Low PE Dolly Khanna Portfolio Oil Refining Stock Jumps 6% On Monday; Check The Key Trigger Behind The Rally

Indian equity benchmarks ended higher on Monday, with the benchmark Nifty 50 index gaining 231 points, or 0.98 per cent, to 23,853.90. Amid the broader market strength, Chennai Petroleum Corporation (CPCL) share price jumped 6.41 per cent to Rs 1,210.60, extending their recent rally.

The stock has delivered strong returns across multiple timeframes, gaining 20.04 per cent over the past month, 31.07 per cent in the last six months, and 93.16 per cent over the past year, significantly outperforming the broader market.

Why Did Oil Refining Stocks Rally?

Shares of oil marketing and refining companies moved higher after global crude oil prices declined sharply following reports of progress in peace negotiations between the United States and Iran.

According to reports, Brent crude futures fell more than 4 per cent to around USD 83 per barrel after investors welcomed a preliminary agreement between the US and Iran that could potentially lead to the reopening of the Strait of Hormuz, one of the world's most critical oil transportation routes.

US President Donald Trump reportedly stated that the agreement could result in the reopening of the Strait of Hormuz and the lifting of the US naval blockade. The Strait handles approximately one-fifth of global seaborne oil trade, making it a key route for global energy supplies.

Lower crude oil prices generally benefit oil refining and marketing companies as they help reduce input costs and improve profitability prospects.
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The positive sentiment was visible across the sector. Hindustan Petroleum Corporation Ltd (HPCL) gained around 3.28 per cent, Indian Oil Corporation Ltd (IOC) advanced 2.52 per cent, while Bharat Petroleum Corporation Ltd (BPCL) rose 2.73 per cent during the session.

Chennai Petroleum, being a major refining company, also benefited from the improved sentiment towards the downstream oil sector.

Chennai Petroleum Shareholding Pattern

According to the latest shareholding pattern, promoter holding remained unchanged at 67.29 per cent during the March 2026 quarter.

Foreign Institutional Investors (FIIs) held 12.59 per cent of the company in March 2026, compared with 12.87 per cent in December 2025. Meanwhile, Domestic Institutional Investors (DIIs) increased their holding to 2.11 per cent in March 2026 from 1.02 per cent in the previous quarter. Public shareholding stood at 18.00 per cent as of March 2026.

Dolly Khanna Holds 1.30 per cent Stake

Ace Investor Dolly Khanna held a 1.30 per cent stake in Chennai Petroleum Corporation Ltd as of the March 2026 quarter, making the company one of the notable stocks in her publicly disclosed portfolio.

About Chennai Petroleum Corporation

Chennai Petroleum Corporation Ltd is a subsidiary of Indian Oil Corporation Ltd and is one of India's leading petroleum refining companies. The company operates major refining facilities and manufactures a wide range of petroleum products, including motor spirit, diesel, aviation turbine fuel, LPG, petrochemicals and specialty products. From a valuation perspective, Chennai Petroleum Corporation trades at a low P/E ratio of 5.79

The company plays a key role in India's energy supply chain and benefits from fluctuations in crude oil prices, refining margins and domestic fuel demand trends.

What are your views on Chennai Petroleum and the outlook for refining companies amid falling crude oil prices? Share your thoughts in the comments below.
Disclaimer: This article is for informational purposes only and does not constitute investment advice.