Buy Mahanagar Gas; target of Rs 1179: Prabhudas Lilladher
Prabhudas Lilladher’s research report on Mahanagar Gas
Healthy margins and volume traction drive earnings despite one off charges: Mahanagar Gas’ (MGL’s) reported Q1FY19 EBITDA and PAT at Rs2.0bn (PLe: Rs2.1bn; +4%YoY, +20%QoQ) and Rs1.28bn (PLe: Rs1.18bn; +3%YoY, 23%QoQ), respectively. The earnings surprise was due to higher than expectedQ1 gas sales volume of 11.9% YoY.
We continue to like MGL’s business given their dominating share in the growing markets of Mumbai and suburbs. Reiterate BUY.
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.