Bharat Petroleum Corporation Limited (BPCL) witnesses a robust surge in its shares, reaching a 52-week high of Rs 511.8 per share, marking a nearly 4 percent jump on January 30. The impetus for this surge comes on the heels of BPCL’s impressive financial performance, reporting an 82 percent year-on-year increase in consolidated net profit for the October-December quarter (Q3FY24).
In the past month alone, BPCL’s stock has gained an impressive 13 percent, outpacing the benchmark Sensex, which experienced a 0.7 percent decline. Analysts at JPMorgan have expressed optimism, providing an ‘overweight’ call on BPCL and setting a target price of Rs 600 per share. The brokerage noted that the reported refining margins surpassed expectations, contributing to the positive outlook.
“The company typically trades at a higher price-to-earnings (PE) ratio compared to peers. But that has currently eroded, and we expect that it would bounce back once the Mozambique project restarts,” stated JPMorgan analysts. As of 1:45 pm, BPCL shares continue their upward trajectory, trading 4.32 percent higher at ₹513.95, reaffirming the positive sentiment surrounding the company’s financial performance and market positioning.
