ICICI Securities: New Winners And Losers Likely On Policy Changes In Gas Sector
BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
ICICI Securities Report
Completion of Indian gas grid, jump in liquefied natural gas (LNG) import capacity, rise in domestic gas output, rapid city gas distribution (CGD) expansion and court orders to replace polluting fuels with gas are set to boost India’s gas consumption.
Disruption in CGD from competition and deregulation of gas price is likely to hurt volumes and margins of investor favourites Indraprastha Gas Ltd. and Mahanagar Gas Ltd. and lead to derating.
Deregulation in an improving global gas price environment may help re-rate Oil and Natural Gas Corporation Ltd.
GAIL India Ltd. may gain from strong volume growth and tariff reforms in transmission.
Outlook for gas marketing, experiencing pain in FY21, is set to improve but long-term challenges remain.
Petronet LNG Ltd., another investor favourite, may be hit by domestic gas output rise and LNG import overcapacity in Gujarat from CY23.
Click on the attachment to read the full report:
This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.