Barring the correction seen in the last week, the returns for the benchmark index have been stellar.
The year so far has been excellent for the Equity Benchmark Sensex, with the benchmark equity index hitting life high of 32,686.48 earlier this month. The equity benchmark index is up by over 17% so far this year. A week back, it was up by over 21%, but a recent correction wiped off more than 3% returns. Barring the correction seen in the last week, the returns for the benchmark index have been stellar. However, not all the stocks on the index have done equally well. We take a look the stocks which have lifted the Sensex up this year, and those which tried their best to pull it down.
Leading the gains in the index with more than 52% returns is Tata Steel. The Tata group company has received regulatory approval for a deal to cut its UK pension scheme liabilities, it said on Friday, paving the way for a possible merger between its British and European steel businesses and those of Germany’s Thyssenkrupp.
HDFC Bank is second in the list with year to date returns of more than 42%. The stock has beaten the benchmark on a one-year, three-year and five-year basis too. The other three tickers which have posted more than 40% returns in the year so far are Reliance Industries, Adani Ports & Special Economic Zone Ltd and Maruti Suzuki. The other stocks making it to the top ten list are Bharti Airtel, Kotak Mahindra, HDFC Corporation Ltd, and Asian Paints, which have rewarded their investors with each returning 30% or more.
Notably, apart from the companies mentioned above, Larsen & Toubro Ltd, ICICI Bank Ltd, Wipro Ltd and Power Grid Corp of India Ltd outperformed the benchmark in the year so far with returns of more than 20% each.
On the other hand, many of the companies have tried to drag the Sensex by posting negative returns. The year has not been great for the pharmaceutical sector, due to the USFDA and other regulatory issues. Lupin Ltd, Dr Reddy’s Laboratories Ltd and Sun Pharmaceutical Industries Ltd have been the bottom three performers, losing 36.6%, 34.3% and 28.4%, respectively since January. The sector is likely to remain under pressure, caution market analysts. Market veterans Ashwani Gujral and SP Tulsian had cautioned investors to stay away from the pharma sector, as a lot of concerns still remain.
The year has not been so great for some other companies too. In fact, while Tata Steel topped the chart among gainers, another Tata Group company is among the major losers. It is the shares of Tata Motors which has lost 21% since January. Information Technology majors too have been sluggish this year, with the much celebrated company Infosys Ltd losing 2.3%, while the largest Indian IT firm Tata Consultancy Services returning only 5.4% gains so far this year, underperforming the benchmark by a huge gap.
Last Friday, Indian stock market tumbled, with the Sensex falling over 300 points and setting the week for the worst fall in over last 18 months as the ongoing cross-border tensions between the United States and North Korea turned the sentiments negative across the world stocks. For the whole week, BSE Sensex lost 1,060 points, magnifying the negative returns.
Though, the bulls seem to have been back in action today, with the Sensex trading up about 250 points on Monday morning. After having lost 3.5% in the last week, Equity benchmarks rebounded in opening on Monday backed by short covering in most beaten stocks.