India Strategy
The Eagle Eye – August 2025
Market sentiment softens amid tariff tension
Gautam Duggad(Gautam.Duggad@motilaloswal.com)
|
Deven Mistry
(Deven@motilaloswal.com)
Abhishek Saraf
(Abhishek.Saraf@motilaloswal.com) |
Anshul Agarawal
(Aanshul.Agarawal@motilaloswal.com)
1
June 2020
 Motilal Oswal Financial Services
CONTENTS
GLOBAL MARKETS
The Indian market declines and
underperforms major global peers
during the month and YTD
Decade in review: Nasdaq
dominates, Nifty Midcap-100
shines, while China underperforms
The Magnificent Seven continue to
dominate the US and global markets
The 10-year yield spread between
India and the US hovers close to
historical lows
DOMESTIC MARKETS
Broad-based market dips;
Healthcare and Consumer
witness modest gains
About 70% of the Nifty
constituents end lower in Jul’25
About 50% of the BSE-200
constituents trade higher in
CY25YTD
Institutional holdings: DIIs
continue to lead institutional
ownership
FLOWS AND VOLUMES
FII flows turn negative after four
months of net inflows, while DII
inflows remain strong
SIP flows remain strong; lump sum
inflows rebound following a
temporary dip
Monthly average cash volumes
decline, while F&O volumes rise
Private banks gain weight sharply,
while Technology declines
KEY RESEARCH REPORTS
Initiating Coverages on:
Bharat Dynamics
Vishal Mega Mart
Laxmi Dental
Va Tech Wabag
Delhivery
Inox Wind
1QFY26 Interim earnings review:
Resilient quarter; poised for gains
as Fiscal & Monetary measures
kick in
MULTI-YEAR HIGHS/LOWS
Breadth of YoY gains narrows to
a three-year low
Pharma outperforms the
benchmark more frequently
than any other sector over the
past two years
Bank vs. IT divergence persists,
now at a three-year high
VALUATIONS
Large-cap valuations near their
average; small- and mid-caps
remain stretched
Auto and Pvt. Banks trade below
their average valuations
EY/BY ratio rises marginally MoM
Tech dominance keeps the US
market valuations elevated
CHART BOOK | August 2025
2
June 2020
 Motilal Oswal Financial Services
A view from the EAGLE’S EYE!
CHART BOOK | August 2025
3
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS
Breadth of YoY gains narrows to a three-year low
The YoY change of Nifty-500 dipped to a five-year low level, declining 3% YoY in Jul’25 (over a high base of 38% YoY growth in Jul’24).
Outperformance of the Nifty-500 constituents continued to slide, reaching a 36-month low, i.e., only 41% of stocks outperformed the Nifty-500
in Jul’25.
Further, only about 22% of the Nifty-500 companies delivered more than 15% YoY returns compared to over 80% of companies a year ago.
Nity-500 constituents’ rolling YoY performance relative to its index has fallen to its lowest level in three years
Nifty-500 YoY change (%)
7
5
-1
2
9
3
0
1
-2
3
% of companies with YoY returns above benchmark
12 23 16
1
17
9
% of companies with YoY returns below benchmark
9
-1
5
5
8
5
-3
13 26 33 38 39 38 34 37 38 40 40 35 26 15
41 49 48 47 50 51
49
44 47 42 45
42
41
52 53 52 56 61
58 56 58
55
57 48
64 66 66 68 72 67 68 67 66 67 64 65 65
59 51
52 53 50
49
51
52
56 53 58 55 58
59
48 47 48 44 39
36 34 34 32 28 33 32
33 34
33
36
35 35
42
44 42 45 43
Share of positive and strong returns slips to a three-year low
Month wise rolling YoY returns distribution (%)
Above 15% YoY
0% to 15% YoY
-15% to 0% YoY
Less than -15% YoY
34 38 34 35 44 36 32 39 35 36
52
17 18 12 14
18 17 15 16 17
15
23 24
19
20
23 23 20 22 17
24
20
17
30 21 31 26 21 26 28
23
29 24
14
68
70
64 60 68 62
70
78
82 85 84 85 80 84 85 82 82 78
18
16 15
14
10
14
7
14 17
14
11 13 10 5 5 6
11
10
4 8 8 7 8 5 3
2 2
8
5
3
7 10 8
6 7 6
2 3 2
11
14
8 10
11
6 7 4
9 13
1 2 2 3 6
22
35 31 37 31
57
16
17
18
19
17
19
23
19
23
19
16
22
25 25
24
38
16
35
24 32 21 25
11 17
39
24
Note: Analysis is based on the benchmark Nifty-500 index and its constituents
CHART BOOK | August 2025
4
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS
Pharma outperforms the benchmark more frequently than any other sector over the
past two years
Nifty-500 clocked a 16% CAGR over the past two years.
Over the past 24 months, Nifty Pharma consistently outperformed the Nifty-500 each month, followed by Automobiles and Capital Goods..
Pharma has consistently outperformed the benchmark over the past 24 months
Count of months with YoY returns exceeding the benchmark in the past 24 months
24
19
18
17
17
15
15
12
8
7
4
1
Note: Analysis is based on the benchmark Nifty-500 index
Real Estate and Capital Goods have posted the highest returns over the past 24 months
2-year Indices CAGR (%)
21
22
24
26
21
16
21
14
8
7
3
-11
Note: All Nifty sectoral indices considered
CHART BOOK | August 2025
5
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS Bank vs. IT divergence persists, now at a three-year high
Nifty Bank and IT have remained volatile over the past decade, with their return divergence ranging between ~10% and 60%. After a sharp
outperformance by IT over banks in the previous two years, the trend has reversed, with Nifty Bank outperforming Nifty IT in CY25YTD.
We expect Nifty Bank’s aggregate earnings to record a CAGR of 11% over FY25–27, while Nifty IT’s earnings are likely to post a slower CAGR of
~7%, amid the ongoing sectoral headwinds. Additionally, banking sector valuations remain reasonable relative to the broader market.
Given the weaker earnings outlook for IT, coupled with more attractive valuations and stronger growth prospects for banks, we expect the
divergence between the two sectors to persist through CY25.
Nifty Bank and IT remained volatile during the decade, with combined return divergence ranging between ~10% and 60%
57
58
65
Indices YoY change (%)
41
18
7
-2
-18
-32
CY11
CY12
CY13
CY14
CY15
CY16
CY17
CY18
CY19
CY20
CY21
Nifty Bank
Nifty IT
24
55
60
Divergence at 29%
12
18
8
6
13
21
24
12
5
22
10
0
-9
-10
-7
-3
-26
CY22
CY23
CY24
-19
CY25YTD
Nifty Bank has outperformed in the past five
years compared to the previous five-year period
Nifty BANK
Nifty IT
Indices CAGR (%)
EPS of Nifty Bank grew more than IT between FY20
and FY25
EPS CAGR (%)
Nifty Bank Nifty IT
54
Aggregate PAT growth of indices’
constituents in the last decade
Aggregate Earnings CAGR (%)
34.1
Nifty Banks
Nifty IT
17%
14%
8
9
2.3
7.9
8.6
10.8
6.9
13%
9%
-15
CY15-20
CY20-25YTD
FY15-20
FY20-25
FY15-20
FY20-25
FY25-27E
CHART BOOK | August 2025
6
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS SIP flows remain strong; lump sum inflows rebound following a temporary dip
SIP flows remained robust, sustaining momentum at over INR270b and consistently hitting new highs despite market volatility.
Lump sum investment trends remained volatile but have shown a noticeable pickup from the March lows.
SIP flows continue to hit record highs
Monthly SIP flows (INR b)
245
176
113
81
85
84
136
273
Lump sum flows regain momentum after a brief slump
Monthly Lumpsum flows (INR b)
1,038
794
634
421
214
283
167
569
Note: Monthly Lumpsum flows include net of Total equity inflows excluding SIP
CHART BOOK | August 2025
7
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS
Institutional holdings: DIIs continue to lead institutional ownership
Strong domestic inflows and buoyant capital markets led to a historic shift in ownership, with DII holdings surpassing FII holdings in the Nifty-500
companies for the first time in Mar’25, inching further up in Jun’25.
Promoter holdings fell to an all-time low of 49.3% in Jun’25, while retail holdings remained stable.
Trends in FII/DII holdings for Nifty-500 (%)
FIIs
22.7
21.4 21.4
20.6 21.1
20.0
20.9
18.6
19.7
19.0
19.2 19.4
18.8 18.8
DIIs
46.9
43.2
42.7
30.6
42.7
30.9
41.1
28.7
38.7
35.5
39.7
Trends in FII/DII share as proportion of free float
FII proportion of free float (%) - LHS
DII proportion of free float (%) - RHS
38.0
38.3
36.2
42.0
27.7
42.4
17.6 17.7
14.0
13.0 13.6
12.5
14.9
14.0
14.8
28.2
38.7
25.2
23.6
25.9
11.4
37.3
37.2
DIIs continued to raise their stakes for the fifth consecutive quarter
Promoter
FIIs
Value USDB
1,647
1,300
1,911
1,844
1,655
1,346
14.3
15.7
12.5
15.7
13.0
21.4
14.8
13.6
20.6
14.6
14.0
21.1
13.7
14.9
20.0
DIIs
2,787
14.0
14.0
20.9
Public
2,824
14.6
14.8
18.6
3,219
12.3
17.6
19.7
4,759
12.3
17.7
19.0
4,327
12.4
19.2
4,848
12.4
19.4
18.8
11.4
22.7
21.4
18.8
51.7
50.4
50.0
51.0
50.3
51.5
51.1
51.9
50.4
51.0
49.5
49.3
Jun 15
Jun 16
Jun 17
Jun-18
Jun-19
Jun-20
Jun-21
Jun-22
Jun-23
Jun-24
Mar-25
Jun-25
CHART BOOK | August 2025
8
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS The Magnificent Seven continue to dominate the US and global markets
The Magnificent Seven continue to lead markets, fuelled by strong earnings, dominant market share, and aggressive investmentsin AI and
cloud technologies. Over the past decade, the Magnificent 7 have seen a meteoric rise in global market capitalization, collectively adding over
USD19t in value. A large share of global equity inflows has gravitated toward these tech giants due to their consistent growth and innovation
leadership.
Mag-7 total market cap (USD t)
Aggregate market cap of the Magnificent Seven – the top US tech stocks, including NVIDIA, Microsoft, Apple, Alphabet, Amazon, Meta, and Tesla
17.6
19.2
2.2
2.4
3.5
3.5
5.2
8.5
11.8
12.0
6.9
Magnificent Seven make up over two-thirds of Nasdaq a third of S&P 500…
Mag-7 contribution to Nasdaq’s market cap (%)
Mag-7 contribution to S&P500 market cap (%)
57.9
61.2
61.2
54.5
35.9
25.7
11.9
12.1
14.7
28.0
18.5
68.4
66.6
...their market cap now accounts for 14% of global market capitalization
Mag-7 contribution to World's market cap (%)
14.2
9.7
8.3
3.5
3.6
4.3
5.0
5.9
7.1
10.8
14.0
42.0
42.9
47.7
48.4
52.6
34.0
34.3
16.1
20.7
Note: PP represent percentage points
CHART BOOK | August 2025
9
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS Tech dominance keeps the US market valuations elevated
Valuations in the US equity market continue to expand, led by sustained strength in mega-cap tech stocks, particularly the Magnificent-7
cohort, which has seen robust earnings and investor optimism. The ongoing AI-driven rally has further boosted premium multiples in the
technology sector, fueling broader index gains and pushing valuations well above historical averages.
S&P 500 P/E(x)
The S&P 500’s one-year forward P/E trading at a 19% premium to its 10-year average
21.7
20.8
19.3
22.2
21.3
Average 18.6X
17.3
16.0
16.4
17.7
16.2
17.2
17.2
CY15
CY16
CY17
CY18
CY19
CY20
CY21
CY22
CY23
CY24
CY25
Jul-25
The Nasdaq’s one-year forward P/E trading at a 14% premium to its 10-year average
Nasdaq-100 P/E (x)
31.2
29.6
29.6
27.3
28.3
Average 24.9X
24.1
21.0
21.6
22.5
19.2
CY15
20.0
20.6
CY16
CY17
CY18
CY19
CY20
CY21
CY22
CY23
CY24
CY25
Jul-25
Note: The bars represents 12-month average of one-yr fwd P/E and as of 31
st
Jul’25
CHART BOOK | August 2025
10
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS
Large-cap valuations near their average; small- and mid-caps remain stretched
The Nifty-50’s one-year forward P/E stood at 21.1x, about 2% above its long-period average (LPA) of 20.7x.
In contrast, the Nifty Midcap-100 and Nifty Smallcap-100 indices are trading at 26.4x and 25.4x, representing premiums of ~15% and ~54% to
their respective LTAs.
One-year forward P/E trends across the Nifty-50, Nifty Midcap-100, and Nifty Smallcap-100 indices (x)
Nifty-50 P/E (x)
22.8
21.6
21.4
22.4
21.6
Average 20.7x
22.4
21.1
20.0
19.3
19.2
18.7
19.1
Nifty Midcap-100 P/E (x)
31.7
26.4
Nifty Smallcap-100 PE (x)
25.4
22.6
Average 16.5x
18.6
16.0
16.2
13.4
13.5
15.5
20.5
17.7
Average 22.9x
22.9
18.6
16.9
19.7
17.1
24.8
26.2
22.3
25.4
17.2
13.0
13.0
Note: The bars represents 12-month average of one-yr fwd P/E and as of 31
st
Jul’25
CHART BOOK | August 2025
11
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS
Auto and Pvt. Banks trade below their average valuations
Valuations have been trading below the 10-year average for Automobiles and Pvt. Banks, while they have remained above the 10-year average
for Capital Goods, Healthcare, Technology, Metals, and O&G, and near to the average for Consumer.
Auto P/E (x)
Average 25.9
Pvt. Banks P/E (x)
Average 21.1x
Capital Goods P/E (x)
Average 25.1x
Consumer P/E (x)
Average 42.0x
Healthcare P/E (x)
Average 27.0x
Technology P/E (x)
Average 21.1x
Pvt. Banks P/B (x)
Average 2.5x
Metals P/B (x)
O&G P/B (x)
Average 1.5x
Average 1.6x
Note: The bars represent 12-month average of one-year fwd P/E and P/B across MOFSL Universe sectors and as of 31
st
July’25; Green and red bars represent
latest sectoral valuations below and above the 10-year average, respectively.
CHART BOOK | August 2025
12
June 2020
 Motilal Oswal Financial Services
Macro, Markets, and More…
CHART BOOK | August 2025
13
June 2020
 Motilal Oswal Financial Services
The Indian market dips and underperforms major global peers during the month and YTD
MoM performance of global equity indices in USD terms (%)
3
3
3
2
2
1
MoM change (%)
-2
-2
-3
-5
-7
-11
CY25YTD performance of global equity indices in USD terms (%)
43
33
22
18
18
16
16
CY25YTD change (%)
12
8
8
7
2
CHART BOOK | August 2025
14
June 2020
 Motilal Oswal Financial Services
Decade in review: Nasdaq dominates, Nifty Midcap-100 shines, while China underperforms
Over the past decade, the Nasdaq-100 delivered a 15% CAGR, followed by the Nifty Midcap-100 (12%), US S&P-500 (12%), Nifty Smallcap-100
(10%), Nifty-50 (8%), Japan (5%), and China (1%).
Performance of the Nifty-50, Nifty Midcap-100, and Nifty Smallcap-100 indices vs. the Nasdaq, US S&P-500, Japan, and China
Nasdaq
400
(indices rebased to 100; in USD)
Nifty Midcap-100
US S&P-500
Nifty Smallcap-100
412
350
Nifty-50
Japan
324
301
300
China
250
250
224
200
150
164
100
111
50
Source: Bloomberg, MOFSL
CHART BOOK | August 2025
15
June 2020
 Motilal Oswal Financial Services
Broad-based market dips; Healthcare and Consumer witness modest gains
Sectoral performance MoM (%): Broad-based weakness visible during the month
3
2
MoM change (%)
-3
-1
-4
-6
-3
-4
-4
-4
-5
-6
-7
-8
-9
Sectoral performance in CY25YTD (%): Private Banks and Metals outperform, while Technology continues to remain the weakest
9
5
0
-4
CY25YTD change (%)
7
7
5
4
1
0
-2
-3
-11
-13
-19
Note: (*) represents BSE Capital goods index.
CHART BOOK | August 2025
16
June 2020
 Motilal Oswal Financial Services
About 70% of the Nifty constituents end lower in Jul’25
Among Nifty constituents, 35 stocks closed lower MoM in Jul’25, with 26 underperforming the benchmark. Eternal and HUL posted notable
gains, whereas Trent and HCL Tech were the key laggards.
About 35 Nifty constituents trade higher in CY25YTD. SBI Life Ins., Bharat Electronics, and Bajaj Finance are the top gainers, whereas Trent, TCS,
and HCL Tech are the key laggards.
Best and worst Nifty performers on a MoM basis (%)
17
10
4
3
3
2
2
2
2
1
-3
-9
-9
-9
-9
-11
-11
-12
-13
-15
-19
Best and worst Nifty performers in CY25YTD (%)
32
31
29
24
22
21
17
16
16
16
5
-10
-10
-10
-14
-17
-18
-20
-23
-26
-30
CHART BOOK | August 2025
17
June 2020
 Motilal Oswal Financial Services
About 36% of the BSE-200 constituents end higher in Jul’25
In Jul’25, only 72 BSE-200 stocks closed higher. Bosch, Thermax, and VBL gained the most during the month.
About 101 BSE-200 constituents trade higher in CY25YTD. Solar Industries, Aditya Birla Capital, and Coromandel are the top gainers.
Top gainers within BSE-200 on a MoM basis (%)*
24
15
14
14
12
11
10
10
9
9
9
7
7
7
6
6
6
5
4
4
4
3
3
2
2
2
2
2
1
1
-3
Top gainers within BSE-200 CY25YTD (%)*
45
44
43
40
40
39
36
35
35
33
30
28
27
26
24
22
22
22
22
21
21
21
20
20
19
18
18
17
17
16
3
*The list excludes Nifty constituents.
CHART BOOK | August 2025
18
June 2020
 Motilal Oswal Financial Services
About 64% of the BSE-200 constituents end lower in Jul’25
In Jul’25, 128 companies closed lower. Solar Industries, SBI Cards, and Union Bank were among the key laggards.
About 99 of the BSE-200 companies trade lower in CY25YTD. Oracle Financial, UCO Bank, and Central Bank are the key laggards in CY25YTD.
Key laggards among the BSE-200 constituents on a MoM basis (%)*
-3
-19
-11 -11 -11 -11 -11 -10 -10 -10
-15
-14 -13
-12
-15 -15 -15 -14
-9
-9
-9
-9
-9
-9
-9
-8
-8
-8
-8
-8
-8
Key laggards among the BSE-200 constituents in CY25YTD (%)*
3
-16 -16 -15 -15 -15 -14
-20 -20 -20 -20 -18 -18 -18
-18
-18
-17
-22 -21
-21 -21
-27 -26 -25 -25 -24
-34
-32 -32 -32 -29
*The list excludes Nifty constituents.
CHART BOOK | August 2025
19
June 2020
 Motilal Oswal Financial Services
Private banks gain weight sharply, while Technology declines
In Jul’25, the weights of Private Banks, Consumer, and Healthcare rise 60bp, 30bp, and 20bp MoM, while Technology, Oil & Gas, and Retail saw
a significant decline of 80bp, 40bp, and 30bp MoM, respectively, among the Nifty-50 constituents.
Nifty sectoral weights (%)
Weightage in the Nifty (%)
Sector
Automobiles
Banks – Private
Banks – Public
NBFC + Insurance
Dec’08
2.5
5.0
5.4
2.3
Dec’12
8.8
16.9
4.7
7.9
Dec’20
5.4
24.7
1.8
12.3
Dec’21
5.0
21.9
2.3
11.4
Dec’22
5.3
24.2
2.9
10.6
Dec’23
6.5
28.2
2.6
4.5
Dec'24
7.4
27.1
2.9
4.6
Mar’24
7.6
25.6
2.9
5.0
June’25
7.0
28.3
2.7
6.4
July’25
7.2
28.9
2.7
6.2
Capital Goods
Cement
Consumer
Healthcare
Metals
Oil and Gas
Reliance
Retail
Telecom
7.7
1.7
6.5
2.6
4.8
24.5
10.6
0.0
11.6
5.9
4.2
12.3
5.0
3.8
12.3
7.4
0.0
2.0
2.6
2.2
10.4
3.6
2.0
12.5
10.7
1.1
2.0
3.0
2.4
9.4
3.4
2.9
12.3
10.8
1.4
2.1
3.1
1.8
10.3
3.8
2.9
12.1
11.0
1.4
2.5
4.4
2.1
10.8
4.0
3.0
10.5
9.2
1.6
2.7
5.0
2.1
9.0
4.2
2.7
9.2
7.8
2.8
4.0
4.5
2.0
9.5
4.4
2.9
11.9
10.2
1.6
3.2
5.0
2.2
7.4
3.6
2.8
9.6
8.8
2.5
4.7
5.0
2.2
7.7
3.8
2.9
9.2
8.4
2.2
4.6
Technology
Utilities
Miscellaneous
Nifty
9.0
13.3
3.3
100
11.4
4.5
0.5
100
16.3
2.1
1.0
100
19.1
2.1
1.2
100
14.0
2.5
2.6
100
13.6
3.6
1.9
100
14.1
3.6
1.4
100
13.0
3.9
1.9
100
11.2
3.3
3.1
100
10.4
3.3
3.4
100
Note: The merger of HDFC Bank and HDFC Ltd. resulted in a shift in weightage from NBFCs to private banks in CY23. Britannia and BPCL were replaced with Jio
Financials and Eternal in Mar’25
CHART BOOK | August 2025
20
June 2020
 Motilal Oswal Financial Services
FII flows turn negative after four months of net inflows, while DII inflows remain strong
Monthly FII flows turned negative, declining ~USD3b after four consecutive months of inflows. Meanwhile, DIIs invested USD7.1b, marking their
24
th
straight month of inflows.
In CY25YTD, DIIs have invested USD 48.6b, while FIIs have sold USD11b worth of Indian equities.
During CY21–CY25 YTD, DII inflows reached a record of ~USD 178b, while net FII flows remained negative with an outflow of USD3.6b.
Monthly institutional flows (USD b)
7.0
4.1
1.7
2.3
4.0
0.5
-1.1
-3.0
Net FII(USD b)
3.1
3.3
1.4
5.9
1.3
0.2
1.3
1.7 2.4
3.0
-2.9
-5.4
-8.4
-10.9
-0.3
3.4
1.7 1.6
3.2 3.1
Net DII (USD b)
12.8
10.0
7.4
7.9 8.5
4.3
6.8
2.4
5.3
6.7
3.4 2.8
5.8
3.8
7.1
5.3
4.0
-2.3-2.7
-3.1
-2.2
3.3
Yearly institutional flows (USD b)
23.4
14.2
3.8
15.9
-4.6
-17.0
32.2
22.3
6.0
-11.0
-5.0
12.1
Net FII(USD b)
21.4
Net DII(USD b)
62.9
48.6
-0.8
CHART BOOK | August 2025
21
June 2020
 Motilal Oswal Financial Services
Monthly average cash volumes decline, while F&O volumes rise
Monthly average cash volumes dipped 16% MoM in Jul’25 to INR1.02t. Non-institutional participation rose 100bp MoM, accounting for 48% of
total cash volumes.
Monthly average F&O volumes rose 10% MoM, reaching the highest level in CY25, though still down 29% from the Sep’24 peak.
Monthly average cash volumes (INR b)
1750
1350
950
550
150
Monthly Avg. Cash Volume (INR b)
Non Institution % to Cash Volume (RHS)
70
60
48
50
40
30
Monthly average F&O volumes (INR t)
Monthly Avg F&O Volume (INR t)
480
Cash % to Total Volumes
2.0
1.6
1.2
0.8
360
240
120
0
0.3
0.4
0.0
CHART BOOK | August 2025
22
June 2020
 Motilal Oswal Financial Services
The 10-year yield spread between India and the US hovers close to historical lows
India’s 10-year government bond yield expanded 10bp MoM to 6.4% in Jul’25, while the US yield also rose 20bp MoM to 4.4%. As a result, the yield
spread contracted 10bp MoM to 2.0% in Jul’25, near to an all-time low of 1.9% in May’25.
India-US 10Y bond yield (%)
India fiscal tightening,
12.0
strong economic growth led by
the global boom, and the Fed
raising rates
GFC
9.0
India 10-year yield
US 10-year yield
Fed cuts rates to zero
after the GFC
Fed raises rates
Fed easing,
US-Sino trade
war, and
Covid-19
Fed tightening,
geopolitical
uncertainties,
sharp rise in bond
yields
Fed starts easing
rates, geopolitical
uncertainty
sustains, bond
yields moderate
from the highs
6.4
6.0
2.2
2.0
6.9
6.0
3.9
4.4
3.0
4.4
0.0
Source: Bloomberg, MOFSL
CHART BOOK | August 2025
23
June 2020
 Motilal Oswal Financial Services
Forex reserves remain stable and close to the all-time high
India’s forex reserves at USD695b in Jul’25 (up 10% from the Jan’25 low of USD 631b) are near to the all-time high of USD705b reached in Sep’24.
On the currency front, INR weakened 2% MoM to 87.6 against the USD.
Forex reserves (USD b)
Forex Reserves (USD b) (RHS)
USD:INR
95
80
INR had its best run
during the CY03-07 global
bull run when GDP
growth and corporate
earnings growth were
high and the twin deficits
– CAD and FD – were
among the lowest in two
decades
Eurozone crisis, taper tantrum, and
devaluation of RMB – the taper tantrum
episode in CY13 drove the INR down
sharply to 68 from 55 in just four
months. This was a period of high
inflation and INR depreciation
Low inflation has characterized
the period post CY15. INR has
been relatively less volatile,
despite several global
headwinds. Forex reverses are
surging
Pandemic impact, geopolitical
tensions led to global volatility, high
liquidity, followed by quantitative
tightening, sharp currency
depreciation, but resilient economy
600
400
65
Pre GFC peak
in FX reserves
50
200
35
0
Source: Bloomberg, MOFSL
CHART BOOK | August 2025
24
June 2020
 Motilal Oswal Financial Services
KEY EXHIBITS 1QFY26 Interim earnings review: Resilient quarter
As of 1
st
Aug’25, 184/38 companies within the MOFSL Universe/Nifty have announced their 1QFY26 results. The earnings of the aforementioned 184 MOFSL
Universe companies grew 7% YoY (in line with our estimate) in 1QFY26. Ex-financials, the earnings for the MOFSL Universe grew 8% YoY (in line); whereas,
barring Metals and O&G, the MOFSL Universe reported a 7% YoY earnings growth (in line).
Earnings of the 38 Nifty companies have grown 7% YoY (vs. est. of +5.7% YoY), driven by RIL, HDFC Bank, ICICI Bank, JSW Steel, Bajaj Finance, L&T, and M&M.
Sector wise 1QFY26 performance of the MOFSL Universe companies (INR b)
Sector
(no of companies)
Automobiles (11)
Capital Goods (6)
Cement (8)
Chemicals (5)
Consumer (13)
Consumer Durables (4)
EMS (5)
Financials (48)
Banks-Private (10)
Banks-PSU (5)
Insurance (6)
NBFC - Lending (15)
NBFC - Non Lending (12)
Healthcare (10)
Infrastructure (1)
Logistics (4)
Media (1)
Metals (6)
Oil & Gas (6)
Real Estate (9)
Retail (10)
Staffing (3)
Technology (13)
Telecom (2)
Utilities (6)
Others (13)
MOFSL Universe (184)
MOFSL Ex Financials (136)
MOFSL Ex Metals & Oil (172)
Nifty (38)
Jun-25
1,190
769
498
100
774
160
182
2,305
903
465
519
361
57
420
18
54
18
2,035
3,135
76
218
101
2,014
140
763
648
15,618
13,313
10,448
10,381
Sales
Chg. % Chg. %
QoQ
YoY
-0.4
12
-19.6
13.7
-5.4
14
-2.5
7.1
9.6
8
-14.2
11.4
11.0
67
-9.0
6.7
1.2
4
-2.3
-0.7
-31.1
14
1.1
14.8
7.1
12
2.3
10.8
-6.0
-4
-0.4
12.7
-16.5
-14
-6.5
0.7
-7.7
2
-32.2
-3.0
8.7
13
1.5
8.5
0.1
5
2.2
8.0
0.7
2
-7.5
17
-5.2
6.5
-4.5
6.5
-4.1
9.1
-5.2
5.7
Var. over
Exp. (%)
3.2
0.6
0.2
-6.5
2.9
0.8
9.8
0.4
0.7
0.6
0.1
-0.4
0.2
0.7
6.7
-1.7
-6.5
0.6
-6.9
-25.9
-0.8
-0.1
-0.3
-0.7
-4.4
0.5
-1.3
-1.5
0.2
-1.8
Jun-25
157
83
95
20
183
18
10
1,492
804
356
19
284
29
111
2
9
2
425
486
20
22
3
441
55
259
108
3,999
2,507
3,088
2,723
EBIDTA
Chg. % Chg. %
QoQ
YoY
-3.5
4
-31.7
17.0
-2.8
44
9.6
24.8
8.6
1
-22.2
21.0
-10.0
67
9.4
16.3
22.2
24
-1.0
5.7
-44.2
4
-0.4
13.5
5.6
7
7.3
10.3
-23.2
-6
-8.3
10.6
-20.1
-16
-3.3
6.6
-3.9
5
-31.3
-8.7
18.9
7
-9.7
13.3
-1.3
4
0.7
-2.7
1.6
-3
-20.8
12
0.7
9.5
-3.9
5.8
2.0
10.7
3.8
10.8
Var. over
Exp. (%)
3.9
3.0
2.0
3.5
0.3
6.1
13.5
9.9
18.3
3.9
-2.6
-1.0
-0.4
5.7
14.4
-10.5
-8.6
-0.6
-7.4
-40.2
-2.6
-4.2
-1.9
1.2
-6.5
-2.4
1.8
-2.5
3.7
2.9
Jun-25
150
77
63
13
173
17
7
1,101
533
286
28
219
36
96
3
6
2
277
324
28
12
2
425
26
135
40
2,977
1,876
2,376
2,068
Chg. %
QoQ
4.1
-32.0
-4.1
18.8
8.9
-22.7
-34.0
1.0
1.1
-4.3
6.0
4.8
21.8
4.9
-22.9
-12.9
-24.7
-5.7
-6.5
-9.6
35.5
-17.7
1.0
-2.0
-11.6
-41.0
-3.0
-5.3
-2.2
-2.8
PBT
Chg. %
YoY
9
26.9
53
47.6
1
20.6
78
4.3
-4
14.1
12
12.4
7
7.2
7
7.9
-5
0.5
10
4.3
3
26.5
6
-10.2
10
8
6.6
7.9
6.8
6.1
PAT
Var. over
Exp. (%)
13.0
8.0
5.1
6.9
-0.2
5.6
11.5
2.8
-1.6
7.6
60.3
2.9
5.9
1.5
21.4
-11.3
-8.3
3.5
-8.7
-16.6
-3.1
-12.1
0.8
2.9
2.2
-7.5
1.2
0.3
2.5
1.0
Jun-25
115
50
43
10
129
12
5
822
424
181
24
167
27
73
2
5
1
190
212
21
9
2
316
19
103
34
2,175
1,353
1,772
1,508
Chg. %
QoQ
3.0
-37.1
-4.7
18.8
9.3
-23.4
-10.2
-1.5
6.1
-20.0
-1.3
2.2
20.5
-1.4
-24.6
-17.4
-23.8
-7.5
-9.7
-9.0
31.7
-6.7
0.6
-9.2
-4.6
-38.5
-4.4
-6.1
-3.4
-1.1
Detailed report
Chg. %
YoY
8
30.9
47
57.1
1
20.3
61
4.3
2
2.0
12
12.7
8
8.2
14
15.8
-7
-1.8
7
9.9
3
28.7
7
17.2
13
5
6.6
8.0
7.4
7.5
Var. over
Exp. (%)
12.8
8.1
1.4
4.6
-0.6
5.8
10.1
1.4
4.1
-6.8
8.7
2.8
4.8
-0.7
23.8
-8.8
-10.6
5.5
-12.2
-17.0
-3.7
-6.5
1.2
-3.4
3.5
-4.6
0.4
-0.2
1.6
1.6
CHART BOOK | August 2025
25
June 2020
 Motilal Oswal Financial Services
Notable reports from MOFSL’s research desk published this month
Initiating Coverage | Bharat Dynamic | Lock, Load, Succeed!
Report link>>
Bharat Dynamics (BDL) is a prominent player in missile technology within the defence sector and has established itself as a leading
integrator for various missile platforms. With a focus on developing advanced guided missiles, underwater weapons, and airborne
products, BDL currently holds an order book of ~INR227b and a prospect pipeline of INR500b. In recent years, BDL’s revenue has been
adversely impacted by supply chain disruptions and difficulties in procuring essential components through imports from Russia and Israel.
However, these issues are beginning to resolve, and we anticipate a rebound in revenue growth.
We estimate BDL’s revenue CAGR at 35% over FY25-28. With ongoing investments in backward integration and an improved share of
indigenized products, we expect BDL’s EBITDA margin to remain strong at ~24-26%. This is anticipated to drive an EBITDA/PAT CAGR of
64%/51% over FY25-28. The stock currently trades at 70x/52x/38x P/E on FY26/FY27/FY28 estimates.
We initiate coverage on the stock with a Neutral rating and a TP of INR1,900 based on 42x Sep’27E P/E. We like the business model of
BDL and its ability to scale up its revenues and order book in current scenario, however, with fair valuations, we would look for lower
price points to enter the stock.
Initiating Coverage| Vishal Mega Mart| A play on rising aspirations in Tier 2+ India
Report link>>
Vishal Mega Mart (VMM) is one of India’s largest offline-first value retailers, catering to a population of ~1b across the middle- and low
income segments. VMM is a unique Indian retailer with: 1) a strong presence in tier 2+ cities (696 stores in 458 cities); 2) well-diversified
exposure to key consumption baskets—Apparel (44%), General Merchandise (GM) & Fast-Moving Consumer Goods (FMCG; both ~28%);
3) a strong and affordable private brands portfolio (73% revenue share); and 4) one of the lowest cost structures in the industry.
We believe VMM’s uniqueness provides it with a strong moat against intense competition from both offline and online value retailers.
Expect VMM to clock a revenue/EBITDA CAGR of 19%/20%, driven by: 1) ~13% CAGR in store additions, 2) consistent double-digit SSSG,
and 3) modest operating leverage benefits.
Given VMM’s debt-free balance sheet and robust cost controls, we expect ~24% PAT CAGR and cumulative pre-IND-AS OCF/FCF
generation of ~INR32b/INR23b over FY25-28.
Initiate coverage on VMM with a BUY rating and a TP of INR165, premised on DCF-implied ~45x Sep’27E pre-INDAS 116 EV/EBITDA
(implying ~31x Sep’27E reported EBITDA and ~69x Sep’27E P/E).
Initiating Coverage | Laxmi Dental | A brighter SMILE awaits!
Report link>>
Laxmi Dental (Laxmiden) is distinguished as India's only fully integrated provider of dental solutions, led by a highly experienced
management team with extensive expertise in the field.
Anchored by its digital edge, premium product focus, and extensive distribution reach, Laxmiden is well-positioned to achieve sustained
growth and drive further margin expansion. Accordingly, we estimate a revenue/EBITDA/PAT CAGR of 24%/48%/62% to
INR3.7b/INR900m/INR685m during FY25-27.
Considering the supportive industry trend and Laxmiden's potential for sustained growth, we assign a 43x 12M forward earnings multiple
to arrive at our TP of INR540. It is important to note that Laxmiden has no direct competitors in the listed space. The healthcare services
sector is currently trading at an average 12M forward P/E multiple of 43-45x. The company's select focus on therapies, a customized and
scalable business model, and strong growth momentum have led us to assign a similar multiple to Laxmiden. We initiate coverage on the
stock with a BUY rating.
CHART BOOK | August 2025
26
June 2020
 Motilal Oswal Financial Services
Notable reports from MOFSL’s research desk published this month (cont...)
Initiating Coverage| VA Tech Wabag| Multi-decadal water theme drives robust outlook
Report link>>
VATW is a 100 years old water technology player and provides solutions in the design, construction, and operation of wastewater projects.
The company follows an asset-light model with high focus on engineering and procurement (EP) and operations and maintenance (O&M)
works. We estimate a CAGR of 17%/22%/23% over FY25-28E. The current order book of ~INR137b (4.2x FY25 revenue) and a strong bid
pipeline of up to INR200b provide 15-20% revenue growth visibility for the next 3-4 years, as guided by management. Its focus on large-
scale projects in high-margin segments such as EP (aims 1/3rd mix in EPC) and O&M (18%/39% mix in revenue/order book, 5-20 years
execution cycle) augurs well for margins.
We expect VATW to sustain strong FCF generation with an average of INR3.5b annually over FY25- 28E, given its robust operating
performance and scope for further improvement in the working capital cycle. Over FY25-28E, we expect further expansion in RoCE (from
~20% to ~24%), RoE (~14% to ~16%), and RoIC (~28% to ~39%), above its guided range..
We initiate coverage on VA Tech Wabag (VATW) with a BUY rating and a target price of INR1,900, based on 26x FY27E P/E (premium to
historical average of 18x on improved outlook). We believe that VATW has a robust outlook ahead on the back of a strong order book,
improving margins and return ratios, and healthy FCF generation, making VATW a cash-rich company.
Initiating Coverage | Delhivery | Built to scale, wired for speed!
Report link>>
Delhivery is India's leading 3PL logistics player, catering to a wide network of ~19,000 pincodes. Delhivery, which commenced operations in
2011 as an express logistics player, has rapidly increased its presence in the PTL segment after the acquisition of Spoton Logistics in 2021.
The company is India's premier logistics operator at present, with a market share of >20% in the express logistics space. With robust
industry tailwinds and Delhivery's strong infrastructure in place, it is well placed to capitalize on the opportunity.
We expect Delhivery to strengthen its market dominance and achieve a 14% revenue CAGR, driven by 18% revenue CAGR in PTL and 10%
CAGR in the express parcel business. Strong revenue growth, coupled with improved cost structure, is expected to drive an EBITDA/APAT
CAGR of 36/52% over FY25-28. With improved earnings, we expect RoE to improve to 5.6% in FY28 from 1.8% in FY25. With a strong B/S
and negligible debt, Delhivery would comfortably be able to fund its capex requirements over the next few years.
We initiate coverage on Delhivery with a BUY rating. We value the company using DCF, arriving at a TP of INR480 based on a WACC of 12%
and terminal growth rate of 5% (implied EV/EBITDA of 36x on FY28). We believe Delhivery's focus on strategic acquisitions and providing
integrated solutions will further strengthen its growth prospects.
Initiating Coverage | INOX Wind |Energizing India's Wind Opportunity
Report link>>
IWL is a leading vertically integrated player in India's wind energy sector, delivering end-to end solutions from conception and
commissioning to O&M of wind power projects. With a manufacturing capacity of 2.5GW annually across four facilities, IWL produces 2MW
and 3MW Wind Turbine Generators (WTGs).
27
As of FY25-end, IWL holds a robust order book of ~3.2GW, offering strong revenue visibility for at least two years. Its listed subsidiary, Inox
Green Energy Services Ltd. (IGESL) (55.93% stake), manages a significant 5.1GW O&M portfolio. Meanwhile, its other subsidiary, Inox
Renewable Solutions Limited (IRSL, 93% stake), is diversifying beyond wind EPC into solar, hybrid EPC, and specialized services such as crane
operations broadening IWL's market reach and service offering.
Valuation and view: We arrive at a TP of INR210 by applying a target P/E of 25x to FY27E EPS, which is at a 29% discount to our target
multiple for SUEL. IWL is currently trading at FY27 P/E of 20.5x, which is at a 28% discount to its direct competitor, SUEL.
CHART BOOK | August 2025
June 2020
 Motilal Oswal Financial Services
Valuations: Key observations
CHART BOOK | August 2025
28
June 2020
 Motilal Oswal Financial Services
Valuations: Nifty’s 12-month trailing P/E declines MoM
The 12-month trailing P/E for Nifty-50, traded at 23.7x, was 3% above its LTA.
At 3.5x, the 12-month trailing P/B was 11% above its historical average of 3.1x.
12-month trailing Nifty P/E (x)
28.0
25.0
10 Year Avg: 22.9x
22.0
19.0
16.0
23.7
12-month trailing Nifty P/B (x)
4.1
3.5
3.5
2.9
2.3
1.7
10 Year Avg: 3.1x
CHART BOOK | August 2025
29
June 2020
 Motilal Oswal Financial Services
Valuations: Nifty’s 12-month forward P/E trades above its LTA
Nifty’s 12-month forward P/E, traded at 21.1x, was marginally above its LTA of 20.7x, but it was down 13% from the Sep’24 high.
At 3.1x, the 12-month forward P/B traded at a 10% premium to its LTA of 2.8x.
12-month forward Nifty P/E (x)
28.0
24.0
10 Year Avg 20.7x
20.0
16.0
12.0
21.1
12-month forward Nifty P/B (x)
4.1
3.5
10 Year Avg: 2.8x
2.9
2.3
1.7
3.1
CHART BOOK | August 2025
30
June 2020
 Motilal Oswal Financial Services
EY/BY ratio rises marginally MoM
India’s 10Y bond yield stood at 6.4% (up 10bp MoM). Consequently, the Earnings yield to Bond yield (EY/BY) rose 3-4% MoM and traded near
its LTA on both a trailing and forward basis.
Trailing earnings yield/G-Sec yield (x)
0.96
Earnings yield (12-month trailing)/G-Sec yield
0.82
15 Year Avg: 0.67%
0.68
0.54
0.40
0.66
Forward earnings yield/G-Sec yield (x)
EY/BY spiked sharply during
2013 and 2016 period
Earnings yield (12-month forward)/G-Sec yield
It remained below 1x for last six
years, except for a brief period
during Covid-19 pandemic
1.10
0.95
0.80
0.65
15 Year Avg: 0.73%
0.74
0.50
CHART BOOK | August 2025
31
June 2020
 Motilal Oswal Financial Services
NSE indices: Valuations above historical averages across the board
Valuations of mid- and small-caps traded at a significant premium of 15% and 54% to their historical averages, respectively, while valuations for
large caps traded at 2% above the LPA.
Most of the sectoral indices have been trading at a significant premium to their LPA.
NSE indices: Valuation snapshot
Indices
Jul'25 closing
YoY change (%)
EPS (12m fwd)
P/E (12m fwd)
P/E (10 yr average)
P/B (12m fwd)
P/B (10 yr average)
RoE (%)
RoA (%)
Nifty
Nifty-50
Midcap-100
24,768
-0.7
1,135
21.1
20.7
3.1
2.8
14.9
3.3
57,401
-2.7
1,905
26.4
22.9
4.3
2.7
13.9
2.7
Nifty
Smallcap-
100
17,967
-6.1
617
25.4
16.5
3.5
2.1
12.3
3.7
Nifty-500
22,915
-2.6
932
24.6
19.7
3.5
2.8
14.2
2.8
Auto
23,656
-11.4
971
24.4
19.7
3.7
2.9
16.2
7.4
BANK
55,962
8.6
3,014
18.6
15.9
2.2
2.1
11.9
1.3
FMCG
68,237
-9.8
1,456
46.9
25.9
8.3
3.6
18.0
3.6
Capital
Goods
55,812
-10.1
1,426
39.1
33.8
9.5
8.5
26.8
18.7
IT
35,302
-13.6
1,446
24.4
21.2
6.3
5.1
25.8
17.2
Metal
9,285
-3.1
587
15.8
11.2
2.0
1.4
13.0
6.0
Energy
35,116
-20.3
2,354
14.9
11.6
2.1
1.4
14.3
7.0
Source: Bloomberg, MOFSL; as of 31
st
July’25| LPA: Long Period Average i.e. 10-year average
CHART BOOK | August 2025
32
June 2020
 Motilal Oswal Financial Services
India’s market cap-to-GDP ratio continues to remain high
India's market cap-to-GDP ratio is projected at 124% in FY26, lower than the peak of 146% in Sep’24 but above the Feb’25 low of 120%.
The market cap-to-GDP ratio for broader markets continues to trade at a significant premium to the long-term average.
Market cap-to-GDP ratio (%) – Overall
GFC: Peak of 149% in Dec’07
Nominal GDP growth in FY25/FY26E: 9.8%/10.5%
129
Average of 87% for the period
Lowest since
126
124
105
84
84
56
103 113
97
97
90
71
82
64
66
69
79
84
80
57
Market cap-to-GDP ratio (%)-Top 100 large-caps
Average of 62% for 15 years
Market cap-to-GDP ratio (%)-101 to 250
th
mid-caps
Market cap-to-GDP ratio (%) - small-caps, beyond 250
th
Average of 12% for 15 years
Average of 14% for 15 years
74 78
60
50 55
84
78
23 24
24
57
57
43
66
74
12
10
13
14
23
24
26
17 18 16
16
10 8
11
13
9
13
10
12
14
5
CHART BOOK | August 2025
33
June 2020
 Motilal Oswal Financial Services
Top ideas: MOFSL
Company
Mcap
(USDb)
CMP
FY25
1,885 30.3
1,471 66.8
3,590 106.8
1,629 47.1
3,160 98.7
12,106 207.6
3,315 42.3
377 7.2
304 0.6
1,439 47.9
2,859 57.1
1,206 28.7
741 11.8
16,836 117.2
2,984 46.1
66 1.1
1,704 25.2
706 30.5
4,246 75.6
46,765 652.9
6,370 45.8
2,841 25.8
1,296 63.9
82 1.2
EPS (INR)
FY26E
48.1
72.6
130.5
51.2
119.5
305.6
53.9
8.2
1.2
61.3
67.1
37.9
13.4
169.3
68.7
1.7
46.4
36.2
85.0
749.1
81.5
36.4
68.8
0.6
FY27E
63.7
84.4
155.1
61.1
136.7
382.8
63.3
9.8
3.9
78.3
79.6
40.2
16.1
265.1
92.6
2.3
58.9
44.5
119.6
877.2
132.9
47.1
79.8
1.8
EPS
CAGR (%)
FY25-27E
45.0
12.4
20.5
13.8
17.7
35.8
22.3
16.5
157.3
27.8
18.1
18.5
16.8
50.4
41.8
47.5
52.9
20.7
25.7
15.9
70.4
35.1
11.8
23.9
PE (x)
FY25
62.2
22.0
33.6
34.6
32.0
58.3
78.4
52.1
517.7
30.0
50.1
42.1
62.7
143.7
64.8
61.2
67.6
23.1
56.1
71.6
139.1
110.1
20.3
69.8
FY26E
39.2
20.3
27.5
31.8
26.5
39.6
61.5
45.9
256.9
23.5
42.6
31.9
55.4
99.4
43.4
39.5
36.7
19.5
49.9
62.4
78.2
78.1
18.8
134.3
FY27E
29.6
17.4
23.1
26.7
23.1
31.6
52.4
38.4
78.2
18.4
35.9
30.0
45.9
63.5
32.2
28.2
28.9
15.9
35.5
53.3
47.9
60.4
16.2
45.4
FY25
9.3
3.6
5.1
5.4
6.2
5.0
25.4
14.0
9.0
4.7
13.7
5.8
9.4
33.7
7.0
14.8
8.8
3.5
9.5
37.1
14.4
14.1
3.2
4.9
PB (x)
FY26E
8.0
3.3
4.5
4.8
5.2
4.6
19.7
11.0
8.7
4.5
10.8
5.0
8.1
25.5
6.3
10.7
7.9
3.0
8.6
30.6
8.2
12.3
3.0
3.8
FY27E
6.2
2.8
4.0
4.2
4.4
4.2
15.6
8.8
7.8
4.4
8.7
4.3
7.0
18.3
5.4
7.8
7.0
2.6
7.3
25.3
6.9
10.6
2.9
3.5
FY25
18.0
18.0
16.0
16.6
20.8
9.3
35.8
26.8
2.1
15.7
30.7
14.6
16.3
30.0
11.4
29.4
13.9
15.1
17.8
51.8
11.0
12.8
16.0
7.9
ROE (%)
FY26E
22.7
17.0
17.3
15.9
21.3
12.2
36.1
24.0
3.4
19.6
28.4
16.7
15.7
29.2
15.3
31.5
17.1
15.4
18.0
48.9
13.9
15.8
16.5
3.2
FY27E
25.7
17.3
18.2
16.7
20.7
14.0
33.2
22.9
10.5
24.2
26.8
15.4
16.3
33.6
18.0
32.0
20.7
16.1
22.2
47.5
16.4
17.6
18.2
8.1
Preferred large cap stocks
Bharti Airtel
133.1
ICICI Bank
120.6
Larsen & Toubro
57.1
Sun Pharma
46.8
M&M
45.5
UltraTech Cem.
41.2
Titan Company
34.0
Bharat Electronics
32.0
Eternal
31.9
Tech Mahindra
16.4
TVS Motor Co.
15.2
Lodha Developers
14.0
Indian Hotels
12.0
Preferred Midcap/Smallcap stocks
Dixon Tech.
11.6
SRF
10.3
Suzlon Energy
9.6
Coforge
6.7
Jindal Stainless
6.5
Supreme Inds.
6.3
Page Industries
6.2
Kaynes Tech
4.7
Radico Khaitan
4.2
UTI AMC
1.9
Niva Bupa Health
1.8
CHART BOOK | August 2025
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June 2020
 Motilal Oswal Financial Services
Quant Research & India Strategy Gallery
CHART BOOK | August 2025
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June 2020
 Motilal Oswal Financial Services
Explanation of Investment Rating
Investment Rating
BUY
SELL
NEUTRAL
UNDER REVIEW
NOT RATED
Expected return (over 12-month)
>=15%
< - 10%
> - 10 % to 15%
Rating may undergo a change
We have forward looking estimates for the stock but we refrain from assigning recommendation
*In case the recommendation given by the Research Analyst is inconsistent with the investment rating legend for a continuous period of 30 days, the Research Analyst shall within following 30 days take appropriate measures to make the recommendation consistent
with the investment rating legend.
Disclosures:
The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).
Motilal Oswal Financial Services Ltd. (MOFSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOFSL, the Research Entity (RE) as defined in the Regulations, is engaged in the business of providing Stock broking services,
Depository participant services & distribution of various financial products. MOFSL is a listed public company, the details in respect of which are available on
www.motilaloswal.com.
MOFSL (erstwhile Motilal Oswal Securities Limited - MOSL) is registered with the
Securities & Exchange Board of India (SEBI) and is a registered Trading Member with National Stock Exchange of India Ltd. (NSE) and Bombay Stock Exchange Limited (BSE), Multi Commodity Exchange of India Limited (MCX) and National Commodity &
Derivatives Exchange Limited (NCDEX) for its stock broking activities & is Depository participant with Central Depository Services Limited (CDSL) National Securities Depository Limited (NSDL),NERL, COMRIS and CCRL and is member of Association of Mutual
Funds of India (AMFI) for distribution of financial products and Insurance Regulatory & Development Authority of India (IRDA) as Corporate Agent for insurance products. Details of associate entities of Motilal Oswal Financial Services Ltd. are available on the
website at
http://onlinereports.motilaloswal.com/Dormant/documents/Associate%20Details.pdf
Details of pending Enquiry Proceedings of Motilal Oswal Financial Services Limited are available on the website at
https://galaxy.motilaloswal.com/ResearchAnalyst/PublishViewLitigation.aspx
MOFSL, it’s associates, Research Analyst or their relatives may have any financial interest in the subject company. MOFSL and/or its associates and/or Research Analyst or their relatives may have actual beneficial ownership of 1% or more securities in the subject
company at the end of the month immediately preceding the date of publication of the Research Report or date of the public appearance. MOFSL and its associate company(ies), their directors and Research Analyst and their relatives may have any other potential
conflict of interests at the time of publication of the research report or at the time of public appearance, however the same shall have no bearing whatsoever on the specific recommendations made by the analyst(s), as the recommendations made by the analyst(s)
are completely independent of the views of the associates of MOFSL even though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report.
In the past 12 months, MOFSL or any of its associates may have:
a.
received any compensation/other benefits from the subject company of this report
b.
managed or co-managed public offering of securities from subject company of this research report,
c.
received compensation for investment banking or merchant banking or brokerage services from subject company of this research report,
d.
received compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company of this research report.
•
MOFSL and it’s associates have not received any compensation or other benefits from the subject company or third party in connection with the research report.
•
Subject Company may have been a client of MOFSL or its associates during twelve months preceding the date of distribution of the research report.
•
Research Analyst may have served as director/officer/employee in the subject company.
•
MOFSL and research analyst may engage in market making activity for the subject company.
•
MOFSL and its associate company(ies), and Research Analyst and their relatives from time to time may have:
a) a long or short position in, act as principal in, and buy or sell the securities or derivatives thereof of companies mentioned herein.
(b) be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or
may have any other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the specific recommendations made by the analyst(s), as the
recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report.
Above disclosures include beneficial holdings lying in demat account of MOFSL which are opened for proprietary investments only. While calculating beneficial holdings, It does not consider demat accounts which are opened in name of MOFSL for other purposes
(i.e holding client securities, collaterals, error trades etc.). MOFSL also earns DP income from clients which are not considered in above disclosures.
To enhance transparency, MOFSL has incorporated a Disclosure of Interest Statement in this document. This should, however, not be treated as endorsement of the views expressed in the report. MOFSL and / or its affiliates do and seek to do business including
investment banking with companies covered in its research reports. As a result, the recipients of this report should be aware that MOFSL may have a potential conflict of interest that may affect the objectivity of this report.
Terms & Conditions:
This report has been prepared by MOFSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and may not be altered in any way, transmitted to, copied or distributed, in part or in whole,
to any other person or to the media or reproduced in any form, without prior written consent of MOFSL. The report is based on the facts, figures and information that are considered true, correct, reliable and accurate. The intent of this report is not recommendatory in
nature. The information is obtained from publicly available media or other sources believed to be reliable. Such information has not been independently verified and no guaranty, representation of warranty, express or implied, is made as to its accuracy, completeness
or correctness. All such information and opinions are subject to change without notice. The report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial
instruments for the clients. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOFSL will not treat recipients as customers by virtue of their receiving this report.
CHART BOOK | August 2025
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 Motilal Oswal Financial Services
Analyst Certification
The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the research analyst(s) was, is, or will be directly or indirectly related to the specific
recommendations and views expressed by research analyst(s) in this report.
Disclosure of Interest Statement
Companies where there is interest
Analyst ownership of the stock
No
A graph of daily closing prices of securities is available at
www.nseindia.com, www.bseindia.com.
Research Analyst views on Subject Company may vary based on Fundamental research and Technical Research. Proprietary trading desk of MOFSL or its associates
maintains arm’s length distance with Research Team as all the activities are segregated from MOFSL research activity and therefore it can have an independent view with regards to subject company for which Research Team have expressed their views.
Regional Disclosures (outside India)
This report is not directed or intended for distribution to or use by any person or entity resident in a state, country or any jurisdiction, where such distribution, publication, availability or use would be contrary to law, regulation or which would subject MOFSL & its group
companies to registration or licensing requirements within such jurisdictions.
For Hong Kong:
This report is distributed in Hong Kong by Motilal Oswal capital Markets (Hong Kong) Private Limited, a licensed corporation (CE AYY-301) licensed and regulated by the Hong Kong Securities and Futures Commission (SFC) pursuant to the Securities and Futures
Ordinance (Chapter 571 of the Laws of Hong Kong) “SFO”. As per SEBI (Research Analyst Regulations) 2014 Motilal Oswal Financial Services Limited (SEBI Reg No. INH000000412) has an agreement with Motilal Oswal capital Markets (Hong Kong) Private Limited
for distribution of research report in Hong Kong. This report is intended for distribution only to “Professional Investors” as defined in Part I of Schedule 1 to SFO. Any investment or investment activity to which this document relates is only available to professional
investor and will be engaged only with professional investors.” Nothing here is an offer or solicitation of these securities, products and services in any jurisdiction where their offer or sale is not qualified or exempt from registration. The Indian Analyst(s) who compile
this report is/are not located in Hong Kong & are not conducting Research Analysis in Hong Kong.
For U.S.
MOTILAL Oswal Financial Services Limited (MOFSL) is not a registered broker - dealer under the U.S. Securities Exchange Act of 1934, as amended (the"1934 act") and under applicable state laws in the United States. In addition MOFSL is not a registered
investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers Act" and together with the 1934 Act, the "Acts), and under
applicable state laws in the United States. Accordingly, in the absence of specific exemption under the Acts, any brokerage and investment services provided by MOFSL, including the products and services described herein are not available to or intended for U.S.
persons. This report is intended for distribution only to "Major Institutional Investors" as defined by Rule 15a-6(b)(4) of the Exchange Act and interpretations thereof by SEC (henceforth referred to as "major institutional investors"). This document must not be acted on
or relied on by persons who are not major institutional investors. Any investment or investment activity to which this document relates is only available to major institutional investors and will be engaged in only with major institutional investors. In reliance on the
exemption from registration provided by Rule 15a-6 of the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and interpretations thereof by the U.S. Securities and Exchange Commission ("SEC") in order to conduct business with Institutional
Investors based in the U.S., MOFSL has entered into a chaperoning agreement with a U.S. registered broker-dealer, Motilal Oswal Securities International Private Limited. ("MOSIPL"). Any business interaction pursuant to this report will have to be executed within the
provisions of this chaperoning agreement.
The Research Analysts contributing to the report may not be registered /qualified as research analyst with FINRA. Such research analyst may not be associated persons of the U.S. registered broker-dealer, MOSIPL, and therefore, may not be subject to NASD rule
2711 and NYSE Rule 472 restrictions on communication with a subject company, public appearances and trading securities held by a research analyst account.
For Singapore
In Singapore, this report is being distributed by Motilal Oswal Capital Markets (Singapore) Pte. Ltd. (“MOCMSPL”) (UEN 201129401Z), which is a holder of a capital markets services license and an exempt financial adviser in Singapore.This report is distributed solely
to persons who (a) qualify as “institutional investors” as defined in section 4A(1)(c) of the Securities and Futures Act of Singapore (“SFA”) or (b) are considered "accredited investors" as defined in section 2(1) of the Financial Advisers Regulations of Singapore read
with section 4A(1)(a) of the SFA. Accordingly, if a recipient is neither an “institutional investor” nor an “accredited investor”, they must immediately discontinue any use of this Report and inform MOCMSPL .
In respect of any matter arising from or in connection with the research you could contact the following representatives of MOCMSPL. In case of grievances for any of the services rendered by MOCMSPL write to
grievances@motilaloswal.com.
Nainesh Rajani
Email:
nainesh.rajani@motilaloswal.com
Contact: (+65) 8328 0276
CHART BOOK | August 2025
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 Motilal Oswal Financial Services
Disclaimer:
The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form,
without prior written consent. This report and information herein is solely for informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Nothing in this
report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances. The securities discussed and opinions expressed in this report may not be suitable for all
investors, who must make their own investment decisions, based on their own investment objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipient. Each recipient of
this document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to
determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. Certain transactions -including those involving futures, options, another derivative products as well as non-investment grade
securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of the information and opinions contained in this document. The Disclosures of Interest
Statement incorporated in this document is provided solely to enhance the transparency and should not be treated as endorsement of the views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to
make modifications and alternations to this statement as may be required from time to time without any prior approval. MOFSL, its associates, their directors and the employees may from time to time, effect or have effected an own account transaction in, or deal as
principal or agent in or for the securities mentioned in this document. They may perform or seek to perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities
functions as a separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of information that is already available in publicly accessible media or developed
through analysis of MOFSL. The views expressed are those of the analyst, and the Company may or may not subscribe to all the views expressed therein. This document is being supplied to you solely for your information and may not be reproduced, redistributed or
passed on, directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. This report is not directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any locality, state, country
or other jurisdiction, where such distribution, publication, availability or use would be contrary to law, regulation or which would subject MOFSL to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be
eligible for sale in all jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction. Neither the Firm, not its directors, employees, agents or representatives
shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost revenue or lost profits that may arise from or in connection with the use of the information. The person accessing this information specifically agrees to exempt
MOFSL or any of its affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOFSL or any of its affiliates or employees responsible for any such misuse and further agrees to hold MOFSL or any of its affiliates or
employees free and harmless from all losses, costs, damages, expenses that may be suffered by the person accessing this information due to any errors and delays.
This report is meant for the clients of Motilal Oswal only.
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022 - 71934200 / 71934263; www.motilaloswal.com. Correspondence Address: Palm Spring Centre, 2nd Floor, Palm Court
Complex, New Link Road, Malad (West), Mumbai- 400 064. Tel No: 022 71881000. Details of Compliance Officer: Neeraj Agarwal, Email Id: na@motilaloswal.com, Contact No.:022-40548085.
Grievance Redressal Cell:
Contact Person
Ms. Hemangi Date
Ms. Kumud Upadhyay
Mr. Ajay Menon
Contact No.
022 40548000 / 022 67490600
022 40548082
022 40548083
Email ID
query@motilaloswal.com
servicehead@motilaloswal.com
am@motilaloswal.com
Registration details of group entities.: Motilal Oswal Financial Services Ltd. (MOFSL): INZ000158836 (BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst: INH000000412 . AMFI: ARN .: 146822. IRDA Corporate Agent – CA0579. Motilal
Oswal Financial Services Ltd. is a distributor of Mutual Funds, PMS, Fixed Deposit, Insurance, Bond, NCDs and IPO products.
Customer having any query/feedback/ clarification may write to query@motilaloswal.com. In case of grievances for any of the services rendered by Motilal Oswal Financial Services Limited (MOFSL) write to grievances@motilaloswal.com, for DP to
dpgrievances@motilaloswal.com.
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