UBS upgrades Cairn India to neutral on valuations

Last Updated: Tue, Feb 08, 2011 13:19 hrs

UBS has upgraded Cairn India to neutral from sell, saying a recent correction in the stock has made it fairly priced.

The share has underperformed the main BSE index by 7.7 percent since August, UBS said in a note after the market closed on Wednesday, keeping the price target unchanged at 355 rupees.

However, UBS do not see any positive stock sentiment until a proposed deal by London-listed miner Vedanta to buy a majority stake in Cairn India is completed.

At 10:35 a.m. (0505 GMT), shares of Cairn India were trading 0.58 percent lower at 316.15 rupees in a firm Mumbai market.

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