Petronet LNG
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
Petronet LNG's outlook reflects a strategic pivot towards diversification and infrastructure expansion, as management emphasizes the importance of the Dahej terminal and ongoing projects like the Kochi-Bangalore pipeline and petrochemical facilities. Despite facing near-term challenges from geopolitical tensions and high gas prices, the company's focus on operational efficiency and asset utilization positions it to capture structural demand in the Indian gas market. Vista's forecast anticipates revenue contraction, yet improving margins due to enhanced operational efficiencies and strategic initiatives. The expected upside is tempered by competitive pressures and ongoing policy uncertainties, which could impact pricing power. Over the next 12-24 months, key opportunities include the successful execution of the petrochemical project and the establishment of long-term contracts, while watchpoints involve geopolitical risks and the pace of infrastructure development
Why We Like This Stock
- Management's focus on diversifying into petrochemicals and renewables enhances long-term growth prospects
- The completion of the Kochi-Bangalore pipeline is expected to significantly improve terminal utilization
- Operational efficiencies from the Dahej terminal and ongoing projects are likely to support margin expansion
Things To Watch Out For
- Geopolitical tensions in the Middle East pose risks to supply stability and pricing power
- High gas costs are impacting profitability and could constrain revenue growth
- Ongoing policy uncertainties may limit market confidence and affect long-term contracts
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 52,729 | 50,982 | 43,495 | 26,995 | 34,263 |
| Profit Before Tax (Cr.) | 4,701 | 5,196 | 5,124 | 4,791 | 4,735 |
| PBT Margin | 8.9% | 10.2% | 11.8% | 17.7% | 13.8% |
| Net Profit (Cr.) | 3,535 | 3,925 | 3,942 | 3,573 | 3,531 |
| Earnings Per Share | 23.6 | 26.2 | 26.3 | 23.8 | 23.5 |
Analyst Recommendations
| Broker | Recommendation | Target Price | Date |
|---|---|---|---|
| Jeffries | ▼ Underperform | 240 | 29-Sep-2026 |
| Emkay Global | ▲ Buy | 360 | 28-Sep-2026 |
| Motilal Oswal | ▲ Buy | 362 | 28-Sep-2026 |
| Nomura | ▲ Buy | 345 | 28-Sep-2026 |
| Prabhudas Liladhar | ► Accumulate | 302 | 28-Sep-2026 |
| UBS | ▲ Buy | 325 | 28-Sep-2026 |
| ICICI Securities | ▲ Buy | 310 | 14-Aug-2026 |
| Nuvama | ▲ Buy | 337 | 14-Aug-2026 |
| Macguire | ▲ Buy | 320 | 16-Jul-2026 |
| Geojit Financials | ► Add | 309 | 13-May-2026 |
| Elara Capital | ► Accumulate | 326 | 06-May-2026 |
| HDFC Securities | ▼ Reduce | 257 | 06-May-2026 |
| Investec | ▲ Buy | 400 | 05-May-2026 |
| JPMorgan | ▲ Buy | 335 | 05-May-2026 |
Company Overview
Show Company Profile
Petronet LNG Limited engages in the import, storage, regasification, and supply of liquefied natural gas (LNG) in India. It owns and operates an LNG import and regasification terminal with name plate capacity of 22.5 MMTPA located in Dahej, Gujarat; and an LNG terminal with name plate capacity of 5 MMTPA located in Kochi, Kerala. The company was incorporated in 1998 and is based in New Delhi, India.