Fundamental Analysis of Indian Oil Corporation Ltd

About the Company - Indian Oil Corporation Ltd

Indian Oil Corporation Ltd. is a Public Limited Listed company incorporated on 30/06/1959 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L23201MH1959GOI011388 and registration number is 011388. Currently company belongs to the Industry of Refineries. Company’s Total Operating Revenue is Rs. 598163.75 Cr. and Equity Capital is Rs. 9181.04 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Refineries	Indian Oil Bhavan, G-9, Ali Yavar Jung Marg, Mumbai Maharashtra 400051	investors@indianoil.in http://www.iocl.com

Management
Name	Position Held
Mr. Shrikant Madhav Vaidya	Chairman
Dr. S S V Ramakumar	Director - R & D
Ms. Sukla Mistry	Director
Mr. Sujoy Choudhury	Director
Mr. Dilip Gogoi Lalung	Independent Director
Dr. Ashutosh Pant	Independent Director
Dr. Dattatreya Rao Sirpurker	Independent Director
Mr. Prasenjit Biswas	Independent Director
Mr. Sudipta Kumar Ray	Independent Director
Mr. Krishnan Sadagopan	Independent Director
Prof. (Dr) Ram Naresh Singh	Independent Director
Mr. Satish Kumar Vaduguri	Director - Marketing
Mr. Sunil Kumar	Independent Director

Basic Stock Data of Indian Oil Corporation Ltd

Last Updated: July 6, 2024, 12:01 pm

Market Cap	2,41,869 Cr.
Current Price	171
High / Low	197/85.5
Stock P/E	5.80
Book Value	130
Dividend Yield	7.01 %
ROCE	21.2 %
ROE	25.8 %
Face Value	10.0
PEG Ratio	0.06

Competitors of Indian Oil Corporation Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Mangalore Refinery & Petrochemicals Ltd	38,200 Cr.	218	289/80.2	10.6	75.6	0.46 %	25.2 %	31.2 %	10.0
Bharat Petroleum Corporation Ltd	1,33,040 Cr.	307	344/166	4.92	174	3.42 %	32.1 %	41.9 %	10.0
Reliance Industries Ltd	21,49,668 Cr.	3,177	3,198/2,220	30.9	1,173	0.28 %	10.0 %	9.23 %	10.0
Industry Average	773,636.00 Cr	1,234.00		15.47	474.20	1.39%	22.43%	27.44%	10.00

Indian Oil Corporation Ltd Quarterly Results

Month	Sep 2020	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023
Sales	81,709	101,835	119,874	115,503	133,195	165,335	175,292	223,411	208,757	205,715	203,872	198,551	179,246
Expenses	71,512	92,050	105,534	104,004	122,006	154,565	161,019	217,996	205,477	201,411	186,173	174,834	155,917
Operating Profit	10,197	9,786	14,340	11,499	11,189	10,770	14,273	5,415	3,280	4,304	17,699	23,716	23,328
OPM %	12%	10%	12%	10%	8%	7%	8%	2%	2%	2%	9%	12%	13%
Other Income	1,285	1,243	1,280	846	1,288	1,477	717	994	1,031	1,731	1,305	954	829
Interest	320	734	1,203	1,383	1,114	1,119	1,806	1,908	1,554	2,122	1,957	1,743	2,135
Depreciation	2,656	2,723	2,949	2,931	3,012	3,112	3,292	3,158	3,283	3,451	3,288	3,476	3,610
Profit before tax	8,506	7,572	11,469	8,030	8,351	8,016	9,891	1,344	-527	462	13,759	19,450	18,413
Tax %	28%	46%	20%	24%	25%	22%	28%	34%	-73%	-93%	21%	24%	26%
Net Profit	6,165	4,102	9,145	6,141	6,235	6,261	7,089	883	-910	890	10,841	14,735	13,713
EPS in Rs	4.27	3.09	6.39	4.33	4.39	4.35	4.71	-0.20	-0.70	0.55	7.29	10.22	9.29

Indian Oil Corporation Ltd Quarterly Chart

Indian Oil Corporation Ltd Profit & Loss

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	408,923	461,780	488,345	449,507	346,045	355,379	421,492	528,158	483,763	363,950	589,321	841,756	787,384
Expenses	389,402	447,919	471,123	438,932	324,007	321,230	379,834	492,896	467,710	324,021	541,563	811,010	718,336
Operating Profit	19,521	13,861	17,222	10,575	22,038	34,149	41,658	35,262	16,053	39,929	47,758	30,745	69,048
OPM %	5%	3%	4%	2%	6%	10%	10%	7%	3%	11%	8%	4%	9%
Other Income	-4,268	3,499	5,064	5,860	5,219	4,356	4,331	4,097	-7,165	4,696	4,332	5,061	4,819
Interest	5,948	7,164	5,948	4,201	3,487	3,743	3,875	4,925	5,792	2,933	5,454	7,588	7,958
Depreciation	5,309	5,692	6,360	5,219	5,698	6,806	7,664	8,506	10,273	10,941	12,348	13,181	13,826
Profit before tax	3,995	4,504	9,978	7,014	18,072	27,956	34,450	25,927	-7,177	30,751	34,289	15,038	52,084
Tax %	-7%	19%	30%	31%	31%	27%	34%	33%	74%	29%	25%	22%
Net Profit	4,265	3,627	6,967	4,872	12,413	20,385	22,626	17,274	-1,876	21,762	25,727	11,704	40,180
EPS in Rs	2.90	3.05	4.86	3.37	8.25	13.63	15.23	12.31	-0.63	15.32	17.78	6.93	27.35
Dividend Payout %	30%	36%	30%	33%	28%	45%	90%	49%	-437%	51%	46%	42%

Indian Oil Corporation Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2012-2013	2013-2014	2014-2015	2015-2016	2016-2017	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023
YoY Net Profit Growth (%)	-14.96%	92.09%	-30.07%	154.78%	64.22%	10.99%	-23.65%	-110.86%	1260.02%	18.22%	-54.51%
Change in YoY Net Profit Growth (%)	0.00%	107.05%	-122.16%	184.85%	-90.56%	-53.23%	-34.65%	-87.21%	1370.88%	-1241.80%	-72.73%

Indian Oil Corporation Ltd Growth

Compounded Sales Growth
10 Years:	5%
5 Years:	8%
3 Years:	29%
TTM:	-8%

Compounded Profit Growth
10 Years:	22%
5 Years:	19%
3 Years:	24%
TTM:	326%

Stock Price CAGR
10 Years:	11%
5 Years:	11%
3 Years:	33%
1 Year:	78%

Return on Equity
10 Years:	16%
5 Years:	16%
3 Years:	18%
Last Year:	26%

Last Updated: July 2, 2024, 4:54 pm

Indian Oil Corporation Ltd Balance Sheet

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	2,428	2,428	2,428	2,428	2,370	4,739	9,479	9,181	9,181	9,181	9,181	13,772	13,772
Reserves	57,945	60,609	65,485	66,404	87,610	97,357	104,395	103,288	86,217	102,657	124,354	125,949	153,045
Borrowings	80,015	89,671	94,916	64,893	58,552	63,271	65,650	96,765	129,790	116,649	132,020	148,977	115,418
Other Liabilities	79,438	89,170	103,124	100,158	83,184	108,352	116,336	126,128	104,773	126,658	145,327	153,342	175,389
Total Liabilities	219,827	241,878	265,953	233,883	231,715	273,719	295,860	335,363	329,962	355,145	410,882	442,039	457,623
Fixed Assets	64,586	66,707	69,724	72,844	95,761	112,031	119,937	127,223	141,594	151,287	154,420	173,665	191,287
CWIP	15,450	27,240	38,061	40,378	26,219	16,778	19,130	28,281	32,845	36,291	47,469	51,133	51,642
Investments	17,588	17,351	15,895	16,069	31,185	43,687	44,806	44,112	35,571	44,717	52,352	52,190	56,664
Other Assets	122,203	130,580	142,273	104,592	78,551	101,222	111,987	135,746	119,952	122,851	156,641	165,050	158,030
Total Assets	219,827	241,878	265,953	233,883	231,715	273,719	295,860	335,363	329,962	355,145	410,882	442,039	457,623

Indian Oil Corporation Ltd Reserves and Borrowings Chart

Indian Oil Corporation Ltd Cash Flow

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Cash from Operating Activity	-763	9,340	24,195	46,092	25,624	28,216	29,115	12,747	7,146	49,650	25,747	29,644
Cash from Investing Activity	-13,056	-9,294	-18,594	-10,215	-13,610	-17,684	-17,119	-22,569	-29,101	-22,935	-21,294	-28,030
Cash from Financing Activity	13,103	352	-3,116	-38,283	-11,890	-10,937	-12,007	10,436	22,456	-27,369	-4,058	-1,794
Net Cash Flow	-716	398	2,485	-2,406	124	-405	-11	614	502	-653	395	-180

Indian Oil Corporation Ltd Free Cash Flow

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Free Cash Flow	-61.00	-76.00	-77.00	-54.00	-36.00	-29.00	-24.00	-61.00	-113.00	-77.00	-85.00	-118.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Indian Oil Corporation Ltd Free Cash Flow Chart

Indian Oil Corporation Ltd Financial Efficiency Indicators

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	10	9	6	8	9	9	11	10	14	12	7	6
Inventory Days	59	61	46	54	87	77	64	59	111	84	59	69
Days Payable	30	34	29	31	41	40	34	24	49	37	27	34
Cash Conversion Cycle	39	36	23	31	55	46	41	45	76	59	40	42
Working Capital Days	43	31	5	2	-11	-3	9	7	-2	9	8	8
ROCE %	8%	9%	6%	14%	20%	22%	16%	5%	15%	16%	8%

Indian Oil Corporation Ltd Financial Efficiency Indicators Chart

Indian Oil Corporation Ltd Share Holding Pattern

Month	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Promoters	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%	51.50%
FIIs	6.70%	7.21%	7.94%	8.36%	8.19%	7.22%	7.01%	6.91%	7.56%	7.84%	8.84%	8.49%
DIIs	12.37%	4.57%	12.51%	11.32%	11.50%	11.24%	11.54%	11.92%	11.55%	10.70%	9.90%	10.23%
Government	0.11%	0.11%	0.11%	0.11%	0.11%	19.60%	19.60%	19.60%	19.60%	19.60%	19.60%	19.57%
Public	29.31%	36.60%	27.94%	28.71%	28.69%	10.42%	10.34%	10.06%	9.77%	10.36%	10.13%	10.18%
No. of Shareholders	9,40,651	9,55,410	11,45,473	13,35,443	14,84,847	17,99,117	18,17,775	18,27,303	17,91,349	19,72,340	20,65,514	24,28,561

Indian Oil Corporation Ltd Shareholding Pattern Chart

No. of Indian Oil Corporation Ltd Shareholders

Indian Oil Corporation Ltd Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
SBI Balanced Advantage Fund	44,040,307	2.35	647.17	6,000,000	2024-07-05	634.01%
ICICI Prudential Bharat 22 ETF	38,647,076	3.61	567.92	6,000,000	2024-07-05	544.12%
SBI Contra Fund	16,549,578	1.03	243.2	6,000,000	2024-07-05	175.83%
Kotak Equity Arbitrage Fund - Regular Plan	12,636,000	0.52	185.69	6,000,000	2024-07-05	110.6%
Franklin India Flexi Cap Fund	12,000,000	1.24	176.34	6,000,000	2024-07-05	100%
Nippon India ETF Nifty Next 50 Junior BeES	9,290,912	3.24	136.53	6,000,000	2024-07-05	54.85%
ICICI Prudential Nifty Next 50 Index Fund	8,562,887	3.24	125.83	6,000,000	2024-07-05	42.71%
UTI Nifty Next 50 Index Fund	6,934,294	3.24	101.9	6,000,000	2024-07-05	15.57%
Franklin India ELSS Tax Saver Fund	6,000,000	1.46	88.17	6,000,000	2024-07-05	0%
SBI Blue Chip Fund	6,000,000	0.2	88.17	6,000,000	2024-07-05	0%

Indian Oil Corporation Ltd ROCE Trend

Indian Oil Corporation Ltd EPS Trend

Indian Oil Corporation Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	30.30	7.11	27.34	23.57	-0.97
Diluted EPS (Rs.)	30.30	7.11	27.34	23.57	-0.97
Cash EPS (Rs.)	41.74	17.44	40.12	34.32	7.66
Book Value[Excl.RevalReserv]/Share (Rs.)	136.63	103.99	147.18	122.88	104.86
Book Value[Incl.RevalReserv]/Share (Rs.)	136.63	103.99	147.18	122.88	104.86
Revenue From Operations / Share (Rs.)	563.74	611.23	641.90	396.41	526.91
PBDIT / Share (Rs.)	57.68	25.34	55.36	48.02	21.36
PBIT / Share (Rs.)	46.16	15.77	41.91	36.10	10.17
PBT / Share (Rs.)	40.48	10.29	36.00	32.19	-9.30
Net Profit / Share (Rs.)	30.22	7.87	26.68	22.40	-3.53
NP After MI And SOA / Share (Rs.)	30.30	7.11	27.34	23.57	-0.97
PBDIT Margin (%)	10.23	4.14	8.62	12.11	4.05
PBIT Margin (%)	8.18	2.57	6.52	9.10	1.93
PBT Margin (%)	7.17	1.68	5.60	8.12	-1.76
Net Profit Margin (%)	5.36	1.28	4.15	5.65	-0.67
NP After MI And SOA Margin (%)	5.37	1.16	4.25	5.94	-0.18
Return on Networth / Equity (%)	22.75	7.00	18.79	19.34	-0.93
Return on Capital Employeed (%)	23.90	9.23	17.61	17.19	5.55
Return On Assets (%)	8.65	2.21	6.11	6.09	-0.27
Long Term Debt / Equity (X)	0.28	0.45	0.41	0.54	0.58
Total Debt / Equity (X)	0.72	1.00	0.92	0.97	1.32
Asset Turnover Ratio (%)	1.68	2.02	1.61	1.14	1.50
Current Ratio (X)	0.73	0.76	0.76	0.71	0.68
Quick Ratio (X)	0.17	0.18	0.18	0.20	0.27
Inventory Turnover Ratio (X)	3.68	3.91	3.16	2.16	3.51
Dividend Payout Ratio (NP) (%)	0.00	33.75	38.40	44.55	-539.70
Dividend Payout Ratio (CP) (%)	0.00	14.38	25.74	29.59	51.38
Earning Retention Ratio (%)	0.00	66.25	61.60	55.45	639.70
Cash Earning Retention Ratio (%)	0.00	85.62	74.26	70.41	48.62
Interest Coverage Ratio (X)	10.15	4.63	9.37	12.28	2.98
Interest Coverage Ratio (Post Tax) (X)	6.32	2.44	5.52	6.73	2.23
Enterprise Value (Cr.)	365233.40	248847.82	232529.90	191298.07	199511.53
EV / Net Operating Revenue (X)	0.47	0.29	0.39	0.52	0.41
EV / EBITDA (X)	4.60	7.13	4.58	4.34	10.17
MarketCap / Net Operating Revenue (X)	0.29	0.12	0.18	0.23	0.15
Retention Ratios (%)	0.00	66.24	61.59	55.44	639.70
Price / BV (X)	1.26	0.76	0.81	0.75	0.78
Price / Net Operating Revenue (X)	0.29	0.12	0.18	0.23	0.15
EarningsYield	0.18	0.09	0.22	0.25	-0.01

Indian Oil Corporation Ltd Profitability Ratios (%)

Indian Oil Corporation Ltd Liquidity Ratios

Indian Oil Corporation Ltd Liquidity Ratios (%)

Indian Oil Corporation Ltd Interest Coverage Ratios (%)

Indian Oil Corporation Ltd Valuation Ratios

Fair Value

Fair Value: 208.17

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

Undervalued: 21.74% compared to the current price 171

Intrinsic Value: 423.43

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Undervalued: 147.62% compared to the current price ₹171

Last 5 Year EPS CAGR: 103.41%

*Investments are subject to market risks

Strength and Weakness of Indian Oil Corporation Ltd Stock

Strength	Weakness
The stock has a low average Working Capital Days of 8.83, which is a positive sign. The company has shown consistent growth in sales (501.00 cr) and profit (20.15 cr) over the years.	The stock has a low average ROCE of 11.58%, which may not be favorable. The stock has a high average Cash Conversion Cycle of 44.42, which may not be favorable. The company has higher borrowings (96,660.54) compared to reserves (95,024.23), which may suggest financial risk.

Should I Buy Indian Oil Corporation Ltd Share Now?

Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Indian Oil Corporation Ltd:
1. ✓ Net Profit Margin: 5.36%
  - Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
2. ROCE: 23.90% (Industry Average ROCE: %)
  - ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
3. ROE%: 22.75% (Industry Average ROE: %)
  - ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
4. ✓ Interest Coverage Ratio (Post Tax): 6.32
  - Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
5. ✗ Quick Ratio: 0.17
  - Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
6. ✗ Stock P/E: 5.80 (Industry average Stock P/E: )
  - Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
7. Total Debt / Equity: 0.72
  - Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
Stock Rating: ★★★★☆

FAQ

What is the latest fair value of Indian Oil Corporation Ltd?

The latest fair value of Indian Oil Corporation Ltd is ₹208.17.

What is the Market Cap of Indian Oil Corporation Ltd?

The Market Cap of Indian Oil Corporation Ltd is 2,41,869 Cr..

What is the current Stock Price of Indian Oil Corporation Ltd as on 06 July 2024?

The current stock price of Indian Oil Corporation Ltd as on 06 July 2024 is 171.

What is the High / Low of Indian Oil Corporation Ltd stocks in FY 2024?

In FY 2024, the High / Low of Indian Oil Corporation Ltd stocks is 197/85.5.

What is the Stock P/E of Indian Oil Corporation Ltd?

The Stock P/E of Indian Oil Corporation Ltd is 5.80.

What is the Book Value of Indian Oil Corporation Ltd?

The Book Value of Indian Oil Corporation Ltd is 130.

What is the Dividend Yield of Indian Oil Corporation Ltd?

The Dividend Yield of Indian Oil Corporation Ltd is 7.01 %.

What is the ROCE of Indian Oil Corporation Ltd?

The ROCE of Indian Oil Corporation Ltd is 21.2 %.

What is the ROE of Indian Oil Corporation Ltd?

The ROE of Indian Oil Corporation Ltd is 25.8 %.

What is the Face Value of Indian Oil Corporation Ltd?

The Face Value of Indian Oil Corporation Ltd is 10.0.