Chennai petroleum

Risks associated with CPCL:

1. Due to fluctuation in oil markets due to wars and other geopolitical tensions in the world the crack spreads are very volatile which may sometimes effect the profitability of the company brutally.
2. The rise of EV vehicles in comings years may affect the demand of motor spirit & diesel.
3. Company has debt of around 3500 crs which only can be easily repaid if crack spreads are stable.

My journey in CPCL starts from Jan 2022 when I first time came through the stock in a news for price rise from Rs.90 per share to around Rs.300 in 1-2 years of span.
Then did my research on the company for around 8 months still Aug-22 and invested in the company in aug-22 until December -22.
I am invested in the company still date and has given a return of 80 to 100% still date on my investment and still bullish on the company as it is coming with new refinery and it is steadily diversifying its product portfolio to other petroleum products.