ONGC shares down by more than 1% today as oil prices remain subdued

ONGC share price is down today. At 1:25 p.m. IST, 15^th December, 2025, the stock price is down by 1.75%, trading at Rs 233.86. Nifty 50 index is down by 0.058% at this time. At this time, ONGC stock is the top loser at Nifty 50 today.

ONGC is an oil & gas exploration and production company. Higher oil prices benefit ONGC. Lower prices hurt it. Oil prices continue to remain low. WTI crude oil for January delivery is trading at $57.73 per barrel. Brent crude is trading at $61.44 per barrel.

Oil prices may remain subdued in the foreseeable future

High import tariffs imposed by USA has started impacting the economies of many countries. Global economic slowdown is likely to exacerbate because of these tariffs. Demand for oil is dependent on the state of economy. Economic slowdown lowers the demand for oil. An economic boom increases it. So both oil & gas prices are likely to remain low in the foreseeable future.

OPEC+ keeps production high

Things are not being helped by the decision of OPEC+ to keep oil production at higher levels. OPEC+ has announced that it will increase oil production by 137,000 barrels per day in December. It will then not increase oil production in the first 3 months of 2026. OPEC+ has kept oil production high in spite of subdued demand because it does not want to lose market share to oil coming from America.

ONGC shares down by more than 1% YTD in 2025

Due to lower oil & gas prices, ONGC’s stock has lost 1.30% YTD in 2025. Nifty 50 index has gained 9.64% in this period. ONGC shares have underperformed the Nifty 50 index by around 10% this year.  Nifty Oil & Gas index has gained 12.01% YTD in 2025. ONGC’s stock has a weight of 14.18% in the index. ONGC shares have underperformed this index by more than 13% this year.

ONGC shares are currently trading at 12-month trailing price-to-earnings (P/E) ratio of 8.05. Stocks that make up Nifty Oil & Gas index are currently trading at an average P/E ratio of 11.38.

Disclaimer : This content is only for informational purpose. It does not make any recommendation to act or invest.

Source: NSE, ONGC