Bharat Petroleum Corporation Ltd.
ISIN: INE029A01011 • Market Cap: ₹1.34 Lakh Cr
The 5-Pillar Quality Audit for Bharat Petroleum Corporation Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (5.0%), Return on Capital Employed (25.6%), and equity compounding (25.8%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.45 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (7.3%) and 3Y PAT CAGR (-15.2%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 7.83 vs PEG of 0.72 and Dividend Yield of 5.7%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 53.0%, backed by 38.8% institutional ownership.
Key Fundamental Strengths
Superior Capital Efficiency (ROCE: 25.6%)
Bharat Petroleum Corporation Ltd. generates exceptional return on capital employed of 25.6%, reflecting pricing power and competitive moat.
Robust Equity Compounding (ROE: 25.8%)
Shareholder equity compounds at a healthy 25.8%, exceeding average Indian equity benchmarks.
Attractive Valuation Margin (P/E: 7.83)
Trading at a P/E multiple of 7.83, the stock offers a favourable risk-reward entry for quality compounding.
Deep Institutional Sponsorship (38.8%)
Mutual funds, domestic DIIs, and foreign FIIs hold 38.8%, providing strong governance scrutiny.
Areas to Watch & Potential Risks
Sectoral & Macro Headwinds (Oil Gas & Consumable Fuels)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Oil Gas & Consumable Fuels space.
Quantitative Strategy Eligibility
Checking BPCL against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Fails 10%+ revenue growth or 15%+ minimum capital return benchmark over historical periods.
Quality Factor Screener (High RoIC + Low Debt)
Qualifies for Indian Quality Indices with overall score of 72/100 and clean gearing.
GARP / Value-Growth Blend
Provides balanced valuation margin with strong profitability scores.
Oil Gas & Consumable Fuels Sector Peer Comparison
Compare BPCL directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Bharat Petroleum Corporation Ltd. (BPCL)Current | 72/100 | ₹1.34 Lakh Cr | 7.83 | 25.6% | 0.45 | — |
| Reliance Industries Ltd. (RELIANCE) | 68/100 | ₹17.69 Lakh Cr | 23.68 | 9.2% | 0.41 | View |
| Oil & Natural Gas Corporation Ltd. (ONGC) | 67/100 | ₹2.99 Lakh Cr | 6.88 | 12.7% | 0.38 | View |
| Coal India Ltd. (COALINDIA) | 73/100 | ₹2.47 Lakh Cr | 7.90 | 19.6% | 0.12 | View |
| Indian Oil Corporation Ltd. (IOC) | 69/100 | ₹1.93 Lakh Cr | 5.73 | 18.9% | 0.55 | View |
| Hindustan Petroleum Corporation Ltd. (HINDPETRO) | 63/100 | ₹77,676 Cr | 46.48 | 22.2% | 0.78 | View |
Frequently Asked Questions: Bharat Petroleum Corporation Ltd.
Q:What is the 5-Pillar Fundamental Score for Bharat Petroleum Corporation Ltd. (BPCL)?
Bharat Petroleum Corporation Ltd. has a RupeeTools Fundamental Score of 72/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (73/100), Financial Health (80/100), Growth (35/100), Valuation (95/100), and Ownership Quality (85/100).
Q:Is BPCL fundamentally strong for long-term investment?
Yes, BPCL exhibits solid fundamental strength with a 72/100 score, driven by a return on equity of 25.8% and a debt-to-equity ratio of 0.45.
Q:Does BPCL pass the Coffee Can Investing filter?
No. BPCL does not currently meet the strict 15% ROCE and 10% sustained topline compounding threshold mandated by the Coffee Can investing framework.
Q:How does BPCL compare against other Oil Gas & Consumable Fuels peers?
Within India's Oil Gas & Consumable Fuels sector, BPCL trades at a P/E of 7.83 and generates an ROCE of 25.6%. Compare its 5-Pillar score of 72/100 against top sector peers like Reliance Industries Ltd. (68/100), Oil & Natural Gas Corporation Ltd. (67/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.