Wait and watch for BPCL: Sajiv Dhawan

Sajiv Dhawan, MD, JV Capital Services, in a chat with ET Now, gives his views on BPCL.

Why is BPCL outperforming not only the OMC basket but it is also outperforming major averages?

There is some news on BPCL about some discovery in Mozambique which is again a sentiment booster but apart from that I do not know about the oil marketing companies. They are great companies but they have obviously got their problems with the subsidy.

It is likely to be a hike in oil prices and petrol prices over the next couple of weeks but BPCL basically because of this news flow is just outperforming in the short term but otherwise all these stocks will continue to move depending on oil prices and the government’s policy decisions if they finally decontrol diesel prices.