NEW DELHI: A surge in crude oil price past the $80 a barrel level and a 15 per cent rise in coal prices since August are likely to have negative implications for cement, paints, aviation and FMCG companies, but may boost margins for select oil & gas, metals and power companies, analysts said.
Cement companies could be hit the most; every 5 per cent rise in crude and coal prices hits their margins by 100 basis points. Refiners such as ONGC and Oil India would gain the most; every $10 increase in crude prices increases their EPS 10-20 per cent.
