LIC slashes stake in almost 100 shares in Q3; Tata Energy, HPCL amongst prime 10 sells

LIC Portfolio Shares: Throughout the third quarter of the continued monetary yr 2024-45, India’s largest life insurer and home institutional investor (DII), Life Insurance coverage Company of India (LIC) slashed stakes in 98 shares because it booked earnings amid excessive valuations and a slowdown in earnings.

With this, LIC’s share in corporations listed on the NSE went all the way down to an all-time low of three.51%. In the meantime, LIC’s portfolio worth declined to ₹15.28 lakh crore in Q3 from ₹16.75 lakh crore within the September quarter, recording of fall of 8.80%, in accordance with the evaluation by Prime Infobase.

Nevertheless, through the quarter, LIC additionally raised possession in 71 shares.

Shares that LIC offered in Q3

LIC was seen promoting stakes in a couple of Tata group shares in Q3 like Tata Energy, Tata Chemical compounds and Voltas.

In Tata Energy, it offloaded a 154 bps stake to convey its shareholding to three.13% in Q3 from 4.67% in Q2. In Voltas, LIC’s stake went down by 113 bps to 2.03% whereas in Tata Chemical compounds it declined by 96 bps to 7.25%. LIC additionally offloaded a stake in HPCL, bringing it down under 1%. Equally, in Strides Pharma too its stake slipped under the 1% mark.

Different shares the place LIC offered the best stake in proportion phrases included Paradeep Phosphates, India Cements, Divi’s Labs, CAMS and Coforge.

Shares that LIC purchased in Q3

In the meantime, FMCG shares like Procter & Gamble Hygiene, Patanjali Meals, Nestle India and Dabur caught LIC’s consideration in Q3, witnessing important purchases by the institutional investor.

In shares like Cochin Shipyard and Astral, LIC’s stake elevated to over 1% in Q3 to 2.42% and a couple of.31%, respectively.

Shyam Metalics, Cyient, Financial institution of Maharashtra and CESC have been among the many prime shares that noticed the best improve in LIC’s portfolio holdings in proportion phrases for the quarter ended December 2024.

Market Outlook

With the inventory market going through a turbulent 2025 amid uncertainty surrounding Trump’s financial insurance policies and excessive valuations and a slowdown in earnings, analysts are advising traders to stay affected person and stick with large-cap shares.

“The broader market stays below strain, however the resilience of large-cap shares is a constructive signal. The Indian market has efficiently navigated related challenges up to now, from taper tantrums to geopolitical considerations. The present correction is pushed by a mix of things, together with tapering, an earnings slowdown, elevated valuations, and commerce uncertainties,” mentioned Vinod Nair, Head of Analysis, Geojit Monetary Companies.

Nair mentioned the market is now within the closing section of consolidation. “With the broad market having corrected by 14%, the draw back seems restricted, supported by robust long-term financial fundamentals. India’s GDP development is projected to extend from 6.4% in FY25 to 7.0% in FY26, if the earnings development reverts to the long-term common of 15% in FY26, we will anticipate the market to maneuver out of the unfavourable development,” he added. For long-term traders, that is an opportune time to stay affected person and undertake an accumulation technique, suggested the inventory market knowledgeable.

Disclaimer: The views and suggestions above are these of particular person analysts or broking corporations, not Mint. We advise traders to verify with licensed specialists earlier than making any funding choices.