Gas crunch hits makers, boosts distributors; PSU banks
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- Gujarat Gas has slashed supply after the government redirected gas to domestic and CNG use, triggering a 12% drop in PG Electroplast shares.
- PG Electroplast and at least one major chemical firm have announced force‑majeure, highlighting short‑term risk across manufacturing.
- GLM and MGL downstream distributors face volume hits, but analysts view them as buying opportunities rather than sell signals.
- Oil marketing companies could suffer heavy losses if crude prices stay high, yet they are also flagged as potential bargains.
- PSU banks market share fell from 58% in 2020 to about 52‑53%, contradicting the narrative of a structural shift toward public banks.
- HDFC Bank post‑merger integration constraints have dampened loan growth, but once resolved, private banks are expected to re‑assert dominance.
- IEX (Indian Energy Exchange) is recommended for its strong performance amid rising summer power demand, outpacing electricity generators.
- PG Electroplast and Amber remain on the radar, though valuations are stretched in the AC‑adjacent space.
Why it matters: These sector shifts could drive big moves in Indian equities and reshape investor allocations this year.
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