GAIL (India) | Latest market updates

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GAIL (India) poised for a technical breakout, presents an attractive buying opportunity

In Monday's trading session, the market exhibited consolidation with a negative bias, causing the stock to trade around the day's low. In such weakness one stock caught the attention of chartists (Technical analysts) as the stock experienced a remarkable surge of over 2.5% with robust volumes surpassing the 20-day average and now ready to register a technical breakout of a continuation price pattern.

GAIL (India) Ltd is engaged in various aspects of the natural gas industry, including exploration, production, processing, transmission, distribution, and marketing. It operates in segments such as Transmission services, Natural Gas Trading or Marketing, Petrochemicals, LPG and Other Liquid Hydrocarbons, and Others.

From a technical standpoint, a careful analysis of the weekly chart reveals a 111-week consolidation phase. The stock has been consolidating within a wide range, with the upper boundary near Rs 115.55 and the lower boundary at Rs 83. Notably, the lower boundary aligns perfectly with the 38.2% retracement support level of the previous significant rally, as depicted on the weekly chart from March 2020. A trendline drawn from the high of the mid-week of April 2020 (Rs 115.55) to the mid-week of May 2023 (Rs 113.95) identifies the breakout trendline level (Rs 114) of the continuation price pattern.

Today, GAIL (India) Ltd witnessed buying interest in the morning session, resulting in a substantial surge of approximately 3.5% just below the mentioned breakout level. This rally was accompanied by strong trading volumes, surpassing the average volumes of the past 20 days. Closing above the Rs 114 level on a weekly basis will confirm the breakout, and based on the pattern, the stock's minimum target is estimated to be around Rs 140, indicating a potential increase of over 20% from the breakout level.

Considering all these factors, the stock presents an attractive buying opportunity that merits careful attention in the upcoming sessions.


Investors should keep a close eye on this trending microcap stock.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.
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GAIL Surpasses PFC, REC, and BPCL in Market Cap; Stock Hits 52-Week High!

GAIL’s stock has delivered impressive returns of 94% over the past year, and over the last three years, it has surged by 121%, offering multibagger returns to investors.

About the Company

GAIL, formerly known as Gas Authority of India Ltd, was established by the Government of India in August 1984 to develop gas sector infrastructure for the sustained growth of the natural gas industry in the country. The first gas pipeline, spanning a distance of 2,800km between Hazira-Vijaipur-Jagdishpur, became operational in 1991. GAIL has diversified business interests including natural gas transmission and marketing, liquefied petroleum gas production and transmission, liquid hydrocarbon production, petrochemicals, and CGD. The company commenced its city gas distribution (CGD) operations in Delhi in 1997 by establishing nine CNG stations, followed by its entry into the petrochemicals sector in 1999.

GAIL fresh 52-week high

GAIL’s stock reached a fresh high of Rs 206.90 per share on the NSE. Opening at Rs 203, it reached an intraday low of Rs 200.45. Interestingly, the stock’s up-move has propelled its market capitalization to over Rs 1,35,000 crore, surpassing companies like PFC, BPCL, and REC.

Solid Financial Performance

In Q3FY24, GAIL’s gross turnover increased by 8% to Rs 34,168 Crore compared to Rs 31,728 Crore in Q2 FY2024. The significant reasons for this increase include robust performance across all major business segments and favorable market conditions such as increased natural gas prices and improved realization in the liquid hydrocarbon segments. Profit before tax during the quarter increased to Rs 3694 Crores compared to Rs 3130 Crores in Q2 FY2024, representing an 18% increase. This growth can be attributed to an increase in LHC price realization, higher petrochemical sales, improved gas marketing margins, and a reduction in input gas costs for the petrochemical segment. Furthermore, the company received higher dividends during this quarter, amounting to Rs 403 Crores compared to Rs 270 Crores in Q2 FY2024. Profit after tax during the quarter increased to Rs 2843 Crores compared to Rs 2405 Crores in Q2 FY2024, reflecting an 18% increase.

GAIL’s stock has delivered impressive returns of 94% over the past year, and over the last three years, it has surged by 121%, offering multibagger returns to investors.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.

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Great to see how GAIL is engaged in various areas of interest including natural gas industry and so on.

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GAIL Inaugurates 10 MW Green Hydrogen Plant in Madhya Pradesh

GAIL inaugurates its first hydrogen green plant in Madhya Pradesh, with a 4.3 TPD capacity and 10MW PEM Electrolyzer units, advancing India’s green hydrogen goals.

GAIL (Gas Authority of India Ltd) inaugurated its first hydrogen green plant in Madhya Pradesh, taking a significant step towards renewable energy. This plant aligns with the objectives of the National Green Hydrogen Mission, which aims to promote the development and adoption of green hydrogen technologies in India.

High-Efficiency Hydrogen Production

The GAIL Green Hydrogen plant has a production capacity of 4.3 tonnes per day (TPD) using 10MW Proton Exchange Membrane (PEM) Electrolyzer units. This technology facilitates the electrolysis of water, leveraging renewable power sources to generate hydrogen with a purity level of 99.999% and a pressure of 30 Kg/cm².

Utilization and Distribution Plans

Initially, the hydrogen produced will serve as fuel, complementing natural gas at GAIL’s Vijaipur plant. Future plans include distributing hydrogen to retail customers in nearby areas through high-pressure cascades. To support the Electrolyzer, GAIL is sourcing renewable power and setting up approximately 20MW of solar power plants in Vijaipur, including ground-mounted and floating solar panels, reinforcing the company’s commitment to renewable energy.

National Green Hydrogen Mission

The National Green Hydrogen Mission targets 5 million tonnes of annual green hydrogen production capacity by 2030. Progress includes incentives for 412,000 tonnes of green hydrogen production annually and tenders for 1,500 MW of electrolyzer manufacturing capacities, strengthening India’s green hydrogen production capacity.

Financials and Shareholding

For Q4FY24, GAIL reported a 5.6% decline in revenue, totaling Rs.32,317 Cr, and a net profit drop of over 23%, attributed to lower revenue and weaker gas marketing segment performance. The government held a 51.9% stake in GAIL at the end of the March quarter. Other notable shareholders include Indian Oil Corporation with 2.5% and ONGC with 5%.

Conclusion: GAIL’s inauguration of its first hydrogen green plant, with a 4.3 TPD capacity and 10MW PEM Electrolyzer units, marks significant progress for GAIL in the renewable energy space. Supporting the National Green Hydrogen Mission, this development showcases GAIL’s commitment to sustainable energy and positions India strongly in the global hydrogen economy.

Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.