Oil & Natural Gas Corpn Ltd logo

Oil & Natural Gas Corpn Ltd

ONGC NSE

ONGC is the largest crude oil and natural gas Company in India, contributing around 71 per cent to Indian domestic production

AI Verdict: BUY Confidence: 6%

ONGC trades at an attractive PE of 6.2x and 0.83x book value with a 4.97% dividend yield, offering deep value in the energy space. While ROE at ~13% is modest, 63% analyst buy ratings and 5-year profit CAGR of 21% support a buy case for patient investors comfortable with commodity cyclicality.

Key Fundamentals

LargecapOil Exploration & ProductionOil & Gas
Market Cap
3.0L Cr
Volatility
Low Risk
P/E Ratio
7.08
EBITDA
1.0L Cr
Return on Equity
15.64%
Debt to Equity
0.56
Book Value
₹295.52
EPS
₹36.35
52W High
₹307.5
52W Low
₹228.61

Technical Indicators

Key Insights

Strengths

3
  • Stock is trading at 0.81 times its book value
  • Stock is providing a good dividend yield of 5.10%.
  • Company has been maintaining a healthy dividend payout of 38.0%

Weaknesses

1
  • Company has a low return on equity of 12.7% over last 3 years.

Growth Rate

Revenue Growth
6.05% ↗
Net Income Growth
27.37% ↗
Cash Flow Change
-8.07% ↘
ROE
-33.38% ↘
ROCE
-25.25% ↘
EBITDA Margin (Avg.)
-6.54% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 2d ago
BUY
Risk medium

ONGC trades at an attractive PE of 6.2x and 0.83x book value with a 4.97% dividend yield, offering deep value in the energy space. While ROE at ~13% is modest, 63% analyst buy ratings and 5-year profit CAGR of 21% support a buy case for patient investors comfortable with commodity cyclicality.

Bull Case 8
  • Stock trades at PE of 6.2x, significantly below market average, indicating deep value for a large-cap PSU energy company
  • Price-to-book ratio of 0.83x means the stock is available below its book value, providing a margin of safety
  • Dividend yield of 4.97% with a consistent payout ratio of 38%, offering reliable income in a volatile market
  • 63.3% of analysts (19 out of 30) rate the stock a Buy, reflecting broad institutional confidence
  • 5-year compounded profit growth of 21% demonstrates strong earnings recovery and operational leverage
  • 5-year compounded sales growth of 17% shows sustained top-line expansion driven by higher realizations
  • 3-year stock CAGR of 16% indicates the market has been re-rating the stock from historically depressed levels
  • Market cap of Rs 3.1 lakh crore provides high liquidity and index weight, attracting passive fund flows
Bear Case 8
  • Return on equity of only 12-13% over 3-5 years is below the 15% threshold typically expected from quality compounders
  • 1-year stock CAGR of -2% signals near-term price weakness and possible earnings headwinds ahead
  • 3-year compounded profit growth of just 1% reveals earnings stagnation in the medium term despite recent TTM recovery
  • 16.67% of analysts (5 out of 30) have a Sell rating, indicating meaningful disagreement on the outlook
  • 3-year compounded sales growth of only 2% suggests revenue plateaued after the initial post-COVID recovery
  • 10-year stock CAGR of just 6% has significantly underperformed broader indices like Nifty 50, reflecting chronic PSU discount
  • As a government-controlled entity, ONGC faces subsidy burden risks and policy unpredictability that can erode shareholder value
  • TTM sales growth of 8% is modest for a commodity producer in a period of elevated crude prices, raising efficiency concerns

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 1d ago
Headwinds 5
  • Q4 profit misses, production drops May 27

    Q4 FY26 standalone net profit fell 20.6% QoQ to ₹6,650 crore, missing estimates by 11%. Crude oil production declined 3% QoQ and 6% YoY due to geological complexities at 98/2 field and DUDP project issues.

  • Exploration write-offs surge May 27

    ONGC wrote off ₹4,877 crore in Q4 FY26 on dry wells, up from ₹4,173 crore YoY. Full-year FY26 write-offs rose to ₹8,236 crore from ₹7,480 crore in FY25.

  • Lower crude realisations in FY26 Jun 12

    Full-year FY26 realised crude oil price fell to $60.09/barrel from $70.23/barrel in FY25, driving standalone turnover decline to ₹8,443 crore from ₹9,160 crore.

  • KG Basin project delays persist May 27

    The KG Basin deepwater project now targets FY28 for plateau production versus the original FY24 target. Domestic production has stagnated at 55-58 MMTOE for over five years despite heavy capex.

  • Mixed broker ratings, target cuts May 28

    Prabhudas Lilladher cut target to ₹297 from ₹309; Motilal Oswal issued 'Neutral' with ₹265 target. Only Jefferies (₹360) and Macquarie (₹300) remain bullish.

Positives 7
  • BP partnership for 24% output boost May 25

    ONGC expanded its BP technical services contract to all Western Offshore fields (ex-Mumbai High), targeting 24.1% increase in O+OEG production to ~160 MMTOE over 10 years, with gains from FY27 and full impact by FY30.

  • Morgan Stanley overweight, ₹363 target May 26

    Morgan Stanley maintains overweight rating with ₹363 target, citing 11% oil production growth to 51 MMT over 10 years and 32% gas production growth to 109 BCM via BP engagement.

  • Consolidated profit up 53% YoY in Q4 May 26

    Consolidated Q4 net profit surged 53% YoY to ₹13,678 crore; full-year FY26 consolidated profit rose 29.9% to ₹49,793 crore, driven by strong subsidiary performance from HPCL and MRPL.

  • Record dividend of ₹13.25/share May 26

    ONGC declared highest-ever annual dividend of ₹13.25 per share (₹16,669 crore total payout) for FY26, representing ~51% payout ratio and 5-6% dividend yield.

  • Oil & gas stocks rally on fuel hikes May 27

    Oil & gas stocks gained 3-7% after fuel price hikes of up to ₹7.50/litre since May 15. ICICI Securities estimates reduced annualised losses by over ₹1 trillion for OMCs.

  • ₹2,000 cr wind energy contract awarded Jun 11

    ONGC awarded a ₹2,000+ crore contract to Prozeal Green Energy for 250 MW captive ISTS-connected wind power projects with a 10-year O&M contract, signaling renewable energy transition.

  • Reserve replacement ratio above 1x May 27

    ONGC achieved 2P reserve replacement ratio of 1.17 in FY26 with reserve accretion of 99.17 MMT oil equivalent, up sharply from 34.46 MMT in FY25.

Neutral 6
  • ₹147 cr block trade at ₹245 Jun 23

    A block trade of ~60 lakh shares worth ₹147 crore executed on BSE at ₹245/share. Buyer and seller identities undisclosed.

  • OPaL approves ₹4,471 cr NCD issue Jun 12

    ONGC subsidiary OPaL's board approved raising up to ₹4,471 crore via private placement of NCDs in one or more tranches, subject to shareholder and regulatory approvals.

  • Mozambique project seeks $5.5B approval Jun 3

    ONGC seeks shareholder approval for material related party transactions worth USD 5.5 billion for its Area-1 Offshore Mozambique Project.

  • GoI holds 58.89% stake, unencumbered Jun 20

    Government of India holds 58.89% promoter stake in ONGC as of March 31, 2026, with no encumbrance on shares.

  • Multiple leadership appointments Jun 3

    Anupam Agarwal appointed Finance Director (Jun 3), Satyan Kumar as Strategy Director (May 27), and Vikram Saxena given additional charge of Director (Production) from Jul 1.

  • Three executive directors retire Jun 1

    Three Executive Directors superannuated on June 1, 2026, disclosed under SEBI LODR Regulation 30.

TL;DR: ONGC delivered strong consolidated FY26 profit growth (+30% YoY to ₹49,793 crore) and a record dividend, but standalone Q4 disappointed with production declines and elevated dry-well write-offs. The expanded BP partnership targeting 24% production uplift from Western Offshore is the key long-term catalyst, though execution history (KG Basin delays) warrants caution. Near-term, falling crude prices ($60/bbl in FY26 vs $70 in FY25) and stagnant domestic output remain headwinds, but the production trajectory should improve from FY27 as BP-led initiatives and Daman project ramp up.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
1,64,067
1,63,824
1,47,614
1,67,357
1,72,137
1,68,968
1,59,331
1,67,213
1,67,749
1,63,108
1,57,911
1,67,423
1,73,805
Expenses
1,43,527
1,33,029
1,19,534
1,46,996
1,48,913
1,47,183
1,38,757
1,42,858
1,45,983
1,37,429
1,31,390
1,42,088
1,48,449
Operating Profit
20,539
30,795
28,080
20,360
23,224
21,785
20,574
24,354
21,766
25,679
26,521
25,335
25,356
OPM %
13%
19%
19%
12%
13%
13%
13%
15%
13%
16%
17%
15%
15%
Other Income
-4,786
3,069
3,673
4,299
3,375
3,535
4,162
2,415
3,548
2,555
3,447
3,450
5,699
Interest
2,068
2,364
3,243
3,203
3,608
3,694
3,827
3,750
3,264
3,341
3,411
3,207
3,070
Depreciation
6,744
7,078
7,079
7,494
8,420
8,501
8,254
9,539
8,912
9,384
9,273
9,388
9,345
PBT
6,941
24,422
21,431
13,962
14,570
13,125
12,655
13,480
13,137
15,509
17,284
16,190
18,640
Tax %
7%
27%
25%
25%
24%
26%
22%
28%
32%
26%
27%
26%
27%
Net Profit
6,478
17,893
16,171
10,511
11,096
9,776
9,841
9,747
8,965
11,554
12,615
11,946
13,678
EPS in Rs
3.57
11.64
10.89
8.51
7.97
7.93
8.14
6.82
5.91
7.79
8.57
7.96
8.6
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
1,60,923
1,24,036
2,82,506
3,22,706
4,21,624
3,96,728
3,03,849
4,91,246
6,32,291
6,01,581
6,12,065
6,62,247
Expenses
1,18,610
84,901
2,29,702
2,65,817
3,46,805
3,44,623
2,54,375
4,11,373
5,56,764
4,99,198
5,23,205
5,59,128
Operating Profit
42,312
39,135
52,804
56,889
74,819
52,105
49,473
79,874
75,527
1,02,383
88,861
1,03,120
OPM %
26%
32%
19%
18%
18%
13%
16%
16%
12%
17%
15%
16%
Other Income
5,955
1,067
12,724
10,429
9,567
982
11,271
6,797
-30
14,712
13,278
14,923
Interest
2,864
3,766
3,591
4,999
5,837
7,489
5,079
5,696
7,889
13,026
14,535
13,029
Depreciation
18,033
16,384
20,219
23,112
23,704
26,635
25,538
26,883
24,557
30,440
35,206
37,391
PBT
27,370
20,052
41,718
39,208
54,846
18,962
30,126
54,091
43,051
73,629
52,398
67,623
Tax %
35%
35%
30%
34%
38%
40%
29%
9%
24%
25%
27%
26%
Net Profit
17,703
13,102
29,169
26,068
33,938
11,456
21,360
49,294
32,778
55,273
38,329
49,793
EPS in Rs
14.29
10.03
19.03
17.23
24.28
8.59
12.96
36.19
28.17
39.06
28.8
32.93
Div. Payout %
44%
56%
40%
38%
29%
58%
28%
29%
40%
31%
43%
40%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
4,278
4,278
6,417
6,417
6,290
6,290
6,290
6,290
6,290
6,290
6,290
6,290
Reserves
1,76,177
1,93,536
1,87,969
1,97,602
2,10,644
1,98,814
2,14,691
2,53,213
2,74,357
3,32,779
3,37,150
3,65,478
Borrowings
53,944
45,500
80,029
1,06,550
1,07,742
1,29,473
1,33,187
1,21,986
1,42,255
1,91,195
1,87,817
1,74,316
Other Liabilities
1,03,448
98,459
1,70,111
1,48,664
1,67,667
1,73,787
1,87,580
2,01,771
1,90,212
2,06,357
2,21,398
2,45,821
Total Liabilities
3,37,847
3,41,772
4,44,525
4,59,232
4,92,343
5,08,364
5,41,748
5,83,260
6,13,115
7,36,621
7,52,656
7,91,905
Fixed Assets
1,79,933
1,66,277
2,11,125
2,26,058
2,30,391
2,43,892
2,43,746
2,54,402
2,50,819
3,17,183
3,36,810
3,69,684
CWIP
63,393
57,668
59,042
61,512
69,056
83,832
1,00,309
1,06,719
1,13,945
1,18,729
1,15,724
91,478
Investments
4,749
33,387
70,746
67,335
66,909
56,755
60,320
66,642
78,873
1,00,862
95,617
1,01,084
Other Assets
89,771
84,440
1,03,612
1,04,328
1,25,987
1,23,884
1,37,372
1,55,496
1,69,478
1,99,847
2,04,504
2,29,659
Total Assets
3,37,847
3,41,772
4,44,525
4,59,232
4,92,343
5,08,364
5,41,748
5,83,260
6,13,115
7,36,621
7,52,656
7,91,905
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
33,950
46,292
45,780
56,792
61,458
70,593
47,185
78,248
84,211
98,847
90,868
1,12,719
Investing
-30,058
-38,256
-43,815
-66,798
-37,132
-53,159
-39,141
-41,197
-72,799
-57,423
-42,901
-57,676
Financing
-10,641
-8,972
-1,867
9,909
-23,324
-16,726
-8,239
-35,790
-12,916
-45,009
-47,908
-56,331
Net Cash Flow
-6,749
-935
99
-97
1,001
708
-195
1,261
-1,504
-3,586
59
-1,287
Free Cash Flow
17,053
31,199
25,445
29,061
35,697
28,735
15,147
45,158
47,758
60,965
50,154
59,510
CFO/OP
102
138
105
119
103
155
111
115
132
111
118
128
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
43
25
16
16
13
8
19
14
11
12
13
12
Inventory Days
65
105
65
56
48
46
85
90
61
87
99
59
Days Payable
175
290
51
48
41
31
51
66
46
61
64
43
Cash Conversion Cycle
-67
-161
30
24
21
23
54
39
27
38
47
28
Working Capital Days
-30
-59
-85
-61
-44
-54
-50
-24
-30
-46
-37
-33
ROCE %
13%
13%
17%
14%
19%
10%
9%
16%
14%
18%
12%
14%

Shareholding Pattern

As of Mar 2026
Promoters 58.89%
DIIs 19.31%
Government 10.30%
FIIs 7.97%
Public 3.00%
Others 0.52%
Total 99.99%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
60.41%
60.41%
60.41%
60.41%
58.91%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
58.89%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
8.38%
0.00%
8.88%
8.57%
8.12%
7.53%
7.12%
7.09%
6.98%
7.42%
7.97%
DIIs
17.47%
17.59%
17.87%
17.17%
16.35%
17.55%
18.17%
19.27%
19.88%
19.83%
19.59%
18.27%
18.88%
18.75%
19.04%
19.41%
19.94%
19.85%
19.96%
19.69%
19.31%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
10.30%
Public
2.96%
2.89%
2.61%
2.61%
2.48%
2.55%
2.95%
2.67%
2.60%
2.50%
2.39%
2.46%
2.61%
3.04%
3.15%
3.37%
3.28%
3.41%
3.37%
3.26%
3.00%
Others
19.16%
19.11%
19.11%
19.80%
22.26%
21.01%
9.70%
8.87%
8.33%
8.48%
0.44%
10.08%
0.44%
0.45%
0.51%
0.50%
0.48%
0.47%
0.50%
0.43%
0.52%
No. of Shareholders
0
11,61,500
12,01,710
11,77,180
13,38,160
13,62,800
14,69,270
16,58,800
15,48,730
15,23,410
15,13,380
15,88,560
17,90,070
21,41,480
27,88,150
30,50,310
30,30,760
30,21,300
29,59,510
28,56,490
27,77,890

Documents

1
Concall - May 2017 May 2017
2
Concall - Aug 2018 Aug 2018
3
Concall - May 2026 May 2026
4
Concall - May 2017 May 2017
5
Concall - Aug 2018 Aug 2018

Frequently Asked Questions about Oil & Natural Gas Corpn Ltd

What does Oil & Natural Gas Corpn Ltd do?
ONGC is the largest crude oil and natural gas Company in India, contributing around 71 per cent to Indian domestic production
Where is Oil & Natural Gas Corpn Ltd (ONGC) listed?
Oil & Natural Gas Corpn Ltd is listed on the Indian stock exchanges. It is listed on NSE: ONGC and BSE: 500312. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Oil & Natural Gas Corpn Ltd belong to?
Oil & Natural Gas Corpn Ltd operates in the Energy sector within the Oil industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Oil & Natural Gas Corpn Ltd?
Oil & Natural Gas Corpn Ltd has a market capitalisation of approximately ₹301046.08 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Oil & Natural Gas Corpn Ltd?
The Price-to-Earnings (PE) ratio of Oil & Natural Gas Corpn Ltd is 7.08. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Oil & Natural Gas Corpn Ltd?
Over the past 52 weeks, Oil & Natural Gas Corpn Ltd has traded between a low of ₹228.61 and a high of ₹307.5. This range helps investors understand the stock's price volatility and recent trading levels.
Does Oil & Natural Gas Corpn Ltd pay dividends?
Yes, Oil & Natural Gas Corpn Ltd has a dividend yield of 5.08%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Oil & Natural Gas Corpn Ltd?
Oil & Natural Gas Corpn Ltd has a Return on Equity (ROE) of 15.64%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Oil & Natural Gas Corpn Ltd on Tapetide?
On Tapetide, you can view Oil & Natural Gas Corpn Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

ONGC is the largest crude oil and natural gas Company in India, contributing around 71 per cent to Indian domestic production

Website ongcindia.com
Listed 1995-07-19
Face Value ₹ 5
Issued Size 12,58,02,79,206

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