Petronet LNG Limited

NSEI:PETRONET Stock Report

Market Cap: ₹470.9b

Petronet LNG Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 PETRONET when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PETRONET (₹321.85) is trading above our estimate of fair value (₹263.4)

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

Key Valuation Metric

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

Key metric: As PETRONET is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for PETRONET. This is calculated by dividing PETRONET's market cap by their current earnings.
What is PETRONET's PE Ratio?
PE Ratio12.2x
Earnings₹39.54b
Market Cap₹470.93b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for PETRONET vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average46.6x
AEGISLOG Aegis Logistics
48.1x21.0%₹294.8b
500620 Great Eastern Shipping
5.4x-7.4%₹151.5b
542543 India Infrastructure Trust
20.1xn/a₹57.1b
RIIL Reliance Industrial Infrastructure
112.7xn/a₹15.3b
PETRONET Petronet LNG
12.2x4.2%₹470.9b

Price-To-Earnings vs Peers: PETRONET is good value based on its Price-To-Earnings Ratio (12.2x) compared to the peer average (46.6x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
533704 Essar Shipping
1.7xn/aUS$93.12m
No more companies available in this PE range
PETRONET 12.2xIndustry Avg. 21.0xNo. of Companies4PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: PETRONET is good value based on its Price-To-Earnings Ratio (12.2x) compared to the Indian Oil and Gas industry average (21x).

Price to Earnings Ratio vs Fair Ratio

What is PETRONET'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.

PETRONET PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.2x
Fair PE Ratio11.5x

Price-To-Earnings vs Fair Ratio: PETRONET is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the estimated Fair Price-To-Earnings Ratio (11.5x).

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 PETRONET forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹321.85
₹329.87
+2.5%
17.1%₹425.00₹235.00n/a31
Nov ’25₹335.90
₹329.56
-1.9%
16.8%₹425.00₹235.00n/a32
Oct ’25₹344.10
₹319.00
-7.3%
17.0%₹412.00₹235.00n/a32
Sep ’25₹367.30
₹318.69
-13.2%
17.2%₹412.00₹235.00n/a32
Aug ’25₹367.75
₹310.97
-15.4%
17.1%₹412.00₹235.00n/a31
Jul ’25₹333.80
₹284.32
-14.8%
14.4%₹360.00₹220.00n/a31
Jun ’25₹297.35
₹281.34
-5.4%
14.8%₹360.00₹212.00n/a32
May ’25₹310.55
₹251.53
-19.0%
15.5%₹320.00₹190.00n/a32
Apr ’25₹265.40
₹248.03
-6.5%
15.3%₹320.00₹190.00n/a31
Mar ’25₹282.70
₹248.68
-12.0%
15.6%₹320.00₹190.00n/a31
Feb ’25₹265.70
₹249.10
-6.2%
15.8%₹320.00₹190.00n/a30
Jan ’25₹225.60
₹230.13
+2.0%
14.6%₹303.00₹175.00n/a30
Dec ’24₹201.95
₹231.10
+14.4%
14.5%₹303.00₹175.00n/a31
Nov ’24₹193.75
₹234.73
+21.2%
15.2%₹303.00₹165.00₹335.9030
Oct ’24₹239.95
₹260.52
+8.6%
12.0%₹325.00₹210.00₹344.1029
Sep ’24₹219.55
₹260.00
+18.4%
12.2%₹325.00₹210.00₹367.3028
Aug ’24₹233.55
₹259.10
+10.9%
11.8%₹325.00₹210.00₹367.7531
Jul ’24₹222.70
₹257.38
+15.6%
12.6%₹322.00₹200.00₹333.8029
Jun ’24₹223.25
₹256.60
+14.9%
12.5%₹322.00₹200.00₹297.3530
May ’24₹236.90
₹250.20
+5.6%
12.9%₹330.00₹210.00₹310.5530
Apr ’24₹228.85
₹249.67
+9.1%
13.1%₹330.00₹210.00₹265.4030
Mar ’24₹220.25
₹249.55
+13.3%
12.9%₹330.00₹208.00₹282.7031
Feb ’24₹216.40
₹251.03
+16.0%
12.5%₹330.00₹210.00₹265.7032
Jan ’24₹215.45
₹252.97
+17.4%
14.5%₹330.00₹210.00₹225.6030
Dec ’23₹210.90
₹251.73
+19.4%
15.1%₹330.00₹186.00₹201.9530
Nov ’23₹210.60
₹252.74
+20.0%
15.2%₹330.00₹186.00₹193.7531

Analyst Forecast: Target price is less than 20% higher than the current share price.

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