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Oil and Natural Gas Corporation (ONGC) Fair Value & Analysis

Energy · IN · Market cap ₹3.1T

OA Oil and Natural Gas Corporation ONGC · NSE
Price₹237.80
Fair Value₹357.14
Upside+50.2%
Quality57/100
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Mixed Growth
Thin margins · 6.3% net margin
Low debt · generates free cash flow
5.44% dividend yield
Ranks above peers (12/14)
Moderate moat 46/100
Evidence: Medium Range ₹251.79 – ₹510.46 Share as image

Fair value as of: Jul 13, 2026

From 26 valuation models · updated 25 days ago

Fair value updated Jul 13, 2026, revised from ₹490.40 to ₹357.14 (−27.2%) since Jun 25, 2026. Share price −2.6% over the past month.

A solid business, screening 50% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (₹251.79). The market is more pessimistic than our downside scenario.
  • Solid quality (57/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (₹251.79 to ₹510.46) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

₹307.87 ₹71.62 Fair Value ₹357.14 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range ₹71.62 – ₹307.87 · fair‑value band ₹251.79 – ₹510.46 · the ₹237.80 price screens below the ₹357.14 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 13, 2026.

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Analysis

Oil and Natural Gas Corporation (ONGC) currently trades at ₹237.80, while our model-based Fair Value estimate is ₹357.14, implying the stock looks roughly 50.2% undervalued today. We read business quality at 57/100 (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: medium), always confirm before acting.

Over the trailing twelve months, Oil and Natural Gas Corporation generated revenue of ₹6.6T at a net margin of 6.3%. Revenue grew 1.9% year over year. It earns a return on equity of 12.7%. Net debt stands at ₹1.4T. Fundamentals as of Jul 13, 2026

Our scenario range runs from ₹251.79 (bear case) to ₹510.46 (bull case); at ₹237.80, 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 23% below its 52-week high and 8% above its 52-week low, currently below its 200-day average. For context, the median of 10 Energy peers we cover trades at -11% fair-value upside, at 50%, ONGC 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 BearBaseBull Evidence
Highest evidence
Growth DCF ₹739.63 ₹1,409 ₹2,640 80
Residual Income ₹272.30 ₹317.06 ₹603.08 76
Rev-Margin DCF ₹574.48 ₹1,033 ₹1,639 74
All 26 models by family
DCF Models
FCF DCF ₹747.03 ₹1,477 ₹2,841 38
Owner Earnings ₹368.39 ₹751.17 ₹1,466 31
5Y Revenue Exit ₹574.48 ₹1,045 ₹1,688 39
5Y EBITDA Exit ₹763.16 ₹1,442 ₹2,306 41
5Y P/E Exit ₹513.02 ₹915.87 ₹1,378 38
10Y Revenue Exit ₹604.26 ₹1,082 ₹1,826 36
10Y EBITDA Exit ₹753.39 ₹1,383 ₹2,365 37
10Y P/E Exit ₹582.39 ₹984.03 ₹1,555 35
Earnings-Based
Graham-Dodd ₹223.91 ₹1,108 ₹1,527 54
Lynch FV ₹298.49 ₹426.42 ₹554.34 50
PEG = 1.0 ₹298.49 ₹426.42 ₹554.34 46
EPV ₹412.66 ₹494.12 ₹566.54 59
Dividend Discount
Gordon GGM ₹129.83 ₹283.45 ₹476.91 70
DDM Multi-Stage ₹129.83 ₹232.19 ₹295.40 61
Multiples
P/E Multiple ₹493.92 ₹658.56 ₹823.20 63
P/S Multiple ₹419.83 ₹559.78 ₹699.72 58
P/B Multiple ₹419.83 ₹559.78 ₹699.72 55
EV/EBIT ₹765.57 ₹1,037 ₹1,309 53
EV/EBITDA ₹829.09 ₹1,122 ₹1,414 54
EV/Revenue ₹500.08 ₹735.40 ₹970.72 43
Asset-Based
NCAV (Graham) ₹147.76 ₹198.00 ₹295.52 50
Growth DCF
Growth DCF ₹739.63 ₹1,409 ₹2,640 80
Rev-Margin DCF ₹574.48 ₹1,033 ₹1,639 74
Economic Profit
Residual Income ₹272.30 ₹317.06 ₹603.08 76
ROIC Compounder ₹469.26 ₹686.93 ₹973.08 72
Growth Earnings
Growth-Adj P/E ₹447.07 ₹638.67 ₹830.27 68

Widest divergence: DCF Models (₹1,045) versus Asset-Based (₹198.00). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) ₹6.6T
Revenue growth (YoY) +1.9%
Net margin 6.3%
Return on equity 12.7%
Free cash flow ₹716B FY2026
P/E ratio 8.0
More key figures
Operating margin 9.2%
EPS (TTM) ₹32.93
Dividend yield 5.0%
EPS growth (YoY) +47.8%
Net debt ₹1.4T FY2026

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 57/100

Of which business quality 59 · Market factors (momentum, volatility) 51

Profitability 47
Margins and returns on capital today
Quality Growth 60
Are margins and returns improving?
Cashflow 66
Earnings quality: real cash, not paper profit
Fin. Strength 46
Balance sheet, leverage, solvency risk
Investment 62
Disciplined investing over empire-building
Low Volatility 91
Calm price path (market factor)
Momentum 35
Price trend over the last 3–12 months (market factor)
52W Momentum 31
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

Oil and Natural Gas Corporation Limited, together with its subsidiaries, engages in the exploration, development, production, and distribution of crude oil, natural gas, and value-added products in India and internationally. It operates through Exploration and Production, Refining & Marketing, and Petrochemicals segments.

Full company description

Oil and Natural Gas Corporation Limited, together with its subsidiaries, engages in the exploration, development, production, and distribution of crude oil, natural gas, and value-added products in India and internationally. It operates through Exploration and Production, Refining & Marketing, and Petrochemicals segments. The company engages in the refining and marketing of petroleum products; liquefied natural gas supply; pipelines for transportation of petroleum products; SEZ development; helicopter services; and production of ethanol, sugar, petrochemicals, liquefied petroleum gas, naphtha, ethane, propane, butane, kerosene oil, low sulphur heavy stock, residual crude oil, mineral turpentine oil, aviation turbine fuel, and high speed diesel. It also generates wind power through a total installed capacity of 153.9 MW; and solar power through a total installed capacity of 39.96 MW. The company also exports its products. Oil and Natural Gas Corporation Limited was founded in 1955 and is based in New Delhi, India.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Oil and Natural Gas Corporation reported revenue of ₹6.6T in FY2026 versus ₹4.9T in FY2022, a compound +7.8%/yr. Reported net income was ₹414B in FY2026, compounding −2.3%/yr from FY2022.

Growth Quality 89/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
₹6.6T
Latest YoY
−0.1%
Avg. growth/yr (3Y)
+1.6%
Avg. growth/yr (5Y)
+16.9%
Avg. growth/yr (24Y)
+15.1%
Revenue +7.8%/yr
FY22 ₹4.9T
FY23 ₹6.3T
FY24 ₹6.0T
FY25 ₹6.6T
FY26 ₹6.6T
Net income −2.3%/yr
FY22 ₹455B
FY23 ₹367B
FY24 ₹491B
FY25 ₹362B
FY26 ₹414B

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Cite: Fair Value Calculator (2026). "Oil and Natural Gas Corporation Fair Value". https://www.fairvalue-calculator.com/stock/ONGC

Earlier news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Oil & Gas Integrated · 54 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 57 · Below median
Fair Value upside +50% · Top 25%
Return on equity (TTM) 13% · Above median
Return on assets 5% · Above median
Net margin (TTM) 6% · Above median
Operating margin (TTM) 9% · Below median
Revenue growth 2% · Above median
Dividend yield (TTM) 5.4% · Top 25%
Debt / equity 0.25× · Lower than median

Valuation Multiples vs Oil & Gas Integrated median · lower = cheaper

P/E (TTM) 7.4× · Cheaper than 75% of peers
P/B 0.83× · Cheaper than 75% of peers
P/S (TTM) 0.47× · Cheaper than median
P/FCF 0.0× · 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 100 · sector 11
FUTURE 10 · sector 7
PAST 51 · sector 45
HEALTH 87 · sector 87
DIVIDEND 100 · sector 79

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 Integrated stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

Stock Price Fair Value vs Fair Value
Saudi Arabian Oil Company 2222 26.72 SAR 20.14 SAR -25%
Exxon Mobil Corporation XOM $144.51 $90.37 -37%
Chevron Corporation CHEV C$22.88 C$7.97 -65%
PetroChina Company 601857 ¥10.29 ¥16.51 +60%
Shell plc SHELL €38.04 €46.09 +21%
TotalEnergies SE TTE C$13.80 C$7.92 -43%
Petróleo Brasileiro S.A PETR3 12,540 ARS 30,914 ARS +147%
BP p.l.c., an integrated energy company, BP $40.83 $12.71 -69%
China Petroleum & Chemical Corporation 600028 ¥5.03 ¥4.46 -11%
Equinor ASA EQNR $36.19 $34.53 -5%

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Frequently asked questions

Is Oil and Natural Gas Corporation (ONGC) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of ₹357.14 versus a price of ₹237.80, about +50% (undervalued).
What is the fair value of ONGC?
Our model-based fair value for Oil and Natural Gas Corporation is ₹357.14 (as of Jul 13, 2026), built from audited fundamentals. The current price is ₹237.80.
What is the quality score of ONGC?
Oil and Natural Gas Corporation has a Quality Score of 57/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Oil and Natural Gas Corporation (ONGC)?
Oil and Natural Gas Corporation reported trailing-twelve-month revenue of about ₹6.6T (latest available figure, as of Jul 13, 2026).
What is the net profit margin of ONGC?
The net profit margin of Oil and Natural Gas Corporation is about 6.3%, meaning it keeps roughly 6.3% of revenue as net income. Based on the latest reported figures.
Does Oil and Natural Gas Corporation pay a dividend?
Oil and Natural Gas Corporation currently shows a dividend yield of about 4.95% relative to its recent price (as of Jul 13, 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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