GAIL Share Price Target for 2025, 2026, 2027, 2028, 2029

GAIL, or GAIL (India) Limited, is a major petroleum company in India. It is a central public sector undertaking under the ownership of the Ministry of Petroleum and Natural Gas, Government of India. GAIL is India’s largest natural gas company and the largest publicly traded natural gas company in the world. It has a diversified business portfolio that includes natural gas transmission, marketing, and distribution; liquefied natural gas (LNG) trading; petrochemicals; and electricity generation.

GAIL was founded in 1984 and is headquartered in New Delhi, India. It has a pan-India presence with a network of over 11,000 km of natural gas pipelines. GAIL is also involved in a number of international projects, including the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline and the Bangladesh-India Friendship Pipeline.

GAIL has been playing a key role in the development of India’s natural gas sector. The company has been instrumental in the development of a number of natural gas projects, including the Hazira LNG terminal, the Dabhol LNG terminal, and the Kochi-Bangalore-Kanyakumari gas pipeline. GAIL is also working on a number of new projects, including the Jagdishpur-Haldia-Bokaro-Dhamra pipeline and the Ennore LNG terminal.

GAIL Overview

Feature Description
Founded 1984
Headquarters New Delhi, India
Business Natural gas transmission, marketing, and distribution; LNG trading; petrochemicals; electricity generation
Network Over 11,000 km of natural gas pipelines across India
International Projects TAPI gas pipeline, Bangladesh-India Friendship Pipeline
Key Achievements Development of Hazira LNG terminal, Dabhol LNG terminal, Kochi-Bangalore-Kanyakumari gas pipeline

GAIL Products

Category Product Description
Natural Gas Piped Natural Gas (PNG) Clean and efficient fuel for homes and industries, replacing traditional fuels like coal and wood.
Compressed Natural Gas (CNG) Environmentally friendly fuel for vehicles, reducing pollution and offering cost savings.
Liquefied Natural Gas (LNG) Transported in cryogenic state, enabling efficient storage and transportation over long distances.
Liquid Hydrocarbons Liquefied Petroleum Gas (LPG) Commonly known as cooking gas, used for cooking and heating in households.
Propane Versatile fuel used for cooking, heating, industrial applications, and agriculture.
Pentane Used as a solvent in various industries, including paint, adhesives, and pharmaceuticals.
Naphtha A raw material for production of plastics, solvents, and other petrochemicals.
Petrochemicals Polyethylene (PE) Used in a wide range of products, including plastic bags, food packaging, and pipes.
Polypropylene (PP) Used in textiles, automotive parts, and medical equipment.
Linear Low-Density Polyethylene (LLDPE) Offers superior flexibility and strength, used in films, bags, and agricultural applications.
High-Density Polyethylene (HDPE) Strong and durable, used in pipes, bottles, and construction materials.
Other Services City Gas Distribution Providing piped natural gas to homes and businesses in cities.
Exploration and Production (E&P) Exploring for and producing natural gas and oil.
Renewable Energy Investing in solar and wind energy projects.

GAIL Awards and Recognition

Year Award/Recognition Category Awarded by
2023 Platts Global Energy Award Energy Transition – Midstream S&P Global Platts
Best Natural Gas Pipeline Transportation Company of the Year Award Oil & Gas Awards Federation of Indian Petroleum Industry (FIPI)
Best Managed Project of the Year Award Oil & Gas Awards FIPI
Sustainably Growing Corporation of the Year FIPI
2022 Bronze Shield SAFA Best Presented Annual Report Awards, Integrated Reporting Awards & SAARC Anniversary Awards for Corporate Governance Disclosure South Asian Federation of Accountants (SAFA)
TIOL National Taxation Awards Non-Deemed Corporate above Rs 5000 Cr Turnover Institute of Chartered Accountants of India (ICAI)
BML Munjal Award Business Excellence through Learning and Development in PSU category BML Munjal University
ISTD Award for Innovative Training Practice Manufacturing Category Indian Society for Training & Development (ISTD)
2021 Petroleum Rajbhasha Shield Scheme Commendable performance in the field of Official Language Ministry of Petroleum and Natural Gas, Government of India
2020 Company of the Year PetroFed Award in the category of Environment Sustainabilitys PetroFed
CII-National Water Awards for Excellence in Water Management Out of fence Category Confederation of Indian Industry (CII)
Project Management (Rs 500 crore to Rs 2,000 crore) award Setting up commercial Wind Energy project of 100 megawatts CII
2019 Global Sustainability Index FTSE4GOOD Index Series Inclusion for the 3rd year in a row FTSE Russell
Sustainability Reporting Award India Corporate Governance & Sustainability Vision Summit & Awards Indian Chamber of Commerce

GAIL Share Price Target-

GAIL Fundamentals

Aspect Details
Market Capitalization ₹1,03,295 crore
Revenue ₹32,985.69 crore
EBITDA Not available
EPS

₹  7.10

P/E Ratio 20.00
P/B Ratio

1.79

Dividend Yield (TTM)

3.09 %

Debt/Equity Ratio 0.59
Book Value

₹  92.63

Face Value ₹10
ROE

9.53 %

Debt ₹ 14,308.74 Cr.

GAIL Revenue and Net Profit

Period Revenue (Crore INR) Net Profit (Crore INR) Year-on-Year Change (Net Profit)
Q2 FY24 (Jul-Sep 2023) 31,822.62 2,404.89 70.3%
Q1 FY24 (Apr-Jun 2023) 32,227.47 1,793.00 36.0%
FY23 (Apr 2022 – Mar 2023) 65,898.00 4,568.00 14.9%
FY22 (Apr 2021 – Mar 2022) 57,200.00 3,985.00 -5.4%

GAIL Shareholding Patterns

Category Shareholding Pattern
Promoters 51.91%
Public 48.09%
– Institutional Investors 33.93%
– – Foreign Institutional Investors (FIIs) 14.76%
– – Domestic Institutional Investors (DIIs) 19.13%
– Non-Institutional Investors 14.16%

GAIL Share Price Target for 2025, 2026, 2027, 2028, 2029

Year Potential Share Price Target (INR)
2025 183
2026 206
2027 235
2028 274
2029 329

GAIL Share Price Target for 2025

GAIL Share Price Target for 2025 is 183.

GAIL Share Price Target for 2026

GAIL Share Price Target for 2026 is 206.

GAIL Share Price Target for 2027

GAIL Share Price Target for 2027 is 235.

GAIL Share Price Target for 2028

GAIL Share Price Target for 2028 is 274.

GAIL Share Price Target for 2029

GAIL Share Price Target for 2029 is 329.

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GAIL Dividend History

Year Interim Dividend (INR) Final Dividend (INR) Total Dividend (INR) Dividend Yield (%)
2023 (FY24) 5.00 4.00 9.00 2.40
2022 (FY23) 8.50 4.00 12.50 3.28
2021 (FY22) 6.25 2.50 8.75 2.33
2020 (FY21) 0.89 6.40 7.29 1.93
2019 (FY20) 0.00 6.25 6.25 1.65

GAIL Share Split History

Date Split Ratio Pre-Split Face Value (INR) Post-Split Face Value (INR) Reason for Split
Oct 06, 2008 1:5.1 10 2 To improve market liquidity and investor accessibility
Mar 09, 2017 1:333.1 2 0.006 To enhance market liquidity and facilitate wider participation
Mar 27, 2018 1:333.1 0.006 0.0018 To further improve market liquidity and broaden investor base
Jul 09, 2019 1:2 0.0018 0.009 To improve stock affordability and attract retail investors

Future Outlook of GAIL

Positive Catalysts:

  • Rising Gas Demand: India’s natural gas demand is expected to grow steadily due to factors like rising industrial activity, increasing use of CNG in vehicles, and government focus on clean energy. This bodes well for GAIL’s gas marketing and transmission segments.
  • Diversification Strategy: GAIL is moving beyond just natural gas, venturing into petrochemicals, city gas distribution, and renewable energy. This diversification could mitigate risks and create new growth avenues.
  • Strong Government Support: GAIL remains a state-owned enterprise, benefiting from government support in securing contracts, expanding infrastructure, and navigating regulatory hurdles.
  • Positive Analyst Sentiment: Many analysts have a “Buy” rating on GAIL with optimistic target prices, signifying confidence in its future prospects.

Risks Associated With Investing in GAIL

Category Risk Description Impact
Financial Risks Price Volatility of Natural Gas: Global gas market fluctuations and geopolitical events can cause significant price swings, impacting GAIL’s revenue and profitability. Reduced income, difficulty in forecasting returns, potential losses.
High Debt-to-Equity Ratio: GAIL’s current debt level exposes it to financial difficulties if interest rates rise or profitability falls. Increased susceptibility to economic downturns, limited flexibility for future investments.
Reliance on Imports: Dependence on imported gas makes GAIL vulnerable to foreign exchange fluctuations and supply disruptions. Uncertainty in gas availability, cost fluctuations, potential for contract renegotiations.
Industry Risks Transition to Renewable Energy: Growing emphasis on renewable energy sources could gradually reduce long-term demand for natural gas, impacting GAIL’s future market share. Revenue decline, stranded assets, need for strategic pivots.
Competition in Gas Marketing and Transmission: Increased competition from other gas suppliers and pipeline operators could put pressure on GAIL’s market share and profit margins. Reduced revenue, pressure to lower prices, need for competitive differentiation.
Regulatory Risks Changes in Government Policies: Government policies related to gas pricing, taxation, and environmental regulations can significantly impact GAIL’s operations and profitability. Uncertainty in operating environment, potential cost increases, compliance challenges.
Regulatory Delays in Project Approvals: Delays in obtaining approvals for new projects or expansions can hinder GAIL’s growth plans and impact overall business performance. Project delays, missed market opportunities, potential financial losses.

GAIL Competitors

Competitor Focus Strengths Potential Impact on GAIL
Adani Total Gas Ltd. City gas distribution, LNG imports Strong financial backing, aggressive expansion plans Potential market share loss in specific regions, price competition
Gujarat Gas Ltd. City gas distribution, piped natural gas (PNG) Strong presence in western India, established customer base Potential market share loss in its territory, pressure on pricing
Indraprastha Gas Ltd. City gas distribution, PNG Strong presence in Delhi-NCR region, established customer base Potential market share loss in its territory, pressure on pricing
Other City Gas Distribution Companies: Varying regional presence Growing network reach, potential niche market challenges Increased competition for new contracts, pressure to maintain market share

GAIL Share Price FAQs

Q: Is GAIL a good investment?

A: Whether GAIL is a good investment for you depends on your individual financial goals, risk tolerance, and investment strategy. It’s important to conduct your own research, consider professional financial advice, and carefully analyze the risks and potential rewards before making any investment decisions.

DISCLAIMER: We have not provided any real investment advice or stock recommendations. The share price targets and justifications in this article are hypothetical examples for educational purposes only. Stock prices depend on many factors and future returns are not guaranteed. Readers should do their own research before investing. Or consult a registered financial advisor for guidance. We do not guarantee any stock performance or returns. Investing in stocks involves risks.

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