Oil-linked stocks in focus: Brent near $70; ONGC, Oil India, HPCL, BPCL among others – Explorers under pressure, user industries gain – Markets

Oil-linked stocks in focus: Brent near $70; ONGC, Oil India, HPCL, BPCL among others - Explorers under pressure, user industries gain - Markets


Oil marketing companies, on the other hand, stand to benefit from the drop in crude. HPCL, BPCL and IOCL usually see an improvement in margins when input costs fall. Lower crude prices reduce the cost of fuel procurement, supporting profitability. Even a Rs 0.5 per litre change in fuel margins can influence EBITDA by around 7–11 per cent, making this segment a key beneficiary of the current trend.



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