Hold Petronet LNG, target price Rs 210: ICICI Securities

ICICI Securities has hold call on Petronet LNG with a target price of Rs 210. The current market price of Petronet LNG is Rs 219.3.

Petronet LNG, incorporated in the year 1998, is a Large Cap company (having a market cap of Rs 32850.00 Crore) operating in Gas & Petroleum sector.

Petronet LNG key Products/Revenue Segments include Liquified Natural Gas, Other Services and Other Operating Revenue for the year ending 31-Mar-2022.

Financials
For the quarter ended 30-09-2022, the company has reported a Consolidated Total Income of Rs 16073.66 Crore, up 11.72 % from last quarter Total Income of Rs 14388.00 Crore and up 47.61 % from last year same quarter Total Income of Rs 10888.95 Crore. Company has reported net profit after tax of Rs 737.61 Crore in latest quarter.

The company’s top management includes Mr.Pankaj Jain, Mr.Sanjeev Kumar, Mr.Arun Kumar Singh, Mr.S M Vaidya, Mr.Manoj Jain, Mr.Sundeep Bhutoria, Mr.Sanjeev Mitla, Ms.Bhaswati Mukherjee, Mr.Sidhartha Pradhan, Mr.Pramod Narang, Mr.V K Mishra, Mr.Akshay Kumar Singh, Dr.(Ms.)Alka Mittal. Company has T R Chadha & Co. as its auditors. As on 30-09-2022, the company has a total of 150 Crore shares outstanding.

Investment Rationale
The combination of weak gas demand, supply shortages caused by geopolitical issues (Gazprom force majeure) and pricing(high spot LNG prices constraining Dahej third party regas offtake) is likely to lead to another weak quarter for GAIL, PLNG and GSPL.

Promoter/FII Holdings
Promoters held 50 per cent stake in the company as of 30-Sep-2022, while FIIs owned 34.83 per cent, DIIs 3.85 per cent.