Oil India Valuation

Is OIL undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of OIL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: OIL (₹555.25) is trading above our estimate of fair value (₹162.84)

Significantly Below Fair Value: OIL is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for OIL?

Other financial metrics that can be useful for relative valuation.

OIL key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue3.4x
Enterprise Value/EBITDA8.5x
PEG Ratio1.7x

Price to Earnings Ratio vs Peers

How does OIL's PE Ratio compare to its peers?

The above table shows the PE ratio for OIL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.9x
HINDPETRO Hindustan Petroleum
4.6x-25.1%₹737.7b
BPCL Bharat Petroleum
7x-12.9%₹1.3t
PETRONET Petronet LNG
14x3.6%₹512.0b
500186 Hindustan Oil Exploration
13.8xn/a₹31.3b
OIL Oil India
14.3x8.6%₹903.2b

Price-To-Earnings vs Peers: OIL is expensive based on its Price-To-Earnings Ratio (14.3x) compared to the peer average (9.9x).


Price to Earnings Ratio vs Industry

How does OIL's PE Ratio compare vs other companies in the IN Oil and Gas Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.3%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a7.3%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: OIL is good value based on its Price-To-Earnings Ratio (14.3x) compared to the Indian Oil and Gas industry average (14.7x).


Price to Earnings Ratio vs Fair Ratio

What is OIL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

OIL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.3x
Fair PE Ratio13.7x

Price-To-Earnings vs Fair Ratio: OIL is expensive based on its Price-To-Earnings Ratio (14.3x) compared to the estimated Fair Price-To-Earnings Ratio (13.7x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst OIL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹555.25
₹468.73
-15.6%
24.3%₹663.00₹240.00n/a17
Jul ’25₹475.90
₹459.88
-3.4%
20.0%₹537.33₹240.00n/a16
Jun ’25₹423.80
₹456.63
+7.7%
19.7%₹537.33₹240.00n/a16
May ’25₹413.43
₹382.43
-7.5%
26.8%₹525.33₹160.00n/a17
Apr ’25₹394.00
₹360.86
-8.4%
25.1%₹503.33₹160.00n/a17
Mar ’25₹392.77
₹334.33
-14.9%
23.9%₹446.67₹160.00n/a18
Feb ’25₹290.90
₹264.96
-8.9%
18.8%₹356.00₹160.00n/a16
Jan ’25₹252.50
₹236.27
-6.4%
14.6%₹296.67₹160.00n/a17
Dec ’24₹206.60
₹231.61
+12.1%
12.7%₹273.33₹160.00n/a17
Nov ’24₹201.13
₹217.92
+8.3%
13.7%₹280.00₹140.00n/a16
Oct ’24₹199.23
₹207.92
+4.4%
13.1%₹237.33₹140.00n/a16
Sep ’24₹182.03
₹205.87
+13.1%
13.2%₹237.33₹140.00n/a15
Aug ’24₹182.93
₹200.04
+9.4%
14.6%₹246.67₹133.33n/a15
Jul ’24₹163.30
₹200.76
+22.9%
14.8%₹246.67₹133.33₹475.9014
Jun ’24₹169.50
₹201.62
+18.9%
14.8%₹246.67₹133.33₹423.8014
May ’24₹169.90
₹185.59
+9.2%
15.1%₹226.00₹116.67₹413.4313
Apr ’24₹167.77
₹180.83
+7.8%
12.9%₹215.33₹116.67₹394.0012
Mar ’24₹172.30
₹177.02
+2.7%
13.3%₹215.33₹116.67₹392.7715
Feb ’24₹149.87
₹164.09
+9.5%
14.6%₹200.00₹110.00₹290.9015
Jan ’24₹138.80
₹162.67
+17.2%
14.7%₹200.00₹110.00₹252.5015
Dec ’23₹138.17
₹162.67
+17.7%
14.7%₹200.00₹110.00₹206.6015
Nov ’23₹128.37
₹163.05
+27.0%
20.6%₹223.33₹90.00₹201.1314
Oct ’23₹116.30
₹162.71
+39.9%
20.5%₹218.67₹90.00₹199.2314
Sep ’23₹128.30
₹171.87
+34.0%
17.4%₹218.67₹90.00₹182.0315
Aug ’23₹129.23
₹182.62
+41.3%
17.4%₹233.33₹90.00₹182.9315
Jul ’23₹142.57
₹204.57
+43.5%
21.6%₹280.00₹90.00₹163.3014

Analyst Forecast: Target price is lower than the current share price.


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