Sensex, Nifty near 52-week high but investors portfolios bleeding; here's why
According to the data from Ace Equity, 250 stocks of the BSE500 index are in the bear grip, which means they are down 20 per cent or more from their recent 52-week highs.
- Nov 26, 2025,
- Updated Nov 26, 2025 2:01 PM IST
Indian benchmark indices, BSE Sensex and Nifty50 are hovering near their 52-week high and both the barometers appear to be marginally away from their all-time highs. However, the recent rally in the benchmark indices is being translated to the broader markets. BSE's midcap and smallcap indices are up to 10 per cent from their respective 52-week highs.
The pain is more severe on a stock-specific basis. According to the data from Ace Equity, 250 stocks of the BSE500 index are in the bear grip, which means they are down 20 per cent or more from their recent 52-week highs. It means that 50 per cent of India's top 500 stocks, representing over 90 per cent India's market capitalization, have tanked up to 66 per cent from their recent peaks.
A 'bear grip' is a term describing a persistent downward trend in the stock market where prices fall significantly, and it is often confirmed when a stock or index declines 20 per cent or more from its most recent high. This indicates a pessimistic market sentiment, where sellers are in control and buyers are hesitant.
According to the analysts from Centricity WealthTech, more than 150 stocks in the NSE Smallcap 250 index are down by more than 20 per cent from their all-time highs, and more than 65 stocks in the NSE midcap 150 index are down by more than 20 per cent from their all-time highs. In Nifty 50, 10 companies have led to an up-move of more than 370 points in November’s rally.
Stocks including Tejas Networks, Praj Industries, SKF India, Ola Electric Mobility, Vendant Fashions have tumbled 60-66 per cent from their respective 52-week highs. Similarly, Cohance Lifesciences, Sterling and Wilson Renewable, Jindal Saw, Brainbees Solutions, KNR Constructions, Newgen Software Technologies and Jupiter Wagons are among the stocks, down over 50 per cent from their recent peaks.
Select market participants believe that the impact is not limited to broader markets as only select largecap names have participated in the rally and mostly index heavy bluechips stocks have pushed the benchmark indices higher, contributing more than half of the gains.
Pradeep Gupta, Executive Director- Head of Investments India at Lighthouse Canton said that select large cap counters have largely contributed nearly 60 per cent of it. The mixed performance in mid and small caps suggests that market participation continues to be selective, possibly awaiting clearer signals from global markets and domestic economic data.
Ongoing momentum is yet to earn full conviction and broader market behavior in near term will signal out true strength & bullish structure. Current broader market dynamics reflect both consolidation and cautiousness. While pockets of strength persist, ongoing shifts in several small-cap stocks point to evolving market assessments, he added.
Names like HFCL, Sonata Software, Ramkrishna Forgings, NCC, Cyient, ITI, Zen Technologies, KIOCL, KEC International, Punjab & Sind Bank, PG Electroplast, Network 18, Swan Corp, Natco Pharma, Sheela Foam, Finolex Cables, Trent, Deepak Nitrite, Concord Biotech, Thermax, Relaxo Footwears, Carborundum Universal, Tata Teleservices (Maharashtra), Clean Science, Aditya Birla Real Estate, UCO Bank, BLS International, Chambal Fertilisers, IREDA and Whirlpool of India are down 40-50 per cent form their 52-week highs.
Market participants believe that investors should stick to the quality names with stable earnings, positive technical indicators, and favourable sectoral trends that may help mitigate downside risks while capturing potential upside. Market participants are expecting a better performance by India Inc in the December 2025 quarter.
"We are witnessing that companies where valuation heat persisted, have started to correct sharply specifically in the mid-cap and small-cap space. Some outlier themes in the indices which participated in the incremental growth of broader market earnings are metals, NBFCs, PSU Banks and healthcare," said Sachin Jasuja, Head of Equities and Founding Partner, Centricity WealthTech.
Stock and sector selection will play a key role in portfolio allocation since the markets are at a higher level, leaving limited room for errors. Midcaps may potentially outperform the smallcap and Nifty 50 indices since the pace of earnings has been the fastest in terms of EPS growth, given the fact that valuations have to be looked at from a selective-company perspective, Jasuja adds.
Other stocks including names like Action Construction, Kalyan Jewellers, Triveni Turbine, Birlasoft, NTPC Green, OFSS, Titagarh Rail, REC, Tata Investment Corporation, Central Bank of India, SJVN, Anant Raj, Poly Medicure, Westlife Foodworld, Crompton Greaves, Happiest Minds, ABB India, Inox Wind, ZEEL, Swiggy, KFin Technologies, CRISIL, Just Dial, GR Infraprojects, RVNL, Indian Overseas Bank, PVR Inox, Indian Energy Exchange, Piramal Pharma, Godrej Agrovet, Sanofi India and PCBL Chemical have wiped out at least 35 per cent of their value from their peaks.
Indian benchmark indices, BSE Sensex and Nifty50 are hovering near their 52-week high and both the barometers appear to be marginally away from their all-time highs. However, the recent rally in the benchmark indices is being translated to the broader markets. BSE's midcap and smallcap indices are up to 10 per cent from their respective 52-week highs.
The pain is more severe on a stock-specific basis. According to the data from Ace Equity, 250 stocks of the BSE500 index are in the bear grip, which means they are down 20 per cent or more from their recent 52-week highs. It means that 50 per cent of India's top 500 stocks, representing over 90 per cent India's market capitalization, have tanked up to 66 per cent from their recent peaks.
A 'bear grip' is a term describing a persistent downward trend in the stock market where prices fall significantly, and it is often confirmed when a stock or index declines 20 per cent or more from its most recent high. This indicates a pessimistic market sentiment, where sellers are in control and buyers are hesitant.
According to the analysts from Centricity WealthTech, more than 150 stocks in the NSE Smallcap 250 index are down by more than 20 per cent from their all-time highs, and more than 65 stocks in the NSE midcap 150 index are down by more than 20 per cent from their all-time highs. In Nifty 50, 10 companies have led to an up-move of more than 370 points in November’s rally.
Stocks including Tejas Networks, Praj Industries, SKF India, Ola Electric Mobility, Vendant Fashions have tumbled 60-66 per cent from their respective 52-week highs. Similarly, Cohance Lifesciences, Sterling and Wilson Renewable, Jindal Saw, Brainbees Solutions, KNR Constructions, Newgen Software Technologies and Jupiter Wagons are among the stocks, down over 50 per cent from their recent peaks.
Select market participants believe that the impact is not limited to broader markets as only select largecap names have participated in the rally and mostly index heavy bluechips stocks have pushed the benchmark indices higher, contributing more than half of the gains.
Pradeep Gupta, Executive Director- Head of Investments India at Lighthouse Canton said that select large cap counters have largely contributed nearly 60 per cent of it. The mixed performance in mid and small caps suggests that market participation continues to be selective, possibly awaiting clearer signals from global markets and domestic economic data.
Ongoing momentum is yet to earn full conviction and broader market behavior in near term will signal out true strength & bullish structure. Current broader market dynamics reflect both consolidation and cautiousness. While pockets of strength persist, ongoing shifts in several small-cap stocks point to evolving market assessments, he added.
Names like HFCL, Sonata Software, Ramkrishna Forgings, NCC, Cyient, ITI, Zen Technologies, KIOCL, KEC International, Punjab & Sind Bank, PG Electroplast, Network 18, Swan Corp, Natco Pharma, Sheela Foam, Finolex Cables, Trent, Deepak Nitrite, Concord Biotech, Thermax, Relaxo Footwears, Carborundum Universal, Tata Teleservices (Maharashtra), Clean Science, Aditya Birla Real Estate, UCO Bank, BLS International, Chambal Fertilisers, IREDA and Whirlpool of India are down 40-50 per cent form their 52-week highs.
Market participants believe that investors should stick to the quality names with stable earnings, positive technical indicators, and favourable sectoral trends that may help mitigate downside risks while capturing potential upside. Market participants are expecting a better performance by India Inc in the December 2025 quarter.
"We are witnessing that companies where valuation heat persisted, have started to correct sharply specifically in the mid-cap and small-cap space. Some outlier themes in the indices which participated in the incremental growth of broader market earnings are metals, NBFCs, PSU Banks and healthcare," said Sachin Jasuja, Head of Equities and Founding Partner, Centricity WealthTech.
Stock and sector selection will play a key role in portfolio allocation since the markets are at a higher level, leaving limited room for errors. Midcaps may potentially outperform the smallcap and Nifty 50 indices since the pace of earnings has been the fastest in terms of EPS growth, given the fact that valuations have to be looked at from a selective-company perspective, Jasuja adds.
Other stocks including names like Action Construction, Kalyan Jewellers, Triveni Turbine, Birlasoft, NTPC Green, OFSS, Titagarh Rail, REC, Tata Investment Corporation, Central Bank of India, SJVN, Anant Raj, Poly Medicure, Westlife Foodworld, Crompton Greaves, Happiest Minds, ABB India, Inox Wind, ZEEL, Swiggy, KFin Technologies, CRISIL, Just Dial, GR Infraprojects, RVNL, Indian Overseas Bank, PVR Inox, Indian Energy Exchange, Piramal Pharma, Godrej Agrovet, Sanofi India and PCBL Chemical have wiped out at least 35 per cent of their value from their peaks.