Why is GAIL (India) Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 2.16 times
2
The company has declared positive results in Jun'2026 after 3 consecutive negative quarters
- DEBTORS TURNOVER RATIO(HY) Highest at 16.51 times
- NET SALES(Q) Highest at Rs 41,197.61 cr
- PBDIT(Q) Highest at Rs 7,097.86 cr.
3
With ROCE of 6.9, it has a 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 2.17%, its profits have fallen by -28.2%
4
Market Beating performance in long term as well as near term
- Along with generating 2.17% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
5
With its market cap of Rs 1,14,111 cr, it is the biggest company in the sector and constitutes 43.88% of the entire sector
- Its annual Sales of Rs 141,597.72 are 68.40% of the industry
How much should you buy?
- Overall Portfolio exposure to GAIL (India) should be less than 10%
- Overall Portfolio exposure to Gas should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gas)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is GAIL (India) for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
GAIL (India)
2.17%
0.09
24.65%
Sensex
-3.81%
-0.28
13.58%
Quality key factors
Factor
Value
Sales Growth (5y)
19.80%
EBIT Growth (5y)
8.64%
EBIT to Interest (avg)
22.87
Debt to EBITDA (avg)
1.49
Net Debt to Equity (avg)
0.26
Sales to Capital Employed (avg)
1.37
Tax Ratio
22.04%
Dividend Payout Ratio
39.61%
Pledged Shares
0
Institutional Holding
41.69%
ROCE (avg)
10.97%
ROE (avg)
12.31%
Valuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
20
Price to Book Value
1.34
EV to EBIT
18.50
EV to EBITDA
12.34
EV to Capital Employed
1.27
EV to Sales
1.00
PEG Ratio
NA
Dividend Yield
3.31%
ROCE (Latest)
6.87%
ROE (Latest)
8.51%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
15What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 16.51 times
NET SALES(Q)
Highest at Rs 41,197.61 cr
PBDIT(Q)
Highest at Rs 7,097.86 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 17.23%
PBT LESS OI(Q)
Highest at Rs 6,135.09 cr.
PAT(Q)
Highest at Rs 4,665.36 cr.
EPS(Q)
Highest at Rs 7.10
-3What is not working for the Company
ROCE(HY)
Lowest at 9.39%
Loading Valuation Snapshot...
Here's what is working for GAIL (India)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 6,135.09 cr has Grown at 198.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 2,053.78 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 4,665.36 cr has Grown at 146.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 1,895.62 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 41,197.61 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 7,097.86 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 17.23%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 6,135.09 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 4,665.36 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 7.10
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Highest at 16.51 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio






