Shares of GAIL (India) hit a three-month low of Rs 322 apiece, down 5 per cent on the National Stock Exchange (NSE) on Monday on concerns of weak December quarter earnings. The stock was trading at its lowest level since October 5, 2018, when it touched a 52-week low of Rs 295 in the intra-day trade.
Since November 5, post-September quarter (Q2FY19) results, GAIL has underperformed the market by falling 12 per cent. In comparison, the Nifty 50 index was up 2 per cent during the same period.
Over the course of FY19, consensus earnings forecasts for GAIL have been increased by around 20%, essentially on a combination of expectation of large trading gains and strong LPG prices, analysts at JP Morgan said in a note. Read More