Despite production cut from OPEC and non-OPEC countries, we expect the oil prices to remain muted owing to the robust supply from US Shale and weakening global macros. Thus, we do not foresee subsidy sharing in FY21/22E as well. Besides, ONGC will generate OCF yield of 32.1/35.1% and dividend yield of 9.7% over FY21/22E. Though the stock has remained out of flavor given GoI's stake sale to achieve its disinvestment target, it still remains a key overhang on the stock (in the last 2 years, GoI's shareholding shrank from 67.7% to 62.8%). We value ONGC at Rs 173/sh (8x Dec-21E standalone core EPS (adj. for dividend income) + OVL EPS and Rs 31 from other investments) vs the consensus TP of Rs 184. We maintain BUY on ONGC following an inline performance with our PAT estimate in 3QFY20. The current valuations after adjusting for investments (OVL and others) for FY21/22 are 1.5/1.3x EV/EBITDA, 3.6/3.1x PER. Such pessimism is unwarranted in our opinion.