The Discounted Cash Flow (DCF) valuation of Hindustan Petroleum Corp Ltd (HINDPETRO.NS) is 1,065.09 INR. With the latest stock price at 441.25 INR, the upside of Hindustan Petroleum Corp Ltd based on DCF is 141.4%.
Based on the latest price of 441.25 INR and our DCF valuation, Hindustan Petroleum Corp Ltd (HINDPETRO.NS) is a buy. Buying HINDPETRO.NS stocks now will result in a potential gain of 141.4%.
Range | Selected | |
WACC / Discount Rate | 11.0% - 15.4% | 13.2% |
Long-term Growth Rate | 2.5% - 4.5% | 3.5% |
Fair Price | 739.02 - 1,709.85 | 1,065.09 |
Upside | 67.5% - 287.5% | 141.4% |
(INR in millions) | Projections | |||||
03-2025 | 03-2026 | 03-2027 | 03-2028 | 03-2029 | 03-2030 | |
Revenue | 4,667,237 | 3,999,473 | 4,247,217 | 4,812,461 | 4,908,710 | 5,006,884 |
% Growth | 1% | -14% | 6% | 13% | 2% | 2% |
Cost of goods sold | (4,275,164) | (3,590,226) | (3,736,366) | (4,148,951) | (4,147,292) | (4,145,633) |
% of Revenue | 92% | 90% | 88% | 86% | 84% | 83% |
Selling, G&A expenses | (33,812) | (28,975) | (30,769) | (34,864) | (35,562) | (36,273) |
% of Revenue | 1% | 1% | 1% | 1% | 1% | 1% |
Research & Development | 0 | 0 | 0 | 0 | 0 | 0 |
% of Revenue | 0% | 0% | 0% | 0% | 0% | 0% |
Net interest & other expenses | (268,262) | (229,880) | (244,120) | (276,609) | (282,141) | (287,784) |
% of Revenue | 6% | 6% | 6% | 6% | 6% | 6% |
Tax expense | (22,642) | (37,438) | (58,738) | (87,633) | (110,455) | (133,725) |
Tax rate | 25% | 25% | 25% | 25% | 25% | 25% |
Net profit | 67,357 | 112,955 | 177,222 | 264,403 | 333,260 | 403,469 |
% Margin | 1% | 3% | 4% | 5% | 7% | 8% |