Top Oil Drilling & Allied Services Stocks in India : In – Depth Analysis & Outlook

In this blog you are going to get full stocks analysis of Oil Drilling & Allied Services Stocks companies of India, so read it full.

Stocks Info of Indian Oil Drilling/Exploration Companies (March 2025 Quarterly Results)

Company	Ticker	Stock Price (₹)	Market Cap (₹ Cr)	Net Profit (Q4 FY25, ₹ Cr)	Index Listed	Segment
ONGC	NSE: ONGC	250-300	300,000-350,000	8,000-10,000	Nifty 50, S&P BSE Sensex	E&P
Oil India Ltd	NSE: OIL	600-700	65,000-75,000	1,500-2,000	S&P BSE 200	E&P
Aban Offshore	NSE: ABAN	50-70	500-800	(Loss-making)	S&P BSE SmallCap	Offshore Drilling
Deep Industries	NSE: DEEPINDS	200-250	1,500-2,000	50-100	S&P BSE SmallCap	Oilfield Services
Selan Exploration	BSE: 530075	400-500	800-1,200	20-30	N/A (MicroCap)	E&P
HOEC	NSE: HINDOILEXP	300-350	2,000-3,000	50-80	S&P BSE SmallCap	E&P
Asian Energy Services	NSE: ASIANENE	100-150	500-1,000	10-20	S&P BSE SmallCap	Oilfield Services
Jindal Drilling	NSE: JINDRILL	400-450	1,200-1,500	30-50	S&P BSE SmallCap	Drilling Services
Reliance Industries (RIL)	NSE: RELIANCE	2,800-3,200	18-20 Lakh Cr	18,000-20,000	Nifty 50, Sensex	Integrated (Upstream too)
Engineers India Ltd	NSE: ENGINERSIN	200-250	5,000-6,000	100-150	S&P BSE MidCap	Consulting/EPC
BHEL	NSE: BHEL	150-200	50,000-60,000	300-500	S&P BSE Sensex	Oil Equipment
SCI	NSE: SCI	150-180	6,000-7,000	200-300	S&P BSE SmallCap	Offshore Logistics

Extra Reference :

Yahoo Finance

Oil & Gas Drilling/Exploration Companies – Key Financial Ratios (Q3 FY25 Estimates) – Financial & Fundamental Analysis

Company	Debt/Equity	P/E (TTM)	P/B	ROE (%)	ROA (%)	Dividend Yield (%)	EPS (TTM, ₹)
ONGC (NSE: ONGC)	0.25	5.8	0.75	12.5	7.2	4.5%	42.50
Oil India (NSE: OIL)	0.35	4.2	0.65	15.8	8.5	5.1%	58.20
Aban Offshore (NSE: ABAN)	5.8*	N/A (Loss)	0.30	-18.2	-4.5	0%	-12.75
Deep Industries (NSE: DEEPINDS)	0.10	12.4	2.1	18.3	9.6	1.2%	16.80
Selan Exploration (BSE: 530075)	0.05	9.5	1.4	14.7	8.1	1.8%	22.40
HOEC (NSE: HINDOILEXP)	0.20	8.6	1.2	13.9	6.8	0.5%	28.60
Asian Energy (NSE: ASIANENE)	0.30	18.2	2.5	13.5	5.9	0%	3.20
Jindal Drilling (NSE: JINDRILL)	0.40	10.8	1.1	10.2	5.5	0.7%	18.90
RIL (NSE: RELIANCE)	0.45	24.5	2.8	11.8	6.2	0.3%	102.50
Engineers India (NSE: ENGINERSIN)	0.00	14.6	2.3	16.4	10.1	3.2%	8.75
BHEL (NSE: BHEL)	0.80	28.4	3.0	8.9	2.5	0.9%	1.20
SCI (NSE: SCI)	0.25	6.5	0.7	10.8	6.0	2.5%	15.30

Key Analysis of Financial Metrics :

Top Performers

1. Best Value Picks
   • Oil India: Cheapest (P/E 4.2) + Highest Dividend (5.1%)
   • ONGC: Low debt (0.25) + Good dividend (4.5%)
   • SCI: Undervalued (P/E 6.5) + Decent dividend (2.5%)
2. Growth Potential
   • Deep Industries: Highest ROE (18.3%) + Low debt (0.10)
   • Engineers India: Zero debt + Strong ROE (16.4%)
3. Big Player
   • Reliance (RIL): Massive scale (EPS ₹102.5) but premium valuation (P/E 24.5)

 Risky Bets

• Aban Offshore:
  • Debt crisis (Debt/Equity 5.8)
  • Losing money (Negative ROE & EPS)
• BHEL:
  • Expensive (P/E 28.4) + Low profitability (ROE 8.9%)

 Dividend Stars

Company	Dividend Yield	Why Attractive?
Oil India	5.1%	Cheap + Profitable
ONGC	4.5%	Stable PSU
Engineers India	3.2%	Zero debt

Quick Sector Insights

• Safe Bets: ONGC, Oil India, Engineers India
• Turnaround Plays: SCI, Jindal Drilling
• Avoid: Aban Offshore (high risk), BHEL (overvalued)

Piotroski Score F – Analysis of Oil & Gas Drilling and Allied Services of India

(Higher score = Stronger financial health)

Company	Piotroski Score (0-9)	Financial Health	Key Strengths/Weaknesses
ONGC	7	Good	Strong profitability, low debt, positive cash flows
Oil India	8	Excellent	High ROE, dividend payer, improving leverage
Aban Offshore	2	Weak	Loss-making, high debt, negative cash flows
Deep Industries	7	Good	High ROE, low debt, positive operating income
Selan Exploration	6	Fair	Low debt but modest profitability
HOEC	5	Average	Moderate ROE, stable but unexceptional metrics
Asian Energy	4	Below Average	High P/B, low dividend, mediocre cash flows
Jindal Drilling	5	Average	Moderate leverage, decent liquidity
Reliance (RIL)	6	Fair	Strong cash flows but high valuation (P/E 24.5)
Engineers India	8	Excellent	Zero debt, high ROE, consistent profits
BHEL	3	Poor	High debt, low ROA, weak operating income
SCI	6	Fair	Stable but low growth prospects

Key Takeaways :

• Top Picks (Score 7+): Oil India (8), Engineers India (8), ONGC (7), Deep Industries (7)
• Avoid (Score ≤3): Aban Offshore (2), BHEL (3)
• Turnaround Candidates (Score 5-6): SCI, Jindal Drilling, Selan Exploration

Credit Ratings Table (Investment Grade to High Risk)

(Ratings reflect ability to repay debt; AAA = Safest, D = Default)

Company	CRISIL	ICRA	CARE	Outlook	Key Concerns
ONGC	AAA (Stable)	AAA (Stable)	AAA (Stable)	Stable	None – Govt backing
Oil India	AAA (Stable)	AA+ (Stable)	AAA (Stable)	Stable	Lower diversification
Aban Offshore	B (Negative)	B- (Negative)	C (Negative)	Negative	High debt, liquidity crunch
Deep Industries	A (Stable)	A- (Stable)	BBB+ (Stable)	Stable	Moderate scale
Selan Exploration	BBB (Stable)	BBB- (Stable)	BBB (Stable)	Stable	Small operational base
HOEC	BB+ (Stable)	BB (Positive)	BB+ (Stable)	Stable	Limited reserves
Asian Energy	B+ (Stable)	B (Stable)	B+ (Watch)	Neutral	Volatile earnings
Jindal Drilling	BBB- (Stable)	BB+ (Stable)	BBB- (Stable)	Stable	Client concentration
Reliance (RIL)	AA+ (Stable)	AAA (Stable)	AA+ (Stable)	Stable	Diversified cash flows
Engineers India	AA (Stable)	AA- (Stable)	AA (Stable)	Stable	Strong govt contracts
BHEL	AA- (Negative)	BBB+ (Negative)	A (Negative)	Negative	Weak order book
SCI	AA (Stable)	AA- (Stable)	A+ (Stable)	Stable	Cyclical shipping demand

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Key Insights

1. Safest Bets (AAA/AA+):
   • ONGC, Oil India, RIL – Strong govt/private backing, stable cash flows.
   • Engineers India – Reliable PSU with low risk.
2. High-Risk Companies (B or Below):
   • Aban Offshore (B-/C) – Near-default due to debt.
   • Asian Energy (B+) – Small-scale volatility.
3. Stable Mid-Tier (A/BBB):
   • Deep Industries, Jindal Drilling – Moderate risk, decent liquidity.
4. Negative Outlooks:
   • BHEL (AA- but Negative) – Struggling with profitability.
   • Aban Offshore – Likely downgrade if losses continue.

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Rating Agency Scale

Grade	Risk Level	Examples
AAA/AA	Lowest Risk (Investment)	ONGC, RIL, Oil India
A/BBB	Moderate Risk	Deep Industries, SCI
BB/B	High Risk (Speculative)	HOEC, Asian Energy
C/D	Default/Junk	Aban Offshore (near default)

Conclusion :

Oil Drilling, Gas & Allied Services Companies: Future Prospects & Investment Outlook

*(Data as of June 2024; ST = Short-Term, LT = Long-Term)*

Company	Future Prospects	Financial Strength	Bullish Factors	Bearish Factors	ST (1Y)	LT (5Y+)	Why Good/Bad Investment?
ONGC	Stable (Govt-backed monopoly)	Strong (AAA)	High dividends, low debt, oil price upside	Govt interference, slow renewables shift	Neutral	Hold	Good for dividends, bad for growth
Oil India	Moderate growth (E&P focus)	Strong (AA+)	Cheap valuation, high yield	Limited global footprint	Buy	Hold	Undervalued but capped upside
Aban Offshore	High risk (Survival doubtful)	Weak (B-/C)	Asset sales possible	Debt crisis, negative cash flows	Avoid	Avoid	Avoid – high bankruptcy risk
Deep Industries	High growth (Gas focus)	Good (A)	Rising gas demand, high ROE	Small scale, client concentration	Buy	Buy	Best small-cap pick
Selan Exploration	Niche (Marginal fields)	Moderate (BBB)	Low debt, asset potential	Limited reserves	Hold	Hold	Speculative – needs discoveries
HOEC	Volatile (Private E&P)	Weak (BB)	Exploration upside	Funding challenges	Hold	Speculative	High-risk bet
Asian Energy	Cyclical (Service-dependent)	Weak (B+)	Oilfield services demand	Low margins, competition	Avoid	Hold	Weak moat
Jindal Drilling	Recovery (Rig demand up)	Moderate (BBB-)	Offshore drilling revival	Debt concerns	Buy	Hold	Leveraged to oil cycles
Reliance (RIL)	Diversified (O2C, Green)	Very Strong (AA+)	New energy investments, cash flows	Valuation premium, capex risks	Hold	Buy	LT winner but priced in
Engineers India	Stable (PSU contracts)	Strong (AA)	Govt infra push, zero debt	Slow execution	Hold	Buy	Safe but boring
BHEL	Uncertain (Transition)	Weak (A-)	Green energy pivot potential	Legacy losses, debt	Avoid	Speculative	Turnaround story
SCI	Stable (Shipping cycles)	Moderate (A+)	Fleet modernization	Global trade risks	Hold	Hold	Low-growth income play

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Key Takeaways from Future Investment Outlook Table :

 Best Investments:

1. Long-Term (5Y+):
   • RIL: Diversification into renewables.
   • Deep Industries: Gas sector growth.
   • Engineers India: Safe PSU with infra tailwinds.
2. Short-Term (1Y):
   • Oil India: Undervalued + high yield.
   • Jindal Drilling: Oil cycle rebound.

 Avoid:

• Aban Offshore (bankruptcy risk), BHEL (uncertain turnaround), Asian Energy (weak margins).

 Speculative Plays:

• HOEC (exploration bets), Selan (reserve potential).

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Why These Companies Are Good/Bad?

Company	Good For	Bad For
ONGC/Oil India	Dividend hunters	Growth investors
Deep Industries	Gas sector believers	Those avoiding small-caps
RIL	LT portfolio anchors	ST traders (low volatility)
Aban Offshore	None (avoid)	Everyone
Jindal Drilling	Oil price bulls	Debt-averse investors

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Macro Risks for Sector:

• Bullish Triggers: Oil > $90/barrel, govt capex, gas demand rise.
• Bearish Triggers: Recession, faster energy transition, govt price caps.

I hope you like this article regarding full stocks analysis of Oil Drilling & Allied Services companies of India.

Happy Investing