Hindustan Petroleum Corporation Limited (HPCL) is a major player in the Indian oil and gas sector, involved in refining, distribution, and marketing of petroleum products. As of October 15, 2024, the HPCL share price is ₹422.75, reflecting an increase of 4.16% from the previous trading session. The stock opened at ₹414.00 and has seen a trading volume of over 6.76 million shares so far today.
HPCL Share Price in Today’s Market
In today’s trading session, the HPCL share price reached a high of ₹426.50 and a low of ₹412.25. The current market capitalization stands at approximately ₹90,006 crore, underscoring its significant presence in the energy sector.
HPCL Financial Overview
HPCL has an enterprise value of ₹149,940.15 crore and approximately 212.78 crore shares outstanding. The company’s P/E ratio is reported at 10.18, while its P/B ratio stands at 2.14. Recent financial reports indicate a sales growth rate of -1.56% and an impressive profit growth rate of 263.74%. With cash reserves of ₹352.35 crore and total debt amounting to ₹60,253.69 crore, HPCL demonstrates a mixed financial outlook.
HPCL Share Pros & Cons
Pros:
- Strong Profit Growth: A profit growth rate of 263.74% reflects effective management and operational efficiency.
- High Dividend Yield: With a dividend yield of 7.76%, HPCL offers attractive income opportunities for investors.
- Significant Market Position: As one of India’s leading oil companies, HPCL benefits from strong brand recognition and extensive distribution networks.
Cons:
- Declining Sales Growth: A sales growth rate of -1.56% raises concerns about revenue generation and market demand.
- High Debt Levels: With total debt amounting to ₹60,253.69 crore, the company faces financial leverage risks.
- Market Volatility: A beta of 1.62 indicates that the stock is more volatile than the broader market, which can pose risks for conservative investors.
Indiahood Recommendation on HPCL Share: Buy or Sell?
Considering the current market conditions and the fundamentals surrounding Hindustan Petroleum Corporation Limited, it is advisable to hold your position for now while monitoring market trends closely. Investors should wait for clearer signals before making new investments.
Conclusion
In summary, while the recent increase in HPCL’s share price may raise optimism among investors, its strong profit growth and high dividend yield provide compelling reasons to consider holding onto this stock. However, potential investors should also be aware of declining sales growth and high debt levels before making investment decisions.
Disclaimer
This article is for informational purposes only and should not be considered as financial advice. Always conduct your own research or consult with a financial advisor before making investment decisions.
