Merrill downgrades ONGC on valuation

The stock last traded at Rs 1,181.05, gaining 15 per cent in the past month and exceeding Merrill Lynch's previous price target of Rs 1,150.

Merrill Lynch has downgraded the shares of Oil and Natural Gas Corporation to "neutral" from "buy" because of the stock's recent strong gains.

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"We acknowledge that there could be some 5-10 per cent upside from current levels, however this is not enough to justify maintaining our 'Buy' opinion," the bank said in a research note dated January 5.

The stock last traded at Rs 1,181.05, gaining 15 per cent in the past month and exceeding Merrill Lynch's previous price target of Rs 1,150.