India’s blue-chip stocks faced a sharp downturn last week as the combined market capitalisation (mcap) of six of the top-10 most valued companies in the country eroded by more than ₹3 lakh crore — a significant loss reflecting bearish sentiment across equity markets.
The widespread valuation decline came amid a broad market sell-off, with the BSE Sensex falling over 950 points (around 1.14%) over the course of the week. Investors reacted to weak macro signals, slowing global growth cues and sector-specific headwinds, especially in the technology space.
IT Majors Bear the Brunt
Leading the losses were the country’s top information technology firms. Tata Consultancy Services (TCS) saw its mcap tumble by a massive ₹90,198.92 crore, slipping to around ₹9.74 lakh crore, while Infosys lost ₹70,780.23 crore in valuation, bringing its mcap down to roughly ₹5.55 lakh crore.
Technology firms’ underperformance has been a recurring theme in recent sessions, with investor concerns around demand headwinds, lower IT spending, and broader global uncertainties pressuring valuations.
Banks and Industrial Stocks Mixed Performance
Other major corporations also contributed to the slump. HDFC Bank saw its market cap decline by about ₹54,627.71 crore, while Reliance Industries — India’s most valued firm — dropped ₹41,883 crore in valuation. Life Insurance Corporation of India (LIC) and Bharti Airtel also recorded losses.
However, not all top names were in the red. Financial and infrastructure names such as State Bank of India (SBI), Bajaj Finance, Larsen & Toubro (L&T), and ICICI Bank bucked the trend, posting gains in market value. SBI, for instance, added over ₹1.22 lakh crore to its valuation.
Investor Sentiment & Outlook
Market analysts say the recent depreciation in market cap highlights ongoing volatility in Indian equities. A combination of global macro pressures, mixed corporate earnings and rotation away from tech stocks has influenced investor sentiment. While the broader benchmark indices remain sensitive to economic cues, selective buying in financial and industrial sectors suggests pockets of resilience even amid overall tightening.
60-Word Summary
Six of India’s top-10 most valued firms saw their combined market valuation shrink by over ₹3 lakh crore last week amid a bearish stock market, with IT giants TCS and Infosys facing the steepest declines. While banks like SBI, ICICI Bank and companies like Bajaj Finance posted gains, heavy losses in tech and financial stocks weighed on overall market sentiment.
