BSE:530965

Stock Analysis Report

Executive Summary

Indian Oil Corporation Limited, together with its subsidiaries, engages in the refining, pipeline transportation, and marketing of petroleum products in India.

Snowflake

Fundamentals

Established dividend payer and good value.


Similar Companies

Share Price & News

How has Indian Oil's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.6%

530965

5.6%

IN Oil and Gas

3.9%

IN Market


1 Year Return

9.5%

530965

14.6%

IN Oil and Gas

6.0%

IN Market

Return vs Industry: 530965 underperformed the Indian Oil and Gas industry which returned 14.6% over the past year.

Return vs Market: 530965 exceeded the Indian Market which returned 6% over the past year.


Shareholder returns

530965IndustryMarket
7 Day1.6%5.6%3.9%
30 Day9.8%18.1%7.8%
90 Day-1.6%9.4%2.5%
1 Year16.7%9.5%18.0%14.6%8.2%6.0%
3 Year6.9%-10.2%51.5%35.9%23.0%16.7%
5 Year99.3%60.0%70.3%43.4%43.5%30.0%

Price Volatility Vs. Market

How volatile is Indian Oil's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Indian Oil undervalued compared to its fair value and its price relative to the market?

9.73x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: 530965 (₹145.6) is trading above our estimate of fair value (₹82.28)

Significantly Undervalued: 530965 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 530965 is good value based on its PE Ratio (9.7x) compared to the Oil and Gas industry average (12.6x).

PE vs Market: 530965 is good value based on its PE Ratio (9.7x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: 530965 is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: 530965 is good value based on its PB Ratio (1.2x) compared to the IN Oil and Gas industry average (1.2x).


Next Steps

Future Growth

How is Indian Oil forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

10.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 530965's forecast earnings growth (10.7% per year) is above the savings rate (7.6%).

Earnings vs Market: 530965's earnings (10.7% per year) are forecast to grow slower than the Indian market (18.2% per year).

High Growth Earnings: 530965's earnings are forecast to grow, but not significantly.

Revenue vs Market: 530965's revenue (1.4% per year) is forecast to grow slower than the Indian market (11.3% per year).

High Growth Revenue: 530965's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: 530965's Return on Equity is forecast to be low in 3 years time (15.1%).


Next Steps

Past Performance

How has Indian Oil performed over the past 5 years?

15.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 530965's earnings have grown by 15.8% per year over the past 5 years.

Accelerating Growth: 530965's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 530965 had negative earnings growth (-42.9%) over the past year, making it difficult to compare to the Oil and Gas industry average (10.3%).


Return on Equity

High ROE: 530965's Return on Equity (12%) is considered low.


Return on Assets

ROA vs Industry: 530965's Return on Assets is below or equal to the Oil and Gas industry average last year.


Return on Capital Employed

ROCE Improving: 530965's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Indian Oil's financial position?


Financial Position Analysis

Short Term Liabilities: 530965's short term assets (₹1,297.8B) do not cover its short term liabilities (₹1,607.2B)

Long Term Liabilities: 530965's short term assets (1,297.8B) exceeds its long term liabilities (600.9B)


Debt to Equity History and Analysis

Debt Level: 530965's debt to equity ratio (81.6%) is considered high

Reducing Debt: 530965's debt to equity ratio has reduced from 121.8% to 81.6% over the past 5 years.

Debt Coverage: 530965's debt is not well covered by operating cash flow (15.2%).

Interest Coverage: 530965's interest payments on its debt are well covered by EBIT (11.6x coverage).


Balance Sheet

Inventory Level: 530965 has a high level of physical assets or inventory.

Debt Coverage by Assets: 530965's debt is covered by short term assets (assets are 1.391630x debt).


Next Steps

Dividend

What is Indian Oil's current dividend yield, its reliability and sustainability?

6.35%

Current Dividend Yield


Dividend Yield vs Market

company6.4%marketbottom25%0.6%markettop25%2.4%industryaverage2.4%forecastin3Years5.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 530965's dividend (6.35%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: 530965's dividend (6.35%) is in the top 25% of dividend payers in the Indian market (2.42%)

Stable Dividend: 530965's dividend payments have been volatile in the past 10 years.

Growing Dividend: 530965's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.8%), 530965's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 530965's dividends in 3 years are forecast to be well covered by earnings (46.2% payout ratio).


Next Steps

Management

What is the CEO of Indian Oil's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average management tenure


CEO

Sanjiv Singh (59yo)

2.3yrs

Tenure

₹8,798,405

Compensation

Mr. Sanjiv Singh has been Chairman and Managing Director of Indian Oil Corporation Limited since June 1, 2017. Mr. Singh has been Whole-Time Director of Indian Oil Corporation Limited since July 1, 2014. H ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Sanjiv's total compensation is reasonable compared to companies of similar size in the Indian market.

Compensation vs Earnings: Sanjiv's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.7yrs

Average Tenure

58yo

Average Age

Experienced Management: 530965's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Age and Tenure

2.1yrs

Average Tenure

58yo

Average Age

Experienced Board: 530965's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Sell₹1,229,636,77601 Apr 19
India
EntityCompany
Shares122,964,424
Max Price₹10.00
Sell₹372,036,37308 Mar 19
India
EntityCompany
Shares37,203,876
Max Price₹10.00
Sell₹2,613,725,39411 Dec 18
India
EntityCompany
Shares261,374,221
Max Price₹10.00

Ownership Breakdown


Management Team

  • Sanjiv Singh (59yo)

    Chairman & MD

    • Tenure: 2.3yrs
    • Compensation: ₹8.80m
  • S. S. Ramakumar (56yo)

    Director of Research & Development and Whole-Time Executive Director

    • Tenure: 2.7yrs
    • Compensation: ₹9.57m
  • Ranjan Mohapatra (54yo)

    Director of HR & Whole-time Executive Director

    • Tenure: 1.7yrs
    • Compensation: ₹8.09m
  • Govind Satish (58yo)

    Director of Planning & Business Development and Whole-Time Executive Director

    • Tenure: 3.1yrs
    • Compensation: ₹8.77m
  • Gurmeet Singh (58yo)

    Director of Marketing & Whole-time Executive Director

    • Tenure: 1.3yrs
    • Compensation: ₹8.46m
  • Subrat Nayak

    General Manager of Information Systems - Refinery Head Quarters

    • Tenure: 0yrs
  • Kamal Gwalani

    Compliance Officer & Company Secretary

    • Tenure: 2.1yrs
    • Compensation: ₹7.10m
  • Akshay Singh (58yo)

    Director of Pipelines & Whole-time Executive Director

    • Tenure: 1.2yrs
    • Compensation: ₹5.06m
  • Sandeep Gupta

    CFO & Director of Finance

    • Tenure: 0.4yrs
  • Rohit Agrawala

    General Manager of Corporate Finance

    • Tenure: 0yrs

Board Members

  • Sanjiv Singh (59yo)

    Chairman & MD

    • Tenure: 2.3yrs
    • Compensation: ₹8.80m
  • S. S. Ramakumar (56yo)

    Director of Research & Development and Whole-Time Executive Director

    • Tenure: 2.7yrs
    • Compensation: ₹9.57m
  • Ranjan Mohapatra (54yo)

    Director of HR & Whole-time Executive Director

    • Tenure: 1.7yrs
    • Compensation: ₹8.09m
  • Govind Satish (58yo)

    Director of Planning & Business Development and Whole-Time Executive Director

    • Tenure: 3.1yrs
    • Compensation: ₹8.77m
  • Samirendra Chatterjee (66yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: ₹640.00k
  • Gurmeet Singh (58yo)

    Director of Marketing & Whole-time Executive Director

    • Tenure: 1.3yrs
    • Compensation: ₹8.46m
  • Sankar Chakraborti (48yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: ₹840.00k
  • Parindu Bhagat (66yo)

    Independent Non-Executive Director

    • Tenure: 3.8yrs
    • Compensation: ₹1.12m
  • Jagdish Kishwan (66yo)

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: ₹1.00m
  • Akshay Singh (58yo)

    Director of Pipelines & Whole-time Executive Director

    • Tenure: 1.2yrs
    • Compensation: ₹5.06m

Company Information

Indian Oil Corporation Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Indian Oil Corporation Limited
  • Ticker: 530965
  • Exchange: BSE
  • Founded: 1959
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: ₹1.333t
  • Shares outstanding: 9.16b
  • Website: https://www.iocl.com

Number of Employees


Location

  • Indian Oil Corporation Limited
  • 3079/3, J.B. Tito Marg
  • Sadiq Nagar
  • New Delhi
  • Delhi
  • 110049
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
530965BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1996
IOCNSEI (National Stock Exchange of India)YesEquity SharesININRJul 1996

Biography

Indian Oil Corporation Limited, together with its subsidiaries, engages in the refining, pipeline transportation, and marketing of petroleum products in India. It is also involved in the exploration and pr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 12:41
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.