New Delhi: Oil and Natural Gas Corporation Limited (ONGC) shares have delivered returns of 38.65 percent in a year to investors, an analysis of the stock by PSU Watch shows. Incorporated in 1993, ONGC is a large-cap company with a market cap of Rs 2.30 lakh crore operating in the gas and petroleum sector. The shares of ONGC have yielded investors higher returns in the last one year than in last five-year period, primarily because of the Covid-19 pandemic. The share price stood at Rs 156.40 in 2018 and it stands at Rs 185 by the time stock markets closed on Friday. The biggest decline that the share registered was in March 2020, right at the onset of COVID-19 in India, when it touched a low of Rs 64.
ONGC shares closed at a price of Rs 180.90 on October 26. And then moved up 4.10 percent on Friday. Over the course of the last six months, ONGC share has moved up 16.38 percent higher. If we look at the last three months' data, ONGC share has price moved up by 5.44 percent.
For the year ending March 2023, ONGC has declared an equity dividend of 225.00 percent amounting to Rs 11.25 per share. At the current share price of Rs 185, this results in a dividend yield of 6.08 percent.
For the quarter ended June 30, FY 2023-24, the company has reported a consolidated total income of Rs 1,66,367.12 crore, down 0.22 percent from the last quarter and lower by 9.66 percent from the corresponding quarter of the last year. The PSU has reported a net profit after tax of Rs 16,857.22 crore in the June quarter.
The central PSU aims to transform into a low-carbon energy company. ONGC had reduced its emissions by 2.66 percent in FY23. The company is looking to increase its renewable production portfolio to 10 GW by this year-end and plans to spend Rs 1 lakh crore by 2030 on multiple green energy initiatives, which will see the company transforming from an oil and gas behemoth to an energy major.
ONGC shares have delivered a positive return of nearly 19 percent in 2023 so far. As ONGC's pivot towards green energy gathers pace with investments and projects, the share price is likely to go up.