Gail (india) Falls As Brokerages Expect Post: Q1 earnings moderation

GAIL (India)

03/08/2026 06:51

** Shares of state-owned natural gas distributor GAIL (India) GAIL.NS fall 4.7% to 173 rupees, set for biggest intraday pct drop since March
** Co on Friday reported 148% y/y increase in first-qtr net profit; rev from ops up 12% y/y
** Brokerages say Q1 profit beat was primarily due to increased arbitrage profit in gas trading, as co benefited from lower Henry Hub sourcing prices while making Brent price-linked sales
** Jefferies downgrades GAIL to "hold" from "buy"; raises TP by 5 rupees to 185 rupees, still expecting strength in gas transmission business and profitability in LPG
** Brokerage says factors leading to profit beat have reversed, as both HH and Brent prices have now normalized
** PhillipCapital anticipates partial reversal in profitability for GAIL in rest of the year; downgrades to "neutral" from "buy" (TP 185 rupees)
** GAIL on avg rated "buy" by 31 analysts; median PT is 187.50 rupees - LSEG-compiled data
** Stock roughly flat YTD
     

 (Reporting by Abhirami G in Bengaluru)
 ((abhirami.g@thomsonreuters.com))