Reliance tops July 2025 list- 6 firms lose ₹94,434 crore
In terms of market valuation, 6 out of the top-10 companies in the country have reduced Rs 94,434 crore in this week’s business. During this time Tata Consultancy Services was the top loser. The market value of the company has been reduced by 27,335 crores to 11.54 lakh crore rupees a week.
The value of Reliance Industries, the country’s most valuable company, has reduced ₹ 24,358 crore to ₹ 19.99 lakh crore during this period. At the same time, the market cap of HDFC, the largest bank in the private sector, has also reduced ₹ 20,052 crore to ₹ 15.01 lakh crore during this period.
SBI value increased by Rs 13,208 crore
At the same time, the value of State Bank of India (SBI), the country’s largest government bank, has increased by Rs 13,208 crore to ₹ 7.35 lakh crore this week. During this period, the value of Bajaj Finance has increased by ₹ 5,282 crore, ₹ 3,095 of ICICI Bank and the value of LIC by ₹ 506 crore.
What is a market capitalization?
Market cap is the value of any company’s total outstanding stocks, ie all the shares that its shareholders currently have. Its calculation is done by multiplying the total number of issued shares of the company by their price.
Understand this with an example …
Suppose … People have purchased in 1 crore stock market of company ‘A’. If the price of a share is Rs 20, then the company’s market value will be Rs 1 crore x 20 or 20 crores.
The market value of companies increases due to increase in share prices or decreases. There are many other reasons for this …
1. What does the growth of market cap increase?
- Share price- Increased demand for shares in the market leads to competition, due to which prices rise.
- Strong Financial Performance: The company attracts investors in things like earnings, revenue, profits.
- Positive News or Event- Product launch, acquisition, new contract or regulatory approval increases demand for shares.
- Market Service- Bulish market trends or sector specific expectations such as IT sector estimate attracts investors.
- Issuing shares at high price: If a company issues new shares at a high price, the market cap increases without decreasing the value.
2. What does the decreasing market cap mean?
- Decline in share price- Due to lack of demand, the price of shares falls, it directly affects the market cap.
- Bad results- Investors sell shares due to decrease in earnings, losses or losses in a financial year or quarter.
- Negative News- Any negative news related to scandal, legal action, product failure or leadership reduces investment.
- Economy or market decline- The recession, increase in interest rates and below can drop market shares.
- Share buyback or delisting: If a company purchases shares back or becomes private, the number of outstanding shares decreases.
- Industry Challenge: The demand for shares decreases due to regulatory change, technological disorder or declining demand for a sector.
3. What is the impact on the company and investors on market cap fluctuations?
Effect on the company: The big market cap helps the company to raise funds from the market, take loans or to acquire other companies. At the same time, small or low market cap reduces the company’s ability to take financial decisions.
Effect on investors: Increasing market cap provides direct benefits to investors. Because the price of their shares increases. The same, the decline can cause damage, allowing investors to decide to sell shares.
Example: If the TCS market cap increases with ₹ 12.43 lakh crore, then investors’ assets will increase, and the company can get more capital for future investment. But if the market cap falls, it can be damaged.
4. How does the market cap use?
- The market cap is used to catarise the shares of companies, so that investors will help in choosing them according to their risk profiles. Such as large cap, mid cap and small cap companies.
- Whether or not a company will get a profit in shares, it is estimated by looking at many factors. One of these factor is also a market cap. Investors can find out how big the company is by looking at the market cap.
- The higher the market cap of the company, the better it is considered to be a good company. According to demand and supply, stock prices rise and decrease. Therefore, the market cap is the public’s public percevad value.
Sensex fell 502 points to close at 81,758 on Friday
On Friday, July 18, the Sensex fell 502 points to close at 81,758 at the last trading day of the week. The Nifty fell by 143 points, it closed at 24,968 levels.
Out of 30 Sensex’s 30 shares, 23 declined and 7 declined. Axis Bank shares closed down 5.25%. BEL, Kotak Bank and HDFC Bank shares also declined 2.5%. At the same time, Bajaj Finance and Tata Steel shares climbed up to 2%.
Out of 50 shares of Nifty, 33 shares fell, while 17 shares climbed and closed. The Nifty Private Banking Index fell the highest 1.46%. Auto, consumer durables and PSU banking index were also sold. This decline is being seen in the market due to the selling and profits of foreign investors.
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Reliance Industries profit increased by 78% to ₹ 26,994 crore: Earning in the first quarter was ₹ 2.63 lakh crore, the company’s revenue increased by 5.26%
In terms of market value, the country’s largest company Reliance Industries has been Rs 2,63,779 crore in the first quarter of FY 2025-26. This is about 10% more than the previous year. The company earned Rs 2,40,200 crore in the first quarter of last year.
Out of total income, the cost of salary, tax, raw material price of employees, then the owners of the company survives Rs 26,994 crore as net profit (consolidated net profit). This is 78.31% higher than the April-June quarter of 2024-25. Last year, the company made a profit of Rs 15,138 crore.
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