India's Gujarat Gas drops as analysts flag headwinds after earnings call

Gujarat Energy

10/02/2025 07:18

** Gujarat Gas  GGAS.NS  slips 3.4% to 444.8 rupees
    ** CLSA says co cuts FY25 EBITDA outlook to 4.5-5.5
rupees/standard cubic meter (SCM), citing higher discounts on
propane gas, lower vols
    ** Sees significant headwinds for co over next few quarters
    ** Co's previous FY25 EBITDA outlook was 5-6 rupees/SCM
    ** J.P. Morgan says pressures from competing fuels, rising
gas purchase costs likely to sustain in near-term
    ** PhilipCapital says volatility in sales from Morbi plant
further clouds FY26 growth outlook
    ** At least 12 brokerages, including PhilipCapital, CLSA and
J.P. Morgan, cut PT post February 7 earnings call - LSEG
    ** Mean PT of 28 brokerages slips to 492.32 rupees from
514.22 rupees earlier
    ** Stock rated "hold" on avg, same as peer Indraprastha Gas
 IGAS.NS ; Mahanagar Gas  MGAS.NS  rated "buy"
    ** YTD, GGAS down ~6%

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))