Cairn india is trading at 255 with market cap of 48000 cr. Company doesn't have any real earnings in past to talk about but Rajasthan fields have already started producing oil. P/E is not a real measure to come for any valuation on this stock. How to value this .. is it expensive , cheap . Is there any more potential in this stock.
All of these are drilling oil for India's future. If they strike OIL , shareholders become rich if not they go nowhere.So where should I put money ?
I am sure that oil price will go higher in future. Middle east will remain unstable and nuclear development by Iran could create more tension between Israel and other neighbor. Any tension in middle east will take OIL prices to record high. Of course these are my predictions.
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