Oil & Natural Gas Corporation Ltd. (ONGC) is India’s largest exploration and production (E&P) company, contributing approximately 70% of the nation’s crude oil and 84% of its natural gas output. Headquartered in New Delhi and majority-owned by the Government of India, ONGC operates across India and internationally in countries like Vietnam, Norway, and Egypt. Despite cyclical commodity price risks, ONGC remains a cornerstone of India’s energy security and a key dividend-paying stock for conservative investors. As of January 2026, it offers a compelling mix of valuation, yield, and strategic importance. This article provides a data-driven outlook on the ONGC share price target 2026–2030.
ONGC: Company Overview
- Founded: 1956
- Chairman & Managing Director: Shri Arun Kumar Singh
- NSE Symbol: ONGC
- Core Business: Crude oil & natural gas exploration, production, and refining
- Strategic Role: Key contributor to India’s energy independence; partner in national gas grid and green hydrogen initiatives
ONGC maintains a strong balance sheet with ₹15,496 Cr in cash and manageable debt of ₹8,408 Cr (Debt/Equity: 0.03). Its operations are capital-intensive but generate stable cash flows, especially during periods of elevated oil prices.
ONGC: Key Financial Snapshot
| Metric | Value |
|---|---|
| Current Share Price | ₹255.00 |
| Market Capitalization | ₹3,11,110.30 Cr |
| No. of Shares Outstanding | 1,258.03 Cr |
| 52-Week High / Low | ₹336 / ₹205 |
| P/E Ratio (TTM) | 9.55 |
| P/B Ratio | 0.93 |
| EPS (TTM) | ₹25.88 |
| Book Value (TTM) | ₹267.18 |
| ROE | 11.45% |
| ROCE | 16.13% |
| Dividend Yield | 4.96% |
| Face Value | ₹5 |
| Cash | ₹15,495.63 Cr |
| Debt | ₹8,407.68 Cr |
| Sales Growth (YoY) | 3.18% |
| Profit Growth (YoY) | –12.13% |
| Promoter Holding | 58.89% |
ONGC Share Price Target Forecast (2026–2030)
| Year | Target Price Range (₹) |
|---|---|
| 2026 | ₹270 – ₹300 |
| 2027 | ₹285 – ₹320 |
| 2028 | ₹300 – ₹345 |
| 2029 | ₹315 – ₹370 |
| 2030 | ₹330 – ₹400 |
ONGC Share Price Target 2026
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2026 | ₹270 | ₹300 |
ONGC reported a 12.13% YoY decline in profit in FY2025 due to lower crude realizations and higher depreciation. However, it continues to generate strong operating cash flow and maintains a high dividend payout (~38%). Trading at a P/E of 9.55x and P/B of 0.93x, the stock is undervalued relative to its historical averages and sector peers. A 2026 target range of ₹270–₹300 assumes stabilization in oil prices and no major fiscal drag from government pricing policies.
ONGC Share Price Target 2027
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2027 | ₹285 | ₹320 |
If global oil prices stabilize above $75/barrel and gas monetization improves, earnings could rebound modestly. Assuming EPS recovers to ₹27–₹29 by FY27 and P/E moderates to 10–10.5x, the 2027 target range of ₹285–₹320 is justified.
ONGC Share Price Target 2028
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2028 | ₹300 | ₹345 |
By 2028, benefits from discoveries (e.g., KG Basin), gas sales expansion, and potential participation in India’s green hydrogen mission should reflect in cash flows. A P/E of 10.5–11x on projected EPS of ₹28–₹31 supports the ₹300–₹345 band.
ONGC Share Price Target 2029
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2029 | ₹315 | ₹370 |
Long-term tailwinds include India’s rising energy demand, strategic focus on domestic E&P, and ONGC’s role in reducing import dependence. If competition from private players (e.g., Reliance) doesn’t erode margins, EPS could reach ₹30–₹33 by FY29. At a P/E of 10.5–11.2x, the 2029 target is ₹315–₹370.
ONGC Share Price Target 2030
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2030 | ₹330 | ₹400 |
Over a five-year horizon, ONGC remains a value-plus-income play rather than a growth story. If it sustains dividends and avoids major capex overruns, investor confidence will remain stable. A terminal P/E of 11–12x on FY30 EPS (~₹30–₹33) justifies the ₹330–₹400 range. Upside is limited by commodity volatility; downside is cushioned by yield and book value support.
ONGC: Shareholding Pattern
| Category | Holding (%) |
|---|---|
| Promoters (Govt. of India) | 58.89% |
| Domestic Institutional Investors (DII) | 30.26% |
| Foreign Institutional Investors (FII) | 6.98% |
| Public & Others | 3.87% |
High promoter holding ensures policy alignment with national interests. Strong DII presence reflects its status as a core PSU holding.
ONGC: Strengths vs Risks
Strengths:
- Monopoly-like position in the Indian upstream sector
- Trading below book value (P/B: 0.93) with strong cash reserves
- Consistent dividend payer (yield: 4.96%; payout: ~38%)
- Zero net debt (Cash > Debt)
Risks:
- Negative profit growth (–12.13%) due to commodity cycles
- Exposure to government-controlled gas pricing
- Limited growth without major discoveries
- ESG pressures on fossil fuel investments
Investment Suitability
| Factor | Assessment |
|---|---|
| Risk Profile | Low to Moderate |
| Ideal Time Horizon | 5+ years |
| Volatility | Lower than market average |
| Dividend/Income Potential | High (4.96% yield + consistent payouts) |
| Best For | Conservative investors seeking income, value, and strategic PSU exposure |
FAQs
Is ONGC giving bonus shares?
No. ONGC has not issued bonus shares since listing. The last corporate action was a stock split in 2005 (Face Value reduced from ₹10 to ₹5). Bonus issuance is unlikely given its government ownership and dividend-focused policy.
Has ONGC declared a dividend?
Yes. For FY2025, ONGC declared a final dividend of ₹6.00/share (total annual dividend: ₹12.25/share, including interim), resulting in a dividend yield of 4.96% at current prices.
Is ONGC good for dividends?
Yes. ONGC is one of India’s most reliable dividend-paying PSUs, with a 38% average payout ratio and yield consistently above 4.5%. It’s ideal for income-focused portfolios
What is the target price of ONGC?
Based on fundamentals and sector trends, the ONGC share price target for 2026 is ₹270–₹300. The 2026–2030 cumulative range is ₹270 to ₹400.
Final Verdict
ONGC remains a strategic, income-generating asset in India’s energy landscape. While not a high-growth stock, its combination of undemanding valuation, high yield, and national importance makes it a core holding for conservative investors.
Our ONGC share price target 2026–2030 (₹270 to ₹400) reflects modest earnings recovery, stable dividends, and limited multiple expansion. It won’t deliver explosive gains, but offers reliable compounding with downside protection from yield and book value.
Disclaimer: Price targets are estimates based on publicly available data and sector analysis. They are not investment advice. Consult a SEBI-registered advisor before making decisions.
Sources
- Screener.in – ONGC Consolidated Page (FY2025 + TTM)
- Finology Ticker – ONGC Financials & Analysis
- Groww.in – ONGC Stock Profile
- ONGC Investor Presentation (Q1 FY26, Aug 2025)
- RBI & Ministry of Petroleum Guidelines on Domestic Gas Pricing
