Adani Total Gas Ltd.
Energy · NSE
52-week range
₹463 – ₹798
From 52w high
-20.7%
RSI (14)
58.2
vs SMA 50 / 200
↑ 50 · ↑ 200
Adani Total Gas (ATGL) operates city gas distribution infrastructure across India, trading at ₹633.05 with a trailing PE of 106.37 — the highest in its Energy sector peer group — supported by 5-year revenue growth of 16.1% but constrained by a debt-to-equity ratio of 46.36 and earnings growth of 8.5% over the same period. The stock has returned approximately 0.05% over 12 months but gained 15.3% over the past 3 months, now trading above both its 50-DMA (₹563.51) and 200-DMA (₹588.85) with RSI at 58.22.
- ✓Revenue has compounded at 16.1% over 5 years, reflecting the network expansion of city gas distribution as a regulated infrastructure segment with growing household and commercial penetration.
- ✓Price is now above both the 50-DMA (₹563.51) and the 200-DMA (₹588.85), with the stock 15.3% higher over the past 3 months; the 52-week drawdown of 20.67% from the high suggests partial recovery from the trough.
- ✓Q4 FY26 results (April 2026) reported profit up approximately 8–9% and revenue up 16–17%, with a ₹0.25 per share dividend declared, indicating continued operational execution.
- ✓Among Energy peers with available ROE data, ATGL ranks 2nd (ROE 14.46%) ahead of RELIANCE (9.14%), though behind COALINDIA (28.12%), indicating relative profitability within a capital-heavy peer set.
- ✗Debt-to-equity of 46.36 is exceptionally high for a non-financial infrastructure company; the rising debt trend combined with an 8.5% earnings CAGR against 16.1% revenue CAGR points to financing costs or margin compression eroding the revenue-to-earnings conversion.
- ✗Trailing PE of 106.37 is the most expensive valuation in the 6-company Energy peer group (next closest: RELIANCE at 24.05), pricing in substantial future growth at a time when earnings growth has lagged revenue growth over 5 years.
- ✗Quality score of 35 out of 100 ranks 4th of 6 peers; free cash flow has been positive in only 3 of the available historical years, consistent with the capital absorption of building out gas distribution networks.
- ✗ROE has exceeded 15% in only 3 of the tracked historical years, and the consistency score of 53 out of 100 reflects uneven profitability, which contrasts with the premium valuation.
- ·Q4 FY26 results released April 27–28, 2026 showed net profit of approximately ₹168 crore (up 8–9% year-on-year) and revenue up 16–17%, driven by higher volumes and infrastructure expansion; all 8 recent news items carried positive sentiment.
- ·The board declared a dividend of ₹0.25 per share for FY26, a yield of approximately 0.04% at current price, signalling continued but modest cash distribution alongside capital-intensive network growth.
- ·The stock recovered from a drawdown of over 20% from its 52-week high, gaining 15.3% in the past 3 months; the nearest resistance levels are ₹649.5 and ₹651, approximately 2.6% above the current price of ₹633.05.
- ?Given a debt-to-equity of 46.36 and a rising debt trend, how does ATGL plan to finance ongoing network expansion, and at what point does the interest-service ratio constrain further borrowing capacity?
- ?With earnings growing at 8.5% against revenue growth of 16.1% over 5 years, what is driving the gap — is it financing costs, operating leverage not yet materialising, or regulatory tariff constraints on city gas distribution?
- ?The trailing PE of 106.37 embeds a significant growth assumption; what rate of earnings growth, sustained over how many years, would be required to bring valuation in line with the Energy sector median?
- ?Free cash flow has been positive in only 3 of the available historical years; at what stage of the network buildout cycle, if any, does ATGL expect capital expenditure intensity to moderate relative to operating cash generation?
PE
106.4
Forward PE
—
ROE
+14.5%
Profit margin
+11.1%
D/E
46.36
Dividend yield
+0.0%
Quality score
35/100
ROE 5y above 15%
3/5 yrs
FCF 5y positive
3/5 yrs
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.Analysis generated 11 May 2026.