%. The 3 year sales cagr stood at -5.3%.
Operating margins expanded to 18.0% for period ended Mar 2021 vis-vis 11.0% for period ended Mar 2020, expansion of 700.0 bps.
Net Profit reported at Rs 2939.0 cr for period ended Mar 2021 vis-vis sales of Rs 2703.0 cr for the period ended Mar 2020, rising 8.0%.
Company recorded a healthy Net Profit CAGR of 11.7% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 26.0% compared to 24.0% over the last 3 Years. – The stock has given a return of -4% on a 1 Year basis vis-vis a return of 3% over the last 3 Years. – The compounded sales growth on a TTM bassis is -23% vis-vis a compounded sales growth of 13% over the last 3 Years. – The compounded profit growth on a TTM basis is -6% vis-vis a compounded profit growth of 17% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Mar 2021 fii holding stood at 30.5% vis-vis 29.49% for Dec 2020 – Public shareholding has remained largely constant. The Mar 2021 public holding stood at 13.18% vis-vis 13.51% for Dec 2020
Conclusion
– Stock is providing a good dividend yield of 5.04%.
– has been maintaining a healthy dividend payout of 56.20% – The company has delivered a poor sales growth of -2.20% over past five years.
The business fundamentals of the stock remain stable. Stronger near term results will build interest in the stock. We suggest to wait for a upturn in business performance.
Technically, the stock remains above its 50 DMA 239.23 and is trading at 248.0, thus bullish price action wise.
