Buy ONGC and OIL India from long term perspective: India Infoline

Prayesh Jain, Research Analyst, India Infoline in an interview with ET Now talks about oil stocks.

If minor hike comes about in petrol, diesel, kerosene, LPG and no clarity emerges on ONGC, Oil India is moving scale subsidy formula do you see all these stocks then giving up steam because last 10 days all OMC stocks have really been shooting now?

Definitely most investors and the markets are expecting some steps towards deregulation if that doesn’t come in then definitely you might see many of these stocks correction. However, with a long term perspective we will continue to maintain our buy recommendation on ONGC and Oil India. ONGC and GAIL, GAIL primarily because of its long term visibility in terms of natural gas transmission and ONGC just for its steep discount to global peers.