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Indian Oil Corporation (530965) Fair Value & Analysis

Energy · IN · Market cap ₹2.3T

IO Indian Oil Corporation 530965 · BSE
Price₹136.55
Fair Value₹335.43
Upside+145.7%
Quality60/100
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Mixed Growth
Thin margins · 0.0% net margin
Low debt · generates free cash flow
2.14% dividend yield
Moderate moat 60/100
Evidence: High Range ₹243.10 – ₹464.08 Share as image

Fair value as of: Aug 18, 2026

From 24 valuation models · updated 2 days ago

Share price −3.3% over the past month.

A solid business, screening 146% undervalued on our models.

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What matters now

  • The price is below even our cautious bear case (₹243.10). The market is more pessimistic than our downside scenario.
  • Solid quality (60/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (₹243.10 to ₹464.08) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹183.58 ₹42.45 Fair Value ₹335.43 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 18, 2026.

How to read this chart

60‑month range ₹42.45 – ₹183.58 · fair‑value band ₹243.10 – ₹464.08 · the ₹136.55 price screens below the ₹335.43 fair value. Dashed = 300-day average. As of Aug 18, 2026.

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Analysis

Indian Oil Corporation (530965) currently trades at ₹136.55, while our model-based Fair Value estimate is ₹335.43, implying the stock looks roughly 145.7% undervalued today. The Quality Score stands at 60/100 (solid quality), in the Energy sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Net debt stands at ₹1.2T. The stock trades on a trailing P/E of 18.4 (as of Aug 18, 2026). Fundamentals as of Aug 18, 2026

Our scenario range runs from ₹243.10 (bear case) to ₹464.08 (bull case); at ₹136.55, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 26% below its 52-week high and 6% above its 52-week low. For context, the median of 10 Energy peers we cover trades at 10% fair-value upside, at 146%, 530965 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Growth DCF ₹287.30 ₹408.79 ₹608.48 80
Residual Income ₹169.61 ₹222.62 ₹854.65 76
Rev-Margin DCF ₹298.15 ₹468.74 ₹665.48 74
All 24 models by family
DCF Models
FCF DCF ₹274.67 ₹399.75 ₹618.49 38
Owner Earnings ₹174.44 ₹258.62 ₹405.82 31
5Y Revenue Exit ₹298.15 ₹464.51 ₹689.84 39
5Y EBITDA Exit ₹207.01 ₹307.53 ₹430.48 41
5Y P/E Exit ₹224.21 ₹337.15 ₹461.26 38
10Y Revenue Exit ₹276.10 ₹423.59 ₹597.35 36
10Y EBITDA Exit ₹229.25 ₹316.82 ₹416.30 37
10Y P/E Exit ₹240.11 ₹336.96 ₹437.79 35
Earnings-Based
Graham-Dodd ₹170.21 ₹317.69 ₹394.40 54
EPV ₹288.83 ₹345.41 ₹395.70 59
Dividend Discount
Gordon GGM ₹78.37 ₹107.35 ₹137.73 70
DDM Multi-Stage ₹78.37 ₹110.12 ₹149.43 61
Multiples
P/E Multiple ₹262.83 ₹350.44 ₹438.05 63
P/S Multiple ₹319.15 ₹425.53 ₹531.92 58
P/B Multiple ₹176.22 ₹234.95 ₹293.69 55
EV/EBIT ₹272.59 ₹374.05 ₹475.52 53
EV/EBITDA ₹200.12 ₹277.43 ₹354.74 54
EV/Revenue ₹337.53 ₹495.81 ₹654.09 43
Asset-Based
NCAV (Graham) ₹65.27 ₹87.46 ₹130.53 50
Growth DCF
Growth DCF ₹287.30 ₹408.79 ₹608.48 80
Rev-Margin DCF ₹298.15 ₹468.74 ₹665.48 74
Economic Profit
Residual Income ₹169.61 ₹222.62 ₹854.65 76
ROIC Compounder ₹297.20 ₹367.85 ₹440.81 72
Growth Earnings
Growth-Adj P/E ₹191.18 ₹273.12 ₹355.05 68

Widest divergence: Growth DCF (₹408.79) versus Asset-Based (₹87.46). Highest evidence: Growth DCF (80).

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Key figures & financial health

Return on equity 1,314%
Free cash flow ₹478B FY2025
P/E ratio 18.4 as of Aug 18, 2026
EPS (TTM) ₹18.05
Dividend yield 2.1%
Net debt ₹1.2T FY2025

Figures from reported company fundamentals · as of Aug 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 60/100

Of which business quality 58 · Market factors (momentum, volatility) 44

Profitability 59
Margins and returns on capital today
Quality Growth 47
Are margins and returns improving?
Cashflow 53
Earnings quality: real cash, not paper profit
Fin. Strength 51
Balance sheet, leverage, solvency risk
Investment 60
Disciplined investing over empire-building
Low Volatility 76
Calm price path (market factor)
Momentum 34
Price trend over the last 3–12 months (market factor)
52W Momentum 25
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Indian Oil Corporation Limited, together with its subsidiaries, engages in refining, transporting, and marketing of petroleum products in India. It is also involved in the exploration and production of crude oil and gas; and marketing of natural gas and petrochemicals.

Full company description

Indian Oil Corporation Limited, together with its subsidiaries, engages in refining, transporting, and marketing of petroleum products in India. It is also involved in the exploration and production of crude oil and gas; and marketing of natural gas and petrochemicals. The company?s products include petrol/gasoline, diesel/gas oil, lubricants and greases, auto gas, cooking gas, kerosene, LPG, bulk/industrial fuels, aviation turbine fuel/jet fuel, marine fuels and lubricants, and bitumen. In addition, it offers special products, such as benzene, carbon black feed stock, food grade hexane, jute batching oil, micro crystalline wax, mineral turpentine oil, paraffin wax, propylene, raw petroleum coke, sulphur, and toluene. The company operates approximately 11 refineries; a network of 11,746 kilometers crude oil, products, and gas pipelines; 25,000 petrol and diesel stations, including 6,700 Kisan Seva Kendra outlets in the rural markets; 129 bulk storage terminals and depots, 101 aviation fuel stations, and 91 LPG gas bottling plants; and approximately 6,475 bulk consumer pumps in 6,250 markets, as well as has a network of 9,100 LPG distributors. Indian Oil Corporation Limited?s exploration and production portfolio comprises eight oil and gas blocks in India; and seven blocks in Libya, Gabon, Nigeria, Yemen, Venezuela, Canada, and the United States. Further, it engages in the explosives and cryogenic businesses; wind mill and solar power generation activities; lube blending and marketing of lubricants; and plantation of Jatropha, and extraction of oil for bio-diesels. The company also exports its products. It serves consumer, industrial, and marine, as well as domestic and international flag carriers, private airlines, and the Indian defense services sectors. Indian Oil Corporation Limited was founded in 1959 and is based in New Delhi, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Indian Oil Corporation reported revenue of ₹7.7T in FY2025 versus ₹7.4T in FY2021, a compound +1.2%/yr. Reported net income was ₹421B in FY2025, compounding +13.8%/yr from FY2021.

Growth Quality 71/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
₹7.7T
Latest YoY
−9.9%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−6.6%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.3%
Avg. growth/yr (10Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.4%
Revenue +1.2%/yr
FY21 ₹7.4T
FY22 ₹9.5T
FY23 ₹8.8T
FY24 ₹8.6T
FY25 ₹7.7T
Net income +13.8%/yr
FY21 ₹251B
FY22 ₹97.9B
FY23 ₹417B
FY24 ₹136B
FY25 ₹421B

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Cite: Fair Value Calculator (2026). "Indian Oil Corporation Fair Value". https://www.fairvalue-calculator.com/stock/530965

Peer Group

Energy · 1240 stocks

How this stock ranks against its sector: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median. (Industry “Oil & Gas” was too small, so the broader sector is used.)

Quality Score 60 · Top 25%
Fair Value upside +71% · Top 25%
Return on assets 0% · Below median
Net margin (TTM) 0% · Below median
Operating margin (TTM) 0% · Below median
Revenue growth 0% · Below median
Dividend yield (TTM) 2.1% · Below median
Debt / equity 0.25× · Higher than median

Valuation Multiples vs Energy median · lower = cheaper

P/E (TTM) 18.4× · Pricier than median
P/FCF 0.1× · Cheaper than 75% of peers
EV/EBITDA 1.6× · Cheaper than 75% of peers

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Oil & gas

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

Is Indian Oil Corporation (530965) overvalued or undervalued?
As of Aug 18, 2026, our model estimates a fair value of ₹335.43 versus a price of ₹136.55, about +146% (undervalued).
What is the fair value of 530965?
Our model-based fair value for Indian Oil Corporation is ₹335.43 (as of Aug 18, 2026), built from audited fundamentals. The current price: ₹136.55.
What is the quality score of 530965?
Indian Oil Corporation has a Quality Score of 60/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the net profit margin of 530965?
The net profit margin of Indian Oil Corporation is about 0.0%, meaning it keeps roughly 0.0% of revenue as net income. Based on the latest reported figures.
Does Indian Oil Corporation pay a dividend?
Indian Oil Corporation currently shows a dividend yield of about 2.14% relative to its recent price (as of Aug 18, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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