Indian companies, excluding the top 15 performers, have lost Rs 35 lakh crore, or 29 per cent, of market capitalisation since January 2018. The loss, on account of slowing economic growth and lack of revival in corporate earnings, is more than India’s market value in April 2007.

The overall market capitalisation of all companies declined Rs 18.56 lakh crore since January 2018. But for the resilience shown by the top 15 performing stocks, which have added Rs 13.34 lakh crore in market value during the period, the losses would have been sharper.

Three stocks — ONGC, Maruti Suzuki, Tata Motors — have lost between Rs 88,000 crore and Rs 1.10 lakh crore in market-cap since January 2018. Other big companies such as Vedanta, Indian Oil and Yes Bank have seen erosion of market-cap between Rs 66,000 crore and Rs 77,000 crore during the same period.


Foreign institutional selling has been one of the major reasons for the underperformance of a large number of stocks. Foreign Portfolio Investors (FPIs), who sold nearly Rs 36,000 crore worth of Indian equities in 2018, have pulled over Rs 20,000 crore out of stocks since this year’s budget on July 5.

“Divergent performance across sectors and companies within each sector have been high in the past few quarters as only few companies have reported good earnings growth during this period,” said Pankaj Pandey, head of research at ICICI Securities. “This is expected to continue till we see a broad-based earnings recovery.”

Among the top 15 performers, Tata Consultancy Services alone added Rs 2.6 lakh crore in market value. Reliance Industries and Hindustan Unilever added over Rs 1.8 lakh crore, Rs 1.11 lakh crore and Rs 1.10 lakh crore, respectively, in market capitalisation since January 2018.


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