One of the most important aspects of any economy is the energy industry. The oil and gas industry, coal mining industry, power generation industry, and power distribution sector are all part of the industry. India is the world's third-largest energy and oil consumption. India's oil refining capacity was 250.2 MMT (million metric tonnes) as of March 31, 2021, making it Asia's second-largest refiner. By 2040, India plans to boost its capacity to 667 MTPA (million tonnes per annum). Below stocks are based on strong EPS and Low PE ratio and these having performed well in this year.
Bharat Petroleum Corporation (BPCL)
The Bharat Petroleum Corporation Ltd. was founded in 1952. Its share price presently is 462.65. The firm has a high level of operating leverage, with an average operating leverage of 4.57. The company's cash flow is well-managed, with a CFO/PAT ratio of 1.25. Its current market capitalisation stands at Rs 100360.48 Cr. Over a three-year period, the stock earned 25.34 percent, while Nifty Energy returned 49.85 percent to investors. BPCL has a PE ratio of 5.27, which is low and undervalued in comparison. The D/E ratio of BPCL is 1.44, indicating that the company has a low debt-to-capital ratio. BPCL's current year dividend is Rs 16.50, with a yield of 17.09 percent
The company Reliance Industries Ltd. was founded in 1973. Its share price currently is 2129.2. It currently has a market capitalization of Rs 1439779.95 crore. The company reported gross sales of Rs. 2789400 crores and total income of Rs. 2611790 crores in the most recent quarter. ies has a high PE ratio of 45.07, indicating that it is expensive, as well as a high EPS of 47.24 which is good. Reliance Industries' current year dividend is Rs 7, with a yield of 0.33 percent.
Only 2.4 percent of trading sessions in the last 16 years had intraday gains of more than 5%. Over a three-year period, the stock returned 14.73 percent, whereas Nifty Energy returned 49.85 percent to investors. The company has a high operating leverage, with an average operating leverage of 10.56. In Jammu and Kashmir and Ladakh, Hindustan Petroleum Corporation (HPCL) has become the first oil company to begin supplying ethanol-blended gasoline. Fuel is sent to the Ladakh region via the company's Leh facility, which is located at an elevation of 11,500 feet. A common guideline is that stocks with a low P/E ratio are undervalued (it depends on other factors too). HPCL has a PE ratio of 3.96, which is low and inexpensive in comparison ahd high EPS of Rs75.17.
Over a three-year period, the stock earned -18.44 percent, compared to Nifty Energy, which returned 49.85 percent. Only 0.89 percent of trading sessions in the last 11 years had intraday gains of more than 5%. In the last five years, the company has maintained effective average operating margins of 33.47 percent. Oil India has a PE ratio of 10.54, which is low and cheap by comparison. Oil India's current year dividend is Rs 10.60, with a yield of 6.32 percent.
Only 3.97 percent of trading sessions in the last 16 years had intraday drops of more than 5%. The stock returned 1253.69 percent over three years, compared to 45.73 percent for the Nifty 100. The corporation manages its cash flow well, with a CFO/PAT ratio of 2.48. Adani Enterprises' PE ratio is 424.06, which is high and pricey in comparison but the stock has done extremely well when compared to peers. Adani Enterprises has an Inventory Turnover Ratio of 10.17, indicating that the company's inventory and working capital management are inefficient.
Stock returned 107.51 percent over three years, compared to 37.42 percent for the Nifty Smallcap 100. Continental Petroleums Ltd. was founded in 1986 and is based in the United Kingdom. The current share price is 56.65. It now has a market capitalization of Rs 31.5 crore. For the past three years, the company has showed a good profit growth of 41.96 percent. The corporation manages its cash flow well, with a CFO/PAT ratio of 2.58
Energy Growth Stocks With High EPS and Low PE ratio
|Bharat Petroleum Corporation||462.90||5.27||₹ 87.78||21.19%|
|Reliance Industries||2,131.55||3.31||₹ 47.24||7.25%|
|Oil India||170||10.54||₹ 16.06||59.39%|
|Adani Enterprises||1,422.05||424.06||₹ 3.35||190.54%|
Top 10 Best Energy Stocks with Highest Market Cap
|Company||Market Cap in CR|
|Reliance Industries||Rs 14,39,780|
|Oil & Natural Gas Corporation Ltd(L)||1,48,951|
|Power Grid Corporation Of India Ltd(L)||1,19,306|
|Indian Oil Corporation Ltd(L)||1,02,144|
|Bharat Petroleum Corporation Ltd(L)||1,00,360|
|GAIL (India) Ltd(L)||67,183|
|Hindustan Petroleum Corporation Ltd(L)||42,280|
|Tata Power Company Ltd(L)||38,648|
Past stock performance is not a guarantee of future success. Market investments are susceptible to market risk. Any losses caused as a result of a choice based on the preceding content are not the responsibility of the author or Greynium Information Technologies. As a result, investors should proceed with care, as markets have risen dramatically. Please seek the advice of a professional expert.