We do not see too much downside in RIL: Dhiraj Agarwal, Standard Chartered Capital

Dhiraj Agarwal, Director, Institutional Equities, Standard Chartered Capital, in an interview with ET Now gives his views on OMCs


Much of the upside in OMCs do you think that has built in in the price?

The sector is a very tricky one. It keeps on bobbing up and down on with the oil price moves but I think the sustained upside will be only if there is better clarity on the pricing policy by the government till then they just continue to remain in that 15% to 20% trading range, bulk of which might have played out by now in the current bounce at least may be little bit more.



RIL this year has underperformed Indian markets. At these levels could Reliance be a could contra buy?

We think Reliance should be a sort of a buy hold, core holding here. The way to look at Reliance is that in the last one and a half years a number of news has gone against the stock, but bulk of it is known and hence one believes bulk of it is in the price. So we do not see too much of downside in Reliance. Whereas at this point of time there is no pricing of any possible turn in the news flow or developments in the positive side. So I do not know how long will it stay this range how long will it keep on tracking the market marginal out performance or underperformance but you are better off buying the stock than selling the stock here and be patient with it.