According to international brokerage JPMorgan, the trio listed below could exceed their FY26 EBITDA estimates by a remarkable 50–80 percent within the first half of the fiscal year, provided the current favorable conditions continue.
Additionally, strong margins are mainly supported by favorable refining spreads, driven by sustained global demand for refined products like diesel and jet fuel. Moreover, the deregulation of fuel prices in India has given OMCs greater pricing flexibility, enabling them to sustain healthy profitability levels.
Here is the PSU stock with robust Upside potential upto 52%:
Bharat Petroleum Corporation
Bharat Petroleum Corporation Limited is an India-based firm that produces, refines, and distributes petroleum products. Its offerings include fuel services, Bharatgas, and MAK Lubricants, refineries, gas, industrial and commercial, international trading, and proficiency testing.
With a market capitalization of Rs 1.37 lakh crore, the shares closed at Rs 316.80 per share, increased around 1.30 percent as compared to the previous closing price. The company has a Dividend Yield of 6.62 percent.
JPMorgan, one of the well-known brokerages globally, gave a ‘Buy’ call on the oil stock with a target price of Rs 481 apiece, indicating a potential upside of 52 percent from Thursday’s closing price of Rs 316.65 per share.
Indian Oil Corporation
Indian Oil Corporation Limited includes Petroleum Products, Petrochemicals, and Other Business Activities. Its Other Business Activities segment includes the gas, oil, and gas exploration activities, explosives and cryogenic business, and windmill and solar power generation.
With a market capitalization of Rs 2.04 lakh crore, the shares closed at Rs 144.85 per share, increased around 0.94 percent as compared to the previous closing price. The company has a Dividend Yield of 8.23 percent.
JPMorgan, one of the well-known brokerages globally, gave a ‘Buy’ call on the oil stock with a target price of Rs 199 apiece, indicating a potential upside of 39 percent from Thursday’s closing price of Rs 144 per share.
Hindustan Petroleum Corporation
Hindustan Petroleum Corporation Limited is engaged in the business of refining crude oil and marketing petroleum products, producing hydrocarbons, and providing services for the management of exploration and production (E&P) blocks, generating power, and operating a liquefied natural gas (LNG) regasification terminal.
With a market capitalization of Rs 85,719.33 crore, the shares closed at Rs 402.40 per share, increased around 1.49 percent as compared to the previous closing price. The company has a Dividend Yield of 5.26 percent.
JPMorgan, one of the well-known brokerages globally, upgraded to ‘Overweight’ from ‘Neutral’ to this oil stock with a target price of Rs 463 apiece, indicating a potential upside of 15 percent from Thursday’s closing price of Rs 402 per share.
Written by Abhishek Singh
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