Positive on ONGC: P Phani Sekhar, Angel Broking

P Phani Sekhar, Fund Manager-PMS, Angel Broking, in a chat with ET Now talks about ONGC.

What is the call on ONGC?

We remain positive on ONGC because apart from Cairn India that remains beneficiary of the higher crude oil prices. Of course we are waiting not for deregulation but a hike in diesel prices because in the interim that is going to add to ONGC’s profits. So that remains a short term catalyst.

Having said that, some of the other measures that the management has been saying on record – like the announcement of a special dividend - are also expected to help the sentiment on the margin. On the whole, ONGC - even if you compare it with its Asian peers - it is one of the cheapest in the entire region. As the leadership seems to be changing and banking at best seems to be market performer - at least for the near to medium term till, at least the Budget - the focus will be shifting on oil and gas.