StockWaves
  • Home
  • Global Markets
    Global MarketsShow More
    Trump says he’ll meet with Putin in Alaska on Aug. 15
    Trump says he’ll meet with Putin in Alaska on Aug. 15
    6 Min Read
    US licenses Nvidia to export chips to China after CEO meets Trump, FT experiences
    US licenses Nvidia to export chips to China after CEO meets Trump, FT experiences
    0 Min Read
    nLight’s Inventory Soars After Q2 Earnings: What’s Driving the Surge?
    nLight’s Inventory Soars After Q2 Earnings: What’s Driving the Surge?
    9 Min Read
    Key highlights from Eli Lilly’s (LLY) Q2 2025 earnings outcomes
    Key highlights from Eli Lilly’s (LLY) Q2 2025 earnings outcomes
    1 Min Read
    Because the shares fall regardless of sturdy earnings, is that this a cue to purchase this high progress inventory?
    Because the shares fall regardless of sturdy earnings, is that this a cue to purchase this high progress inventory?
    5 Min Read
  • Investment Strategies
    Investment StrategiesShow More
    Market tales in charts | Kuvera
    Market tales in charts | Kuvera
    3 Min Read
    BSE share worth falls regardless of 103% bounce in Q1 revenue
    BSE share worth falls regardless of 103% bounce in Q1 revenue
    0 Min Read
    Bharti Airtel share sinks 3% put up Rs 12,500 crore stake sale
    Bharti Airtel share sinks 3% put up Rs 12,500 crore stake sale
    0 Min Read
    Why are 47% of 30-40-year-olds taking vacation loans?
    Why are 47% of 30-40-year-olds taking vacation loans?
    0 Min Read
    10 Mutual Funds That Crashed the Most within the Final 6 Months in 2025
    10 Mutual Funds That Crashed the Most within the Final 6 Months in 2025
    11 Min Read
  • Market Analysis
    Market AnalysisShow More
    Titan share value rallies as Q1 outcomes impress the Avenue
    Titan share value rallies as Q1 outcomes impress the Avenue
    0 Min Read
    Cattle futures retreat in a technical selloff
    Cattle futures retreat in a technical selloff
    2 Min Read
    NSDL share worth rockets over 15% after higher circuit hit
    NSDL share worth rockets over 15% after higher circuit hit
    0 Min Read
    Mittal-led promoter entity offloads Airtel shares value .28 billion
    Mittal-led promoter entity offloads Airtel shares value $1.28 billion
    4 Min Read
    Traders pump a report ₹27,000 cr by SIPs in June
    Traders pump a report ₹27,000 cr by SIPs in June
    0 Min Read
  • Trading
    TradingShow More
    10 Analysts Assess HF Sinclair: What You Want To Know – HF Sinclair (NYSE:DINO)
    10 Analysts Assess HF Sinclair: What You Want To Know – HF Sinclair (NYSE:DINO)
    7 Min Read
    QQQ And Buddies Hit Highs: Tech ETFs Thrive Regardless of Commerce Turbulence – Apple (NASDAQ:AAPL), Superior Micro Units (NASDAQ:AMD)
    QQQ And Buddies Hit Highs: Tech ETFs Thrive Regardless of Commerce Turbulence – Apple (NASDAQ:AAPL), Superior Micro Units (NASDAQ:AMD)
    5 Min Read
    Why Is Celsius Inventory Surging Friday? – Celsius Holdings (NASDAQ:CELH)
    Why Is Celsius Inventory Surging Friday? – Celsius Holdings (NASDAQ:CELH)
    3 Min Read
    10 Analysts Assess HF Sinclair: What You Want To Know – HF Sinclair (NYSE:DINO)
    A Have a look at Compass Minerals Intl’s Upcoming Earnings Report – Compass Minerals Intl (NYSE:CMP)
    6 Min Read
    Dow Surges 300 Factors; American Axle & Manufacturing Posts Upbeat Earnings – American Axle & Mfg Hldgs (NYSE:AXL), BioVie (NASDAQ:BIVI)
    Dow Surges 300 Factors; American Axle & Manufacturing Posts Upbeat Earnings – American Axle & Mfg Hldgs (NYSE:AXL), BioVie (NASDAQ:BIVI)
    3 Min Read
Reading: Narrative shares down 30-50% in market rout, valuations nonetheless unfathomable: Kotak Equities
Share
Font ResizerAa
StockWavesStockWaves
  • Home
  • Global Markets
  • Investment Strategies
  • Market Analysis
  • Trading
Search
  • Home
  • Global Markets
  • Investment Strategies
  • Market Analysis
  • Trading
Follow US
2024 © StockWaves.in. All Rights Reserved.
StockWaves > Financial News > Narrative shares down 30-50% in market rout, valuations nonetheless unfathomable: Kotak Equities
Financial News

Narrative shares down 30-50% in market rout, valuations nonetheless unfathomable: Kotak Equities

StockWaves By StockWaves Last updated: March 3, 2025 4 Min Read
Narrative shares down 30-50% in market rout, valuations nonetheless unfathomable: Kotak Equities
SHARE



Indian equities are teetering on the point of a bear market, with the Nifty 50 down practically 16% from its peak and smallcap and midcap shares struggling their worst crash since 2020. However regardless of a 30-50% plunge in a number of hyped “narrative” shares, valuations stay troublesome to justify, brokerage Kotak Institutional Equities mentioned.

The brokerage mentioned the broader market correction, exacerbated by the latest rout in smallcap and midcap shares, has not translated into compelling funding alternatives. “We don’t discover worth in most components of the market regardless of the sharp correction throughout sectors and shares. Flows have seen infinite dialogue amongst market individuals however have confirmed (once more) to be pointless to evaluate the market peak or correction,” Kotak Equities mentioned.

India’s Nifty 50 index has fallen practically 16% from its all-time excessive of 26,277, edging nearer to bear market territory. Smallcap and midcap shares have taken a good tougher hit, with February marking their worst crash because the COVID-driven market meltdown of 2020. The BSE Smallcap index tumbled 14% final month, whereas the Nifty Midcap 100 dropped 10.8%, as panic promoting gripped retail buyers.

Kotak warned that buyers ought to be cautious about betting on a rebound in “narrative” shares—firms that surged on market hype somewhat than sturdy fundamentals. “Many such shares are buying and selling at unfathomable valuations regardless of the 30-50% correction of their inventory costs previously few months,” the brokerage mentioned, likening the scenario to a “useless cat” that will not bounce again.

“Traders ready for a revival in ‘narratives’ and a rebound in ‘narrative’ shares could need to word the next: the cat could also be already useless, the cat will doubtless be useless whether it is dropped from a enough top (regardless of a cat’s fabled 9 lives) and the picture shall be too ghastly to think about,” mentioned Kotak Equities.

The brokerage highlighted that whereas most sectors have seen a “first rate correction,” valuations stay elevated throughout shopper, funding, and outsourcing-related shares. In distinction, banks and non-banking monetary firms (NBFCs) seem like the one pockets of cheap worth available in the market.Kotak additionally took intention at extreme deal with mutual fund inflows, arguing that monitoring retail participation has confirmed “completely ineffective” in predicting market peaks or bottoms. Flows have continued unabated, however enterprise fashions and valuations stay an afterthought, the report mentioned.“A couple of fundamental details in regards to the market stay underappreciated: there isn’t a cash within the secondary market; any person buys, any person sells in any respect costs. Expectations of returns affect the motion of shopping for (inflows) or promoting (outflows) of an investor and the value of a inventory is the clearing worth primarily based on the expectations of all market individuals,” mentioned Kotak Institutional Equities.

With the Nifty 50 nearing bear territory and broader market losses deepening, the brokerage’s message is evident—buyers banking on a fast restoration in overheated shares is perhaps in for a impolite awakening.

Additionally learn | Who’s Warren Buffett’s true successor? Invoice Ackman makes his case

(Disclaimer: Suggestions, ideas, views and opinions given by the consultants are their very own. These don’t symbolize the views of Financial Instances)

Sign Up For Daily Newsletter

Be keep up! Get the latest breaking news delivered straight to your inbox.

By signing up, you agree to our Terms of Use and acknowledge the data practices in our Privacy Policy. You may unsubscribe at any time.
Share This Article
Facebook Twitter Copy Link Print
Previous Article ANDRITZ to order 100 MW electrolyzer unit from HydrogenPro for venture in Germany ANDRITZ to order 100 MW electrolyzer unit from HydrogenPro for venture in Germany
Next Article ONE Group Secures RERA Approval for Extremely-Luxurious Venture ‘The Saavira’ in Gurugram, Eyes ₹400 Crore in Gross sales Income ONE Group Secures RERA Approval for Extremely-Luxurious Venture ‘The Saavira’ in Gurugram, Eyes ₹400 Crore in Gross sales Income
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

FacebookLike
TwitterFollow
PinterestPin
InstagramFollow

Subscribe Now

Subscribe to our newsletter to get our newest articles instantly!

Most Popular
Trump says he’ll meet with Putin in Alaska on Aug. 15
Trump says he’ll meet with Putin in Alaska on Aug. 15
August 9, 2025
Market tales in charts | Kuvera
Market tales in charts | Kuvera
August 9, 2025
Titan share value rallies as Q1 outcomes impress the Avenue
Titan share value rallies as Q1 outcomes impress the Avenue
August 9, 2025
‘False and fabricated’: Defence Ministry denies reviews of India pausing US arms talks
‘False and fabricated’: Defence Ministry denies reviews of India pausing US arms talks
August 9, 2025
Small Crypto Dealer Turns ₹5.95 Lakh into ₹13 Crore – Right here’s His Success Story
Small Crypto Dealer Turns ₹5.95 Lakh into ₹13 Crore – Right here’s His Success Story
August 9, 2025

You Might Also Like

Indonesia to Increase US Imports, Reduce Orders from Different Nations
Financial News

Indonesia to Increase US Imports, Reduce Orders from Different Nations

3 Min Read
Prime 7 Wicketkeepers with Most Check Centuries in Cricket Historical past – Full Checklist (Up to date)
Financial News

Prime 7 Wicketkeepers with Most Check Centuries in Cricket Historical past – Full Checklist (Up to date)

7 Min Read
Aviation inventory in focus after firm doubles airbus A350 order to 60 jets for world enlargement
Financial News

Aviation inventory in focus after firm doubles airbus A350 order to 60 jets for world enlargement

5 Min Read
TCV traction, uptick in BFSI spend, particular dividend more likely to help TCS inventory briefly time period
Financial News

TCV traction, uptick in BFSI spend, particular dividend more likely to help TCS inventory briefly time period

4 Min Read

Always Stay Up to Date

Subscribe to our newsletter to get our newest articles instantly!

StockWaves

We provide tips, tricks, and advice for improving websites and doing better search.

Latest News

  • About Us
  • Contact Us
  • Privacy Policy
  • Terms Of Service

Resouce

  • Blockchain
  • Business
  • Economics
  • Financial News
  • Global Markets
  • Investment Strategies
  • Market Analysis
  • Trading

Trending

Trump says he’ll meet with Putin in Alaska on Aug. 15
Market tales in charts | Kuvera
Titan share value rallies as Q1 outcomes impress the Avenue

2024 © StockWaves.in. All Rights Reserved.

Welcome Back!

Sign in to your account

Not a member? Sign Up