NSEGiven a weaker-than-expected mandate in the 2024 Lok Sabha election, concerns of a more populist government have risen.
CLSA believes this, along with falling margins, may drive a de-rating of public sector oil marketing companies (OMCs).The global brokerage firm prefers Oil and Natural Gas Corporation Ltd .
(ONGC) over Indian Oil Corporation Ltd. (IOCL), Hindustan Petroleum Corporation Ltd. (HPCL) and Bharat Petroleum Corporation Ltd .
(BPCL).Asian benchmark Singapore gross refining margin (GRM) is tracking nearly $4 per barrel lower quarter-on-quarter, while our marker indicates a steeper decline for IOC, BPCL, HPCL and RIL, CLSA noted.GRM is what a company makes from turning every barrel of crude into fuel.The brokerage wrote that marketing margins are also tracking much lower quarter-on-quarter, pushing integrated margins to a six-quarter low.CLSA on June 6 listed out stocks such as Larsen and Toubro Ltd., IRB Infrastructure Developers Ltd., and NCC Ltd. among others that could benefit from the 100-day plan for Modi 3.0.An ambitious 100-day plan for Modi 3.0 will hit the ground running with large orders, the foreign brokerage highlighted in a note.It said that large orders the being identified to be placed across the infrastructure and defence domains.The election outcome has turned out to be a huge political blow for Bjaratiya Janata Party-led National Democratic Alliance (NDA).The BJP-led NDA didn't secure a landslide victory that was widely predicted by the exit polls ahead of the election results.
Instead, Modi will enter his third term with a much weaker mandate than initially anticipated.
NSE
Given a weaker-than-expected mandate in the 2024 Lok Sabha election, concerns of a more populist government have risen. CLSA believes this, along with falling margins, may drive a de-rating of public sector oil marketing companies (OMCs).The global brokerage firm prefers Oil and Natural Gas Corporation Ltd . (ONGC) over Indian Oil Corporation Ltd. (IOCL), Hindustan Petroleum Corporation Ltd. (HPCL) and Bharat Petroleum Corporation Ltd . (BPCL).Asian benchmark Singapore gross refining margin (GRM) is tracking nearly $4 per barrel lower quarter-on-quarter, while our marker indicates a steeper decline for IOC, BPCL, HPCL and RIL, CLSA noted.GRM is what a company makes from turning every barrel of crude into fuel.The brokerage wrote that marketing margins are also tracking much lower quarter-on-quarter, pushing integrated margins to a six-quarter low.CLSA on June 6 listed out stocks such as Larsen and Toubro Ltd., IRB Infrastructure Developers Ltd., and NCC Ltd. among others that could benefit from the 100-day plan for Modi 3.0.An ambitious 100-day plan for Modi 3.0 will hit the ground running with large orders, the foreign brokerage highlighted in a note.It said that large orders the being identified to be placed across the infrastructure and defence domains.The election outcome has turned out to be a huge political blow for Bjaratiya Janata Party-led National Democratic Alliance (NDA).The BJP-led NDA didn't secure a landslide victory that was widely predicted by the exit polls ahead of the election results. Instead, Modi will enter his third term with a much weaker mandate than initially anticipated.
