Bharat Petroleum Corporation Ltd (BPCL) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

C P C L

MRPL

Gulf Oil Lubric.

ONGC

B P C L

Oil India

Reliance Industr

I O C L

Castrol India

HPCL

Vedanta Oil and

Why is Bharat Petroleum Corporation Ltd ?

High Management Efficiency with a high ROCE of 17.29%

PBT LESS OI(Q) At Rs -6,349.50 cr has Fallen at -179.6% (vs previous 4Q average)
PAT(9M) At Rs 9,186.46 cr has Grown at -39.59%
PBDIT(Q) Lowest at Rs -4,054.81 cr.

With ROCE of 24.8, it has a Very Attractive valuation with a 1.3 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 2.34%, its profits have fallen by -11.7%
At the current price, the company has a high dividend yield of 5.4

High Institutional Holdings at 38.78%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to B P C L should be less than 10%
Overall Portfolio exposure to Oil should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Oil)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is B P C L for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

B P C L

2.27%

0.08

29.26%

Sensex

-2.86%

-0.21

13.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.43%

EBIT Growth (5y)

4.30%

EBIT to Interest (avg)

5.54

Debt to EBITDA (avg)

3.49

Net Debt to Equity (avg)

0.34

Sales to Capital Employed (avg)

3.23

Tax Ratio

24.54%

Dividend Payout Ratio

32.04%

Pledged Shares

Institutional Holding

38.78%

ROCE (avg)

17.59%

ROE (avg)

21.04%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.40

EV to EBIT

8.97

EV to EBITDA

6.35

EV to Capital Employed

1.30

EV to Sales

0.35

PEG Ratio

Dividend Yield

5.42%

ROCE (Latest)

24.81%

ROE (Latest)

26.10%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

6What is working for the Company

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 17,760.55 cr

DEBTORS TURNOVER RATIO(HY)

Highest at 104.97 times

NET SALES(Q)

At Rs 151,277.03 cr has Grown at 32.9% (vs previous 4Q average

-17What is not working for the Company

PBT LESS OI(Q)

At Rs -6,349.50 cr has Fallen at -179.6% (vs previous 4Q average

PAT(9M)

At Rs 9,186.46 cr has Grown at -39.59%

PBDIT(Q)

Lowest at Rs -4,054.81 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at -2.68%

EPS(Q)

Lowest at Rs -4.38

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Here's what is working for B P C L

Net Sales - Quarterly

Highest at Rs 151,277.03 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 151,277.03 cr has Grown at 32.9% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 113,807.01 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 17,760.55 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debtors Turnover Ratio- Half Yearly

Highest at 104.97 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for B P C L

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -6,349.50 cr has Fallen at -179.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 7,975.80 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -3,757.26 cr has Fallen at -157.5% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 6,537.31 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -4,054.81 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at -2.68%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -6,349.50 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -4.38

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Non Operating Income - Quarterly

Highest at Rs 1,249.30 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income