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Fundamentals for Mahanagar Gas Limited
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Fundamentals for Mahanagar Gas Limited
Business Operations:
Sector: UtilitiesIndustry: Utilities - Regulated Gas
Mahanagar Gas Limited operates as a natural gas distribution company in India. The company supplies piped natural gas (PNG) to domestic households for cooking and water heating, as well as for nursing homes, flight kitchens, and places of worship; commercial establishments, including hospitals, hotels, restaurants, and charitable trusts; and industries, such as metals, pharmaceuticals, printing and dyeing, food and beverages, oil mills, FMCG product manufacturers, power generation, and air-conditioning. It also provides compressed natural gas (CNG) to transport sector. Further, the company supplies liquefied natural gas (LNG) to heavy motor vehicles. In addition, it engages in sale of pipes and fittings required for construction of pipeline infrastructure. The company operates 348 CNG filling stations with 2,152 dispensing points; 608 kilometers of steel pipeline; and 6446 kilometers of poly-ethylene pipeline. Mahanagar Gas Limited was incorporated in 1995 and is based in Mumbai, India.
Revenue projections:
Investors are expected to be cautious with MGL, as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.
Financial Ratios:
| currentRatio | 0.938000 |
|---|---|
| forwardPE | 12.525722 |
| debtToEquity | 3.461000 |
| earningsGrowth | -0.474000 |
| revenueGrowth | 0.045000 |
| grossMargins | 0.316490 |
| operatingMargins | 0.074910 |
| trailingEps | 85.160000 |
| forwardEps | 93.775030 |
MGL's Forward PE is in an attractive range, meaning its stock price aligns well with earnings and isn't inflated. This creates room for growth, making it a solid investment opportunity for those looking to benefit from potential price appreciation.
MGL's low growth in earnings and revenue points to a likely reduction in profits. This signals a weakening financial performance, indicating the company might face difficulties in staying profitable.
MGL's negative gross and operating margins suggest that the company is currently losing money, unable to generate profit from production or operations. This could signal inefficiencies in cost control or a drop in sales.
MGL's forward EPS is higher than its trailing EPS, suggesting the company is expected to improve its profitability this financial year. This reflects growing confidence in MGL's earnings potential, with forecasts indicating better financial performance than in the prior year.
Price projections:
MGL's price has consistently remained near the lower edge of projections, suggesting that it is not fully meeting market expectations. This could indicate a need for improved performance or strategies to boost investor confidence.
Recommendation changes over time:
With analysts showing a buy bias for MGL, investors may be more inclined to see the stock as an attractive investment. The favorable outlook could spur increased interest, positioning MGL as a safe and profitable place for investors to allocate their funds and seek growth.
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