ONGC (Current Price: 245)
Target price: 290 in 12 months
Stop Loss: 223
Why it’s recommended: ONGC, India’s largest producer of crude oil and natural gas, holds the prestigious “maharatna” status, highlighting its signal national importance. It plays a dominant role in the Indian energy sector, accounting for approximately 71% of the country’s total crude oil and natural Gas production.
The company is Well-Diversified and Integrated Across the Energy Value Chain, with a presence in upstream (52 mmtoe), refining (46 mmtpa), petrochemicals (3.8 mmtpa), Value-ADEDEDED Products (2,500 Kta), LNG (22.5 MMTPA), Power Generation (726 MW), and Renewables (410 MW) through Seven Energy-Related Subsidiies.
In FY25, ONGC REPORTED Operating Revenue of 6,63,262.31 Crore, Marking a 1.5% Year-On-Year Increase. However, Profit after Tax Stood At 38,328.59 Crore, which was 30.7% lower than the previous year due to a 100% Rise in exploration costs. The company allocated 10,300 Crore for exploration in FY25, a 25% Increase Over FY24, and Completed Five Onshore and Four offshore Discoveries. The Total Capital Expenditure for the Year Amounted to 62,000 Crore.
ONGC’s Domestic Proven Oil Reserves Were Recorded at 515.17 Million Tonnes of Oil Equivalent (Mmtoe) as of fy25, slightly higher than the 514.83 mmtoe reported in fy24. Its renewable energy Arm, Ongc Green Ltd, Acquired PTC Energy Ltd (PEL), which operates 157 Wind Turbines with a Combined Capacity of 288.80 MW Across andhra Pradesh, Madhya Pradesh, and Karnataka.
The company remains are the top dividend payers in India. In FY25, It Distributed a Total Dividend of 15,410 Crore, Declaring a Dividend of 12.25 per share, resulting in a dividend yield of 5%.
Risk factors: ONGC’s Revenue is Significantly impacted by Fluctations in Global Crude Oil and Gas Prisis, Making The Company Vulnerable to Price Volation. Additional, the company faces challenges related to changes in regulatory frameworks, licensing requirements, and compliace times, which can affect its operations and Increase the Risk of Legal Complications.
NALCO (Current price: 194)
Target price: 225 in 12 months
Stop Loss: 179
Why it’s recommended: Establed in 1981, National Aluminum CO. LTD (NALCO) is a ‘Navratna’ Central Public Sector Enterprise (CPSE) Under Schedule ‘A’. It stands as one of India’s largest integrated producers of bauxite, alumina, aluminum, and power. The company operates its own Panchpatmali Bauxite Mines to Supply The Pithead Alumina Refinery Located at Damanjodi in Koraput District, Odisha, Aluminium Smelter and Captive Plant in Aluminium Smelter and Captive Plant in Angul. NALCO’s Operational Capacity Includes 6.825 MTPA of Bauxite, 2.1 MTPA of Alumina Refinery, 0.46 MTPA of Aluminum Smelting, 1,200 mw of captive power, 4 MTPA of COLPA of Winduction, and 198 MW of Windy Power.
In FY25, NALCO Achieved Its Highest-Eve Revenue of 16,787.63 Crore and a Record Profit after tax of 5,267.94 Crore, reflecting a 165% Increase over the Previous Year. The Management Reported A 46% Improvement in Ebitda Margin, Driven by Elevated Alumina and Aluminum Prisies, and AIMS to Mainten a Margin a Margin Target of Around 36-37% For26.
For fy26, the company plans to raise alumina production by 200,000 tonnes to 22,50,000 tonnes and have allocated a capital expert of 1,700 Crore for the year. For fy27, it has earmarked 2,000 Crore for Investments in Both Aluminum and Alumina Projects. Nalco is Pursuing Major Expaniation Projects, Including New Capacities for Bauxite Mines (3.5 MTPA), Alumina Refinery (1 MTPA), Aluminum Smelter (0.5 MTPA), and A Captive Plant (1,080 mw).
NALCO ALSO MAINTAINS A CONSCTENT TRACK Record of Dividend Payouts, Offering Bot Interim and Final Dividends. For FY25, it declared a total final dividend of 8 per share, distributed as two interim dividends of 4 per share each, paid in November 2024 and February 2025.
Risk factors: The company’s earnings are highly based Moreover, Prisis of Key Raw Materials Like Coal, Caustic Soda, etc., Can Fluctate, Thus Negatively Affecting the company’s margins.
Market recap
The nifty 50 had a gap-up start to the day, opening at 25,268.95, up 23.25 points, or 0.09%, from the closing price of 25,244.75 of the previous day. The Index Gained 304.25 points, or 1.21%, on Thursday, with a day-hight of 25,565.30 in the morning and closing at 25,549. The rsi was at 66.33, far below the overbough zone of 70, and the nifty closed Above all four of the 20/50/100/200-day emas on the daily chart.
Also Read: It Slowdown? These five stocks haven’t heard of it.
The sensex concluded the day at 83,755.87, up 1,000.36 points, or 1.21%, with an rsi of 65.39. The UPSURGE in the Markets was due to the Easing of Tensions in Israel and Iran in the Middle East. Moreover, The Dollar Index Hit a Three-Year low of 97, and Strong Demand from Diis-these catalysts are fueling the UPSURGE of the market.
Most indices were green on Thursday. The nifty metal index, which closed at 9,544.55, up 215.35 points or 2.31%, was mong the top gainers. The index was lifted by stocks like Hindustan copper, which sored 4.96%; Sail and jindal step, which jumped more than 3%; And other stocks, include vedanta, jindal stainless, and nalco, which increase increasing by up to 3%.
Moreover, The Nifty Oil and Gas Index Gained 213.5 points, or 1.86%, to close at 11,695.90. Top Gainers of this Index Were Aegis Logistics, Bharat Petroleum, and IOCL, which increase increated by more than 3% on Thursday. The Nifty Infrastructure Index Closed at 9,355.80 points, A Jump of 150.30 Points, or 1.63%, with Major Gainers Like Shree Cement, BPCL, BPCL, BPCL, and IOCL Increating More THursday.
While the nifty media index, however, fell by -19.30 points, or -1.09%, and closed at 1,743.85 points. The index declined as a result of Heavyweighted Such as Network 18 Media, Zee Entertainment, DB Corp, and Tips Music Plunging Up to 3%. This fall was mainly due to profit booking from network 18 media. Another Significant Loser was the Nifty Realty Index, Which Closed at 1,009.50, down -10.15 points or -1.00%.
Hong Kong’s Hang Sen Declined -149.27 Points, OR -0.61%, to 24,325.40. The KOSPI in South Korea Closed at 3,079.56, Down -0.92% or -28.69 points. Japan’s Nikkei 225 Climbed Up 642.51 Points, or 1.65%, Settling at 39,584.58, Reaching a 5-month high. Shanghai’s Composite Index Closed The Day Lower at 3,448.45, Down -7.52 points, or -0.22%, while the shenzhen index decreased -50.25 points, OR -0.48%, to 10,343.48.
