This Article is From Dec 10, 2015

Buy ONGC, Coal India, Avoid Commodity Stocks: Daljeet Kohli

Buy ONGC, Coal India, Avoid Commodity Stocks: Daljeet Kohli

Daljeet Kohli has a contrarian view on global crude prices

Daljeet Kohli, head of research at IndiaNivesh Securities, expects nervousness on the Street in the run up to the December 15-16 US Federal Reserve policy meet. Some of the mid and small cap stocks were overbought in last few months, due to which they have become highly overvalued as compared to their large cap counterparts, he added. (Watch)

Stock talk

Buy Reliance Industries, Oil India: Mr Kohli has a contrarian call on the oil and gas space. He expects global crude oil prices to recover from current levels going ahead.

Buy ONGC: The stock is trading near its 2009 prices and is an attractive buy.

Buy Coal India: The stock may take a hit if the government's disinvestment plan for the company gets postponed further. The company's fundamentals are strong. Investors can look at buying Coal India shares on declines.

Avoid commodity stocks: The commodity cycle is in a continued downtrend. Many companies are highly leveraged and will remain under pressure unless there is an economic revival.