This Oil & Gas Sector Stock Picked By Sharekhan, Suggest Buy For High
Return, Target Price Rs 620
Sharekhan has placed a "Buy" on Gujarat Gas Ltd (GGAS) with a target price of Rs 620 apiece.
With the given target price, the stock is likely to rise 23% from its current level.This is a midcap Oil & gas Sector company.
It is India's largest City Gas Distribution (CGD) Company in terms of sales volume operating in 44 districts in 6 states of Gujarat, Maharashtra, Rajasthan, Haryana, Punjab & Madhya Pradesh and 1 Union territory of Dadra & Nagar Haveli.
The stock of Gujarat Gas last traded at Rs 507.40 apiece, up 0.65% from the previous close.It has fallen 11.41% in the past 1 year.
The stock recorded its 52 week high on 23 February 2022 at Rs 654.25 apiece and 52 week low on 23 June 2022 at Rs 403.55 apiece, respectively.
It has a market capitalisation of Rs 34,928.91 crore.
Buy for a target price of Rs 620/Share
Gujarat Gas Limited's volume outlook is expected to improve considerably as a recent steep increase in propane price would make industrial PNG (I-PNG) price competitive versus propane.
Recovery in I-PNG volume and recent steep fall in spot LNG price would act as key earnings recovery catalysts for GGAS.
The stock has been picked from the brokerage report of Sharekhan.
Greynium Information Technologies, the Author, and the respective Brokerage house are not liable for any losses caused as a result of decisions based on the article.
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By Shubham Kumar Goodreturns