136 Stocks Hit Upper Circuit Amid Market Decline – Are You Holding Any?
136 Stocks Hit Upper Circuit : On Wednesday, February 12, 2025, the Bombay Stock Exchange (BSE) witnessed a notable event: 136 stocks surged to their upper circuit limits, even as the broader market experienced a downturn. This phenomenon underscores the dynamic nature of the stock market, where individual stocks can exhibit significant gains despite overarching negative trends.
Market Overview
The BSE Sensex extended its losing streak to a sixth consecutive session, closing at 76,171.08 points, marking a decline of 123 points or 0.16%. Similarly, the Nifty 50 index dipped by 27 points, or 0.12%, settling at 23,045.25. The midcap and smallcap segments were not spared, with the BSE Midcap and Smallcap indices decreasing by 0.45% and 0.49%, respectively.
Over the past six sessions, the Sensex has cumulatively shed 2,413 points (3%), while the Nifty 50 has retreated by 694 points (2.92%). This downward trajectory has led to a substantial erosion of investor wealth, with the total market capitalization of BSE-listed companies falling from ₹425.5 lakh crore on February 4 to ₹407.5 lakh crore on February 12—a staggering loss of nearly ₹18 lakh crore.
Upper Circuit: A Closer Look
An ‘upper circuit’ is a regulatory mechanism designed to curb excessive volatility in stock prices. When a stock hits its upper circuit limit, it means the stock has reached the maximum permissible price increase for the day, beyond which trading is halted to prevent speculative excesses.
On this particular Wednesday, 136 stocks achieved their upper circuit limits on the BSE. Notable among them were Windsor Machines, Mirae Asset Hang Seng Tech ETF, and Innovative Ideals and Services (India) Ltd.
Spotlight on Key Performers
- Windsor Machines: A prominent player in the plastic processing machinery sector, Windsor Machines has been on investors’ radar due to its consistent performance and strategic initiatives aimed at innovation and expansion.
- Mirae Asset Hang Seng Tech ETF: This exchange-traded fund offers investors exposure to the 30 largest technology companies listed in Hong Kong. Its recent performance reflects the burgeoning interest in global tech giants and the ETF’s alignment with the Hang Seng TECH Total Return Index.
- Innovative Ideals and Services (India) Ltd: Specializing in security solutions and smart home technologies, this company has garnered attention amid the rising demand for advanced security systems in urban areas.
Expert Insights
Satish Chandra Aluri from Lemonn Markets Desk provided his perspective on the day’s market movements:
“Markets started flat but moved sharply lower before recovering to close with minor losses on buying interest in bank stocks. Selling pressure intensified in the morning as Nifty retested the lows around the 22,800 level before staging a comeback to close above the 23,000 level. Banks and Financials relatively outperformed given the relative valuation comfort. Markets are keenly awaiting Prime Minister Modi’s meeting with President Trump for clues on tariffs for Indian exports, while global cues remained weak as Federal Reserve Chair Powell indicated no rush for further rate cuts in the US, which is a negative for Emerging Markets like India as the US Dollar strengthened and foreign outflows continue.”
He further added, “Technically, Nifty50 is once again back at the critical support levels around 23,000 with 22,800 acting as immediate support on the downside again while on the upside, the 23,200-23,300 zone acts as next resistance. Bank Nifty posted a small gain in today’s session but remained below the 50,000 level with 49,000 acting as next support.”
Financial Snapshot of Highlighted Stocks
For investors seeking a deeper understanding, here’s a concise financial overview of the highlighted stocks:
| Company Name | Market Capitalization (₹ Cr) | Price-to-Earnings (P/E) Ratio | Price-to-Book (P/B) Ratio | 52-Week High (₹) | 52-Week Low (₹) |
|---|---|---|---|---|---|
| Windsor Machines | Data not available | Data not available | Data not available | Data not available | Data not available |
| Mirae Asset Hang Seng Tech ETF | 279.31 | 0 | 1.29 | 16.00 | 11.65 |
| Innovative Ideals and Services (India) Ltd | Data not available | Data not available | Data not available | Data not available | Data not available |
Data as of September 24, 2024.
Conclusion
The juxtaposition of a declining broader market with a significant number of stocks hitting their upper circuit limits highlights the intricate and often unpredictable nature of stock market movements. For investors, such scenarios underscore the importance of diligent research, diversification, and a keen understanding of market dynamics. While the allure of rapid gains is enticing, it’s crucial to approach investment decisions with caution, ensuring they align with one’s financial goals and risk tolerance.
For more market insights, follow our blog.
Stay tuned for more updates and insights on the stock market! For more insights on investing in the Indian stock market, check out resource like ET, NSE India.
Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.