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Chennai Petroleum Corporation (CHENNPETRO) Fair Value & Analysis

Energy · IN · Market cap ₹165B

CP Chennai Petroleum Corporation CHENNPETRO · NSE
Price₹1,380
Fair Value₹1,032
Upside-25.2%
Quality65/100
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Healthy Growth
Thin margins · 4.9% net margin
Low debt · generates free cash flow
5.50% dividend yield
Ranks above peers (11/14)
Moderate moat 51/100
Evidence: High Range ₹678.68 – ₹1,474 Share as image

Fair value as of: Aug 2, 2026

From 26 valuation models · updated 11 days ago

Fair value updated Aug 2, 2026, revised from ₹2,874 to ₹1,032 (−64.1%) since Jun 29, 2026. Share price +19.1% over the past month.

A solid business, but screening 25% overvalued on our models.

What matters now

  • Solid but not exceptional quality (65/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (₹678.68 to ₹1,474) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹1,426 ₹82.49 Fair Value ₹1,032 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 2, 2026.

How to read this chart

60‑month range ₹82.49 – ₹1,426 · fair‑value band ₹678.68 – ₹1,474 · the ₹1,380 price screens above the ₹1,032 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 2, 2026.

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Analysis

Chennai Petroleum Corporation (CHENNPETRO) currently trades at ₹1,380, while our model-based Fair Value estimate is ₹1,032, implying the stock looks roughly 25.2% overvalued today. The Quality Score stands at 65/100 (solid quality), in the Energy sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Chennai Petroleum Corporation generated revenue of ₹636B at a net margin of 4.9%. Revenue declined 2.5% year over year. It earns a return on equity of 32.1%. Net debt stands at ₹10.6B. Fundamentals as of Aug 2, 2026

Our scenario range runs from ₹678.68 (bear case) to ₹1,474 (bull case); at ₹1,380, the current price sits within 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 near its 52-week high and 124% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at -48% fair-value upside, at -25%, CHENNPETRO 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 ₹1,597 ₹2,309 ₹3,315 80
Residual Income ₹1,509 ₹2,273 ₹20,874 76
Rev-Margin DCF ₹2,133 ₹3,490 ₹5,008 74
All 26 models by family
DCF Models
FCF DCF ₹1,565 ₹2,358 ₹3,543 38
Owner Earnings ₹2,138 ₹3,230 ₹4,860 31
5Y Revenue Exit ₹2,133 ₹3,499 ₹5,238 39
5Y EBITDA Exit ₹1,401 ₹2,152 ₹3,008 41
5Y P/E Exit ₹1,831 ₹2,943 ₹4,091 38
10Y Revenue Exit ₹1,834 ₹3,028 ₹4,614 36
10Y EBITDA Exit ₹1,446 ₹2,101 ₹2,937 37
10Y P/E Exit ₹1,719 ₹2,645 ₹3,751 35
Earnings-Based
Graham-Dodd ₹1,417 ₹4,062 ₹5,357 54
Lynch FV ₹834.27 ₹1,192 ₹1,549 50
PEG = 1.0 ₹834.27 ₹1,192 ₹1,549 46
EPV ₹2,014 ₹2,343 ₹2,631 59
Dividend Discount
Gordon GGM ₹119.37 ₹248.19 ₹393.72 70
DDM Multi-Stage ₹119.37 ₹190.56 ₹260.48 61
Multiples
P/E Multiple ₹2,188 ₹2,917 ₹3,646 63
P/S Multiple ₹2,657 ₹3,542 ₹4,428 58
P/B Multiple ₹1,007 ₹1,343 ₹1,679 55
EV/EBIT ₹2,128 ₹2,824 ₹3,520 53
EV/EBITDA ₹1,477 ₹1,956 ₹2,435 54
EV/Revenue ₹2,573 ₹3,659 ₹4,746 43
Asset-Based
NCAV (Graham) ₹373.01 ₹499.84 ₹746.03 50
Growth DCF
Growth DCF ₹1,597 ₹2,309 ₹3,315 80
Rev-Margin DCF ₹2,133 ₹3,490 ₹5,008 74
Economic Profit
Residual Income ₹1,509 ₹2,273 ₹20,874 76
ROIC Compounder ₹2,127 ₹2,623 ₹3,165 72
Growth Earnings
Growth-Adj P/E ₹1,843 ₹2,633 ₹3,423 68

Widest divergence: Multiples (₹2,824) versus Dividend Discount (₹190.56). Highest evidence: Growth DCF (80).

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Key figures & financial health

Revenue (TTM) ₹636B
Revenue growth (YoY) -2.5%
Net margin 4.9%
Return on equity 32.1%
Free cash flow ₹20.4B FY2026
P/E ratio 5.3
More key figures
Operating margin 11.2%
EPS (TTM) ₹208.32
Dividend yield 5.5%
EPS growth (YoY) +203%
Net debt ₹10.6B FY2026

Figures from reported company fundamentals · as of Aug 2, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 65/100

Of which business quality 65 · Market factors (momentum, volatility) 86

Profitability 75
Margins and returns on capital today
Quality Growth 68
Are margins and returns improving?
Cashflow 36
Earnings quality: real cash, not paper profit
Fin. Strength 78
Balance sheet, leverage, solvency risk
Investment 54
Disciplined investing over empire-building
Low Volatility 62
Calm price path (market factor)
Momentum 95
Price trend over the last 3–12 months (market factor)
52W Momentum 100
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

Chennai Petroleum Corporation Limited produces and supplies petroleum products in India. The company offers liquefied petroleum gas, naphtha, motor gasoline and spirit, kerosene, aviation turbine fuel, automotive high-speed and high flash diesel, light diesel oil, and bunker and non-bunker fuel oil.

Full company description

Chennai Petroleum Corporation Limited produces and supplies petroleum products in India. The company offers liquefied petroleum gas, naphtha, motor gasoline and spirit, kerosene, aviation turbine fuel, automotive high-speed and high flash diesel, light diesel oil, and bunker and non-bunker fuel oil. It also provides lube products, such as paving bitumen, lube oil base stocks, and extracts. In addition, the company offers paraffin wax, mineral turpentine oil, food grade and pharma grade hexane, petrochemical feedstocks, micro crystalline wax, sulphur, pet-coke, propylene, poly butene feedstock (PBFS), methyl ethyl ketone feedstock, and kerosene supply. Further, it provides asphalt, linear alkyl benzene feedstock, butene-2, lean butene, lean PBFS, furnace oil, isrosene, ISRO naphtha, propylene glycol and polyols, poly iso-butylene, NATO diesel, JP-5 fuel for fighter jets, and missile fuels. The company was formerly known as Madras Refineries Limited and changed its name to Chennai Petroleum Corporation Limited in June 2000. The company was incorporated in 1965 and is based in Chennai, India. Chennai Petroleum Corporation Limited is a subsidiary of Indian Oil Corporation Limited.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Chennai Petroleum Corporation reported revenue of ₹636B in FY2026 versus ₹431B in FY2022, a compound +10.2%/yr. Reported net income was ₹31.0B in FY2026, compounding +23.1%/yr from FY2022.

Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹636B
Latest YoY
+7.2%
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.
−6.0%
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.
+23.0%
Avg. growth/yr (21Y) 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.
+7.4%
Revenue +10.2%/yr
FY22 ₹431B
FY23 ₹767B
FY24 ₹664B
FY25 ₹594B
FY26 ₹636B
Net income +23.1%/yr
FY22 ₹13.5B
FY23 ₹35.3B
FY24 ₹27.5B
FY25 ₹2.1B
FY26 ₹31.0B
Character of growth · EPS growth decomposed (2016-2026) +9.9 % p.a.
Revenue per share +8.0 pp

of which total revenue +8.0 pp · buybacks/dilution +0.0 pp

EBIT margin −1.1 pp
Tax rate −1.2 pp
Residual (interest, one-offs) +4.2 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

CHENNPETRO screens 25% overvalued. Compare with Reliance Industries Limited →

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Cite: Fair Value Calculator (2026). "Chennai Petroleum Corporation Fair Value". https://www.fairvalue-calculator.com/stock/CHENNPETRO

Peer Group

Oil & Gas Refining & Marketing · 113 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 65 · Top 25%
Fair Value upside −25% · Below median
Return on equity (TTM) 32% · Top 25%
Return on assets 14% · Top 25%
Net margin (TTM) 5% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth -3% · Below median
Dividend yield (TTM) 5.5% · Top 25%
Debt / equity 0.03× · Lower than 75% of peers

Valuation Multiples vs Oil & Gas Refining & Marketing median · lower = cheaper

P/E (TTM) 5.3× · Cheaper than 75% of peers
P/B 1.48× · Pricier than median
P/S (TTM) 0.26× · Cheaper than median
P/FCF 0.1× · Cheaper than 75% of peers
EV/EBITDA 3.3× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 17
FUTURE 0 · sector 15
PAST 100 · sector 33
HEALTH 99 · sector 80
DIVIDEND 100 · sector 50

VALUE 0: the price sits above our fair-value range.

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.

Similar stocks

10 more Oil & Gas Refining & Marketing stocks, each showing price versus our Fair Value estimate (as of Aug 2, 2026).

Stock Price Fair Value vs Fair Value
Reliance Industries Limited RELIANCE ₹1,293 ₹835.66 -35%
Valero Energy Corporation VLO $309.65 $127.32 -59%
Marathon Petroleum Corporation MPC $283.74 $135.80 -52%
Phillips 66 PSX $196.16 $101.04 -48%
Neste Oyj NESTE €31.10 €4.07 -87%
Formosa Petrochemical Corporation 6505 81.30 TWD 16.68 TWD -79%
Indian Oil Corporation IOC ₹138.96 ₹417.35 +200%
HF Sinclair Corporation DINO $88.59 $48.90 -45%
Bharat Petroleum Corporation BPCL ₹315.55 ₹846.81 +168%
SK Innovation Co 096770 121,400 KRW 58,865 KRW -52%

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Frequently asked questions

Is Chennai Petroleum Corporation (CHENNPETRO) overvalued or undervalued?
As of Aug 2, 2026, our model estimates a fair value of ₹1,032 versus a price of ₹1,380, about −25% (overvalued).
What is the fair value of CHENNPETRO?
Our model-based fair value for Chennai Petroleum Corporation is ₹1,032 (as of Aug 2, 2026), built from audited fundamentals. The current price is ₹1,380.
What is the quality score of CHENNPETRO?
Chennai Petroleum Corporation has a Quality Score of 65/100. 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 revenue of Chennai Petroleum Corporation (CHENNPETRO)?
Chennai Petroleum Corporation reported trailing-twelve-month revenue of about ₹636B (latest available figure, as of Aug 2, 2026).
What is the net profit margin of CHENNPETRO?
The net profit margin of Chennai Petroleum Corporation is about 4.9%, meaning it keeps roughly 4.9% of revenue as net income. Based on the latest reported figures.
Does Chennai Petroleum Corporation pay a dividend?
Chennai Petroleum Corporation currently shows a dividend yield of about 5.50% relative to its recent price (as of Aug 2, 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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