Motilal Oswal issued a buy rating on GAIL with a target price of Rs 200. In 2QFY27, GAIL got a standalone EBITDA of INR64.1b, which beat estimates by 36%. Strong performance in gas trading and liquid segments helped the company. Many experts showed confidence as the reported PAT reached INR46.5b recently.
Motilal Oswal's research report on GAIL In 2QFY27, GAIL's standalone EBITDA came in 36% above our estimate at INR64.1b (consensus: INR45.2b). The beat in results was largely attributed to strong performance in natural gas trading and LPG & liquid HC segments. GAIL's 2QFY27 gas transmission EBIT came in line with our estimate, while the EBIT of the Marketing segment and LPG & Liquid hydrocarbon segments came in 43%/65% above our est. The operating loss of the petchem segment came in below our est. Reported PAT stood 40% above our estimate at INR46.5b (est.: INR33.3b) (consensus: INR30.3b) as interest cost stood above estimate while other income and PAT stood below our estimates.
Outlook We reiterate our BUY rating on GAIL with our SoTP-based TP of INR200. Over FY26-28, we estimate a 24% CAGR in PAT, driven by: 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. GAIL_02112026_Motilal Oswal