NSEI:ADANIGAS

Stock Analysis Report

Executive Summary

Adani Gas Limited sells natural gas. The company distributes piped natural gas to industrial, commercial, and residential customers; and compressed natural gas to transportation sector.

Snowflake

Fundamentals

Solid track record with adequate balance sheet.

Share Price & News

How has Adani Gas's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.2%

ADANIGAS

3.8%

IN Gas Utilities

3.8%

IN Market


1 Year Return

n/a

ADANIGAS

-2.3%

IN Gas Utilities

6.0%

IN Market

Return vs Industry: Insufficient data to determine how ADANIGAS performed against the Indian Gas Utilities industry.

Return vs Market: Insufficient data to determine how ADANIGAS performed against the Indian Market.


Shareholder returns

ADANIGASIndustryMarket
7 Day0.2%3.8%3.8%
30 Day13.2%2.2%2.9%
90 Day-7.6%1.7%2.9%
1 Yearn/a-0.3%-2.3%8.2%6.0%
3 Yearn/a35.2%28.0%23.0%16.7%
5 Yearn/a25.2%11.5%43.6%30.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Adani Gas undervalued compared to its fair value and its price relative to the market?

65.66x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ADANIGAS (₹151) is trading above our estimate of fair value (₹21.39)

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


Price To Earnings Ratio

PE vs Industry: ADANIGAS is poor value based on its PE Ratio (65.7x) compared to the Gas Utilities industry average (19.7x).

PE vs Market: ADANIGAS is poor value based on its PE Ratio (65.7x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ADANIGAS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ADANIGAS is overvalued based on its PB Ratio (15.1x) compared to the IN Gas Utilities industry average (4.8x).


Next Steps

  • Explore potentially undervalued companies in the Utilities industry.

Future Growth

How is Adani Gas forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ADANIGAS's forecast earnings growth (16.8% per year) is above the savings rate (7.6%).

Earnings vs Market: ADANIGAS's earnings (16.8% per year) are forecast to grow slower than the Indian market (18% per year).

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

Revenue vs Market: Insufficient data to determine if ADANIGAS's revenue is forecast to grow faster than the Indian market.

High Growth Revenue: Insufficient data to determine if ADANIGAS's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ADANIGAS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Adani Gas performed over the past 5 years?

24.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ADANIGAS's earnings have grown significantly by 24.6% per year over the past 5 years.

Accelerating Growth: ADANIGAS's earnings growth over the past year (43.9%) exceeds its 5-year average (24.6% per year).

Earnings vs Industry: ADANIGAS earnings growth over the past year (43.9%) exceeded the Gas Utilities industry 32.3%.


Return on Equity

High ROE: ADANIGAS's Return on Equity (23%) is considered high.


Return on Assets

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


Return on Capital Employed

ROCE Improving: ADANIGAS has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Adani Gas's financial position?


Financial Position Analysis

Short Term Liabilities: ADANIGAS's short term assets (₹6.7B) exceeds its short term liabilities (₹2.2B)

Long Term Liabilities: ADANIGAS's short term assets (6.7B) do not cover its long term liabilities (7.2B)


Debt to Equity History and Analysis

Debt Level: ADANIGAS's debt to equity ratio (35.8%) is considered satisfactory

Reducing Debt: Insufficient data to determine if ADANIGAS's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: ADANIGAS's debt is well covered by operating cash flow (90.4%).

Interest Coverage: ADANIGAS earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: ADANIGAS's debt is covered by short term assets (assets are 1.709670x debt).


Next Steps

Dividend

What is Adani Gas's current dividend yield, its reliability and sustainability?

0.16%

Current Dividend Yield


Dividend Yield vs Market

company0.2%marketbottom25%0.6%markettop25%2.4%industryaverage1.8%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ADANIGAS's dividend (0.17%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: ADANIGAS's dividend (0.17%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).

Stable Dividend: ADANIGAS is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: ADANIGAS is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: ADANIGAS is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ADANIGAS's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

1.0yrs

Average board tenure


CEO

Suresh Manglani (54yo)

0yrs

Tenure

₹14,261,600

Compensation

Mr. Suresh P. Manglani has been Chief Executive Officer of Gas Distribution at Adani Enterprises Limited since October 2018. Mr. Manglani Vice President, Gas Business at Reliance Industries. Mr. Manglani i ...


CEO Compensation Analysis

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

Compensation vs Earnings: Insufficient data to compare Suresh's compensation with company performance.


Board Age and Tenure

1.0yrs

Average Tenure

61yo

Average Age

Experienced Board: ADANIGAS's board of directors are not considered experienced ( 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.


Ownership Breakdown


Management Team

  • Parag Parikh (43yo)

    Chief Financial Officer

    • Tenure: 0.08yrs
  • Suresh Manglani (54yo)

    CEO & Executive Director

    • Tenure: 0yrs
    • Compensation: ₹14.26m
  • Gunjan Taunk

    Company Secretary & Compliance Officer

    • Tenure: 0yrs
  • Peeyush Tripathi (54yo)

    Senior Vice President

    • Tenure: 0yrs
  • Bhashit Dholakia (50yo)

    Senior Vice President

    • Tenure: 0yrs
  • Anirban Kapat (46yo)

    Associate GM & Head of HR

    • Tenure: 0yrs

Board Members

  • Naresh Nayyar (67yo)

    Independent & Non-Executive Director

    • Tenure: 1yrs
    • Compensation: ₹682.00k
  • Gautam Adani (57yo)

    Chairman

    • Tenure: 0yrs
  • Pranav Adani (41yo)

    Director

    • Tenure: 10.2yrs
  • Suresh Manglani (54yo)

    CEO & Executive Director

    • Tenure: 0yrs
    • Compensation: ₹14.26m
  • Chandra Iyengar (69yo)

    Independent & Non-Executive Director

    • Tenure: 1yrs
    • Compensation: ₹682.00k
  • Maheshwar Sahu (65yo)

    Independent & Non-Executive Director

    • Tenure: 1yrs
    • Compensation: ₹707.00k

Company Information

Adani Gas Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Adani Gas Limited
  • Ticker: ADANIGAS
  • Exchange: NSEI
  • Founded: 2004
  • Industry: Gas Utilities
  • Sector: Utilities
  • Market Cap: ₹166.071b
  • Shares outstanding: 1.10b
  • Website: https://www.adanigas.com

Number of Employees


Location

  • Adani Gas Limited
  • Adani Corporate House
  • Shantigram
  • Ahmedabad
  • Gujarat
  • 382421
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
542066BSE (Mumbai Stock Exchange)YesEquity SharesININRNov 2018
ADANIGASNSEI (National Stock Exchange of India)YesEquity SharesININRNov 2018

Biography

Adani Gas Limited sells natural gas. The company distributes piped natural gas to industrial, commercial, and residential customers; and compressed natural gas to transportation sector. It has a gas distri ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 12:59
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.