Equity, Scrip Watch

Oil India

Scrip Sanctuaries for protection from the wildlife in this jungle of Indian Equities

Oil India

 

Oil India is the country’s second-largest hydrocarbon exploration and production public sector company

 

Financials: 

 

 

18/08/2020 52 W H/L: Rs 174/66 

Market Cap: Rs 10480 crs

Year CMP Fv Equity Capital Net Worth Long Term Debt Total Income PAT BV EPS P/E P/BV Promoter’s Holdings
Rs Rs Rs Cr. Rs Cr. Rs Cr. Rs Cr. Rs Cr. Rs Rs %
2020 97 10 1084 28849 12670 13317 3815 266 35.19 2.75 0.36 56.66
2019 10 1084 28974 10755 14907 3238 267 29.86
2018 10 757 29030 10690 11708 2735 384 36.14

Despite a rising PAT, the overall Networth fell due to the loss in Value of Indian Oil amounting to Rs 3943 crs in FY 20 routed through the Equity Instruments through Other Comprehensive Income section

Dividend Payout Policy: 

 

Oil India has a steady dividend payout policy like all other public sector companies. Usually, the company declares a final dividend in August or September. 

 

Dividend Payout ratio: 9.2% (only the Rs 9 interim dividend paid in Feb 2020is considered) 

 

Calendar Year Total Dividend
2020 9
2019 10.25
2018 15
2017 14.25
2016 16
2015 20

 

Recent Updates: 

 

On Monday, August 17th 2020, Oil India managed to cap an oil well blow out during worker maintenance in Assam’s Tinsukia district after 83 days (since May 27th). 

A total of 29,475 Metric Tonnes of Crude Oil and 69.71 Million Metric st Cubic Meter of Natural Gas have been Ibst respectively as a result of protests/blockades/ bandhs in and around Baghjan area since 27th May 2020 due to the Blowout. Bioremediation activities in affected areas are in progress.

Due to this, the future production capacity of the company may be impacted in the near term. 

 

Historical Price Chart:

Top 10 shareholders :

 

  1.  Life Insurance Corp of India – 12.0 %
  2.  Indian Oil Corp Ltd – 4.9 %
  3.  ICICI Prudential Asset Management – 3.1 %
  4.  Reliance Capital Trustee Co Ltd – 2.6 %
  5.  Hindustan Petroleum Corp Ltd – 2.5 %
  6. Bharat Petroleum Corp Ltd – 2.5 %
  7. Vanguard Group Inc –  1.0 %
  8. BlackRock Inc –  0.8%
  9.  ICICI Prudential Life Insurance Co – 0.4 1%
  10. WisdomTree Investments Inc –  0.4 %

 

Factors affecting future performance and Share Price Movement of Oil India : 

  1. The recovery of the Indian economy and the subsequent revival of demand for natural gas
  2. The time taken to recover from the oil well blowout and restore production capacity
  3. The repercussions and the compensations that will be provided to those affected by the blowout
  4. Movement of Crude Oil Prices 
  5. If the government decides to disinvest further. 

 

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