Hind oil exploration is this a multibagger bet?


(avneesh) #21

http://corporates.bseindia.com/xml-data/corpfiling/AttachLive/edcb25f1-68ab-47e0-95aa-8ab6eac6f35f.pdf


(suraj jethwani) #22

Adding to the discussion:
I feel this company is promising because this is a Zero Debt company.
Their profit Margin is High :
The price realized is government mandated $2.48 per million British thermal unit. The production cost is usually ~60 cents per million British thermal units.

(Source http://www.4-traders.com/HINDUSTAN-OIL-EXPLORATION-9060045/news/Hindustan-Oil-Exploration-gas-drill-25034559/)
The commodity Price Of Natural Gas (futures) is on the rise as Per Investing.com

I also have a small question for the other Boarders:
There is Not much record for the alliance “HOEC Bardahl India Limited” , Did this fail ?

Disc: I have started investing in small numbers from 1st Nov.


(ajith nayak) #23

current market price is 133 from just 33


(BHAVESHTRADA) #24

Mr.Ajitji, Is it valuable price? at current level …


(invstr88) #25

HOEC result on 20th Jan.

Source : http://www.moneycontrol.com/stocks/reports/hindustan-oil-exploration-company-board-meetingjanuary-20-2018-10387421.html


(avneesh) #26

Great quarter. Looks like management is delivering on their promises.

image


(narendra) #27

Exclude the other income of 4cr in Q3Fy17. Revenue from opeartions looks very impressive with 13.3cr in q3fy18 v/s 5.4cr which indicates significant increase in revenue from Assam block as guided by management during concalls.


(Manohar T. Patil) #28

(Manohar T. Patil) #29

The outlook from management is quite positive for next FY. With oil prices expected to remain in the range of £60 - 75, Is stock a reasonable bet at the prices of Rs. 121. Views invited.


(avneesh) #30

I think it’s a great bet. My investment thesis:

  1. Strong management: They are experienced and are delivering in the given time frames.
  2. As per the below article, they are expecting 100 crore profit by March, 2019. This translates to an EPS of 7.3
  3. 150 crore cash. They want to use it and are open for inorganic opportunities as well. If it happens it will increase the earnings further.
  4. Though oil companies are not valued at P/E basis but irrespective of the valuation method it seems there is a lot of potential in the stock.
    https://www.bloombergquint.com/markets/2018/01/22/hindustan-oil-exploration-bets-on-higher-output-to-boost-growth

(Jose) #31

Any idea abt the sale of share by poddar pigments??


(Saji John) #32

https://news.webindia123.com/news/articles/India/20180405/3314252.html


(Saji John) #33

(avneesh) #34

HOEC’s field development plan for Mumbai B-80 region got approval.

"We aim to start production during the April– June, 2020. Production from B80 is expected to add ₹100 crore per year to the bottom line of HOEC,” P Elango, Chief Executive Officer, HOEC, told BusinessLine.
Extreme focus on costs:
Elango said, “We have got an in-principle approval from ONGC for connecting to their pipeline. It’s just 4 km away from our block. We had taken this into consideration while bidding. If it weren’t there, we would have to set up a pipeline for 150 km to reach consumers.