GAIL share price rises 72% in a year. Should you Buy, Sell or Hold the stock?

livemint.com:

GAIL (India) Ltd share price has seen strong run up during last one -year having gained almost 72%, and is trading near 52-week highs seen recently. The gains have been driven by improved earnings prospects, led by uptick in gas trading and marketing business, though petchem segment prospects have remained a mixed bag. The dividend yield is another positive for investors.

Focus of analysts however remains on two projects that company has under taken and highlighted recently. First pertaining to green Hydrogen production and blending to reduce carbon emission. The second being for improving availability of gas in the underpenetrated areas.

Also Read- HDFC Bank share price falls after CLSA downgrades stock, cuts target price The green hydrogen project is looked at in positive light. Analysts at Numama Institutional Equities said that , GAIL's initiatives towards becoming net zero by 2040 led by hydrogen blending, Green H2 production, setting up CBG plant and LNG dispensing stations provide it an edge. GAIL efforts in pushing gas supplies and improving penetration in the underpenetrated areas also remains positive for earnings.

GAIL already is benefitting from strong gas demand in the country. The improved geographical reach penetration by City Gas distribution companies will help improve overall pipeline volumes of GAIL too. Not surprising the same keep analysts positive.

Analysts at Antique Stock Broking have said that “GAIL’s pipeline business remains strong and is expected to improve further as gas power plants may drive growth". Even analysts expect improved performance in the petchem segment that has been lumpy. Analysts at Motilal Oswal Financial Services in their recent report have said that "during FY24-26