Oil and natural gas corporation Ltd (ONGC) declared 5 rupees per share interim dividend at a board of directors meeting held on 16 March 2020.
ONGC stock has underperformed in the last couple of months and is making new 52 weeks low. In today’s trading, ONGC closed the day at 60 marginally down compared to yesterday’s trade.Stock reacted positively to boards decision of interim dividend.During most of the trading session it traded with positive bias and reached intraday high of 63.00. During the last trading hour it decline along with NIFTY.Nifty closed down (-2.50%) at 8,967.05.
ONGC stock has a good dividend paying history and is available at present at a cheap valuation . It is trading at P/E of 3.72. Long term investors should consider accumulating stock at current prices over the time.
Falling crude oil prices have also added lots of volatility in the energy stocks. Today, Brent Crude oil is trading around $ 30 and have almost halved in a month (Crude oil price : $58.8 on 20 Feb).
Image source: ONGC