A significant market reset is underway as nearly four in 10 Nifty 50 shares plummet more than 20 per cent from their 52-week highs, erasing over ₹31 trillion in market value amid sector-wide declines especially in technology, consumer, and financial stocks.
Nearly four in 10 Nifty 50 shares are now trading at least 20 per cent below their 52-week peaks, underscoring how sharply sentiment has cooled across some of India’s biggest listed companies. Data compiled by BS Research show that 18 of the index’s 50 members have crossed that threshold, a level that is often treated as a bear phase for an individual stock. The slide has erased about ₹31.35 trillion in market value, with the Nifty itself slipping to 23,140.5 from its 52-week high of 26,373.2, reached on January 5, 2026.
The heaviest damage has been concentrated in technology, consumer and financial names that had previously commanded rich valuations. Infosys has fallen the most among the laggards, down 42.1 per cent from its peak, followed by Wipro, Tata Consultancy Services, ITC, Tata Motors Passenger Vehicles and HDFC Life Insurance. Other notable declines include Maruti Suzuki India, HCL Technologies, Jio Financial Services, HDFC Bank, Hindustan Unilever, Reliance Industries, Tata Consumer Products, Oil and Natural Gas Corporation, Trent, NTPC, Mahindra & Mahindra and State Bank of India.
Santosh Meena, head of research at Swastika Investmart, told Business Standard that the sell-off amounts to a meaningful reset in valuations after several years of strong gains. He said the broader Nifty had already retreated by around 10 to 12 per cent from its highs, with profit-taking, firmer global bond yields, elevated crude prices and stock-specific pressures all weighing on the market. Meena added that high-weight IT and banking shares, which had looked expensive relative to their near-term growth outlook, have borne much of the adjustment.
The market-capitalisation destruction has been especially severe among the index heavyweights. Reliance Industries has lost about ₹4.76 lakh crore in value, with its market capitalisation falling from ₹21.35 lakh crore at its peak to ₹16.59 lakh crore now. HDFC Bank’s market value has dropped from ₹15.49 lakh crore to ₹11.34 lakh crore, while State Bank of India has declined from ₹11.29 lakh crore to ₹9.07 lakh crore. Infosys has shed roughly ₹2.82 lakh crore, and TCS has also seen a large contraction, underlining how much of the index’s pullback has come from companies that still remain central to India’s equity market.
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