The combined market capitalisation of nine of India’s 10 most valuable listed companies last week rose by nearly Rs 2.51 lakh crore. In the list, Bajaj Finance emerged as the biggest beneficiary with market valuation climbing by more than Rs 80,000 crore.
The sharp rise came as the financial services company reported a 28 per cent year-on-year increase in consolidated profit after tax for the June quarter of FY27.
In a week, Sensex gained 2,034.87 points, or 2.67 percent, while the NSE Nifty advanced 616.15 points, or 2.59 percent.
Bajaj Finance’s market value increased by Rs 80,345.97 crore to Rs 7,10,817.51 crore, making it the strongest performer among the country’s 10 most valued companies.
In the rank-wise analysis, Reliance Industries continued to hold the top spot in India’s market-cap ranking, followed by Bharti Airtel, HDFC Bank, ICICI Bank, State Bank of India, TCS, Bajaj Finance, Larsen & Toubro, LIC and Hindustan Unilever.
Reliance Industries added Rs 39,447.35 crore, taking its valuation to Rs 17,69,108.79 crore.
The market has also seen a shift in the foreign investors portfolio.
Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Investments Limited said, “There is a clear shift in FPI flows to India. In July, FPIs turned buyers with a cumulative buying of equities worth Rs 20199 crores, of which Rs 6731 crores was through exchanges and Rs 13467 crores was through the ‘primary market and others’ category. Debt inflows also witnessed big jump with Rs 29211 crores coming through the ‘General Limit’ category alone. (Source: NSDL)
“The excessive volatility in markets like South Korea and Taiwan and the concentration risk in the ‘chip trade’ are prompting the FPIs to look for stabler markets like India. The stability in rupee and fair valuations of India’s large cap stocks are other factors that are facilitating the renewed FPI inflows into India.”
A significant recent trend is the FPIs buying into Indian mid and small cap stocks. The high growth potential of this segment is the principal reason for the increasing FPI allocation to these segments, he said.
For the coming week, a focus will be on the crude oil as it closed the week lower despite one of its most volatile stretches of the conflict, with Brent (October) settling near $90 a barrel.