BQ Prime's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer BQ Prime's subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Prabhudas Lilladher Report
We increase our FY23/24E earnings estimate of Reliance Industries Ltd. by 23%/13% as we increase our refining margin assumptions to $18/13/barrel of oil (up $6.5/1.5/bbl), while we increase our input price assumptions for petchem.
Low product inventory (U.S. diesel inventory lowest since CY08), reduced Chinese exports (May 22 diesel exports down 75% versus CY18-21 average) and low exports from Russia have pushed Q1 diesel margins to $42/bbl (Q4: $18) and gasoline margins to $34/bbl (Q4: 16).
RIL with access to discounted Russian crude (discount at over $30/bbl) and Europe exports is best placed to capitalise on tight market conditions, given high refining complexity.
We believe higher gas prices along with strong growth in telecom (continued tariff hikes) and retail (store expansion), make RIL a preferred play in challenging times.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
