Sensex rejig in December: Zomato to see $513 million inflows amid shake-up for 6 stocks!

The BSE Sensex undergoes its periodic rebalancing on December 23, to reflect India’s evolving market dynamics. Food delivery firm Zomato replaces steel giant JSW Steel in the 30-share benchmark index. This reshuffle is set to drive $513 million in inflows into Zomato, while JSW Steel faces $252 million in outflows as institutional investors adjust portfolios, according to estimates by brokerage firm Nuvama. Here is a list of 6 stocks undergoing the Sensex reshuffle:

Zomato

Zomato’s inclusion in the Sensex sheds light on the rising prominence of tech-driven companies. The stock is set to receive inflows of $513 million, with an average volume impact of 2.6x, according to brokerage firm Nuvama. Zomato has seen its share price climb 126% over the past year and with its value growing to a market capitalization of Rs 2.72 lakh crore.

JSW Steel

JSW Steel will exit the Sensex, resulting in an estimated $252 million in outflows and an average volume impact of 11.8x, according to brokerage firm Nuvama. Despite delivering a 9% return over the past year, the company’s market capitalization of Rs 2.24 lakh crore has been surpassed by Zomato.

Mahindra & Mahindra

Mahindra & Mahindra will see its weight reduced in the Sensex, leading to $77 million in outflows with a modest average volume impact of 0.6x, according to brokerage firm Nuvama. The automobile giant remains a key player in the sector despite this portfolio adjustment.

ITC

ITC’s weight reduction in the Sensex will result in $9 million in outflows and an average volume impact of 0.1x, according to brokerage firm Nuvama. The diversified conglomerate continues to maintain strong investor interest despite this minor adjustment.

Infosys

Infosys, a leader in India’s IT sector, will face a slight weight reduction in the Sensex, causing $16 million in outflows with an average volume impact of 0.1x, according to brokerage firm Nuvama. The company remains a cornerstone of the index, reflecting its resilience and importance in the technology space.

Sun Pharma

Sun Pharma’s weight adjustment in the Sensex will lead to $4 million in outflows and an average volume impact of 0.1x, according to brokerage firm Nuvama. The pharmaceutical leader continues to be a vital part of India’s healthcare and stock market landscape despite this minor reduction.

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