Oil marketing firms close at lifetime highs

PVR, UltraTech Cement, Somany Ceramics, Dalmia Bharat, Bajaj Auto and Bajaj Finserv hit their respective record highs.

Shares of oil marketing companies (OMCs) are on a roll with all three listed firms – Hindustan Petroleum Corporation (HPCL), Bharat Petroleum Corporation (BPCL) and Indian Oil Corporation (IOC) – closing at their respective lifetime highs on the BSE Sensex on Tuesday. These stocks closed higher between three-five per cent, as compared to 0.15 per cent rise in the index.

In the past two months, all three stocks outperformed the market by surging between 20-33 per cent as compared to a 9.4 per cent gain in the benchmark index.

OMCs’ performance is on the rise, led by scope for meaningful increase in marketing margins and profitability, slower ramp-up by private marketers, high volume growth, aided by expected gross domestic product growth, and improving balance sheet with increasing cash flow, according to analysts at Motilal Oswal Securities.

Analysts at Antique Stock Broking expect OMCs to report sequentially flat earnings, with the exception of IOCL, where earnings are likely to stand better on lower base of the quarter ended March 2016. Weak refining margins would likely get offset by plausible inventory gains and healthy fuel consumption growth during the quarter.

Meanwhile, 20 scrips – including PVR, UltraTech Cement, Somany Ceramics, Manpasand Beverages, Bajaj Auto, Dalmia Bharat and Bajaj Finserv – from the BSE500 & Nifty 500 hit record highs during intra-day trade.

COMPANY	LATEST	ALL TIME HIGH	PREV HIGH	PREV DATE
ATUL	2136.15	2184	2146	18-Jul-16
B P C L	572.05	582	576.23	12-Jul-16
BAJAJ AUTO	2750.25	2766	2761.15	18-Jul-16
BAJAJ FINSERV	2496.7	2512	2490	12-Jul-16
BERGER PAINTS	232.25	235	232.86	11-Jul-16
DALMIA BHAR.	1239.75	1245	1238.15	18-Jul-16
ESSEL PROPACK	213.95	224.4	224	13-Jul-16
GULF OIL LUBRIC.	588.45	590	590	11-Jul-16
H P C L	1107.45	1115.25	1098.8	12-Jul-16
I O C L	493.35	496	488	18-Jul-16
LAK. VILAS BANK	116.7	118.9	117.95	18-Jul-16
MANPASAND BEVER.	698.35	713.8	687.3	18-Jul-16
MARICO	277.85	282.7	281.4	15-Jul-16
NAVIN FLUO.INTL.	2182.65	2290	2255	15-Jul-16
PIRAMAL ENTERP.	1573.95	1593	1589.2	15-Jul-16
PVR	1114.35	1147	1072.8	30-Jun-16
REPCO HOME FIN	795.7	803.7	801.8	27-Jun-16
SHREE CEMENT	16195.5	16398.85	16269.9	12-Jul-16
SOMANY CERAMICS	606.2	659.8	604.25	01-Jul-16
ULTRATECH CEM.	3507.75	3562	3559.25	15-Jul-16