Nifty Calculator - Weightages as per 31st May 2016.
Do your calculations quickly to get your guesstimate of Nifty
Top 10 stocks = 54% of Nifty This has seen a shift from 55-56%
Top 20 stocks = 73.7% of Nifty This has seen a shift from 75-78%
Top 5 stocks = Infosys , HDFC Bank, ITC Limited, HDFC Limited. Reliance Industires measure up to 34.74% of Nifty.
The bottom 5 stocks of Nifty have free float lesser than the top 5 stocks of Nifty next 50 and 2 of which could go out in the next review.
|Bharat Heavy Electricals Ltd.||10912.62||0.37|
|Idea Cellular Ltd.||12830.28||0.43|
|Tata Power Co. Ltd.||13364.25||0.45|
|Hindalco Industries Ltd.||13475.06||0.45|
|Bank of Baroda||13490.39||0.45|
The Top 5 Nifty Next 50 stocks out of which can become part of Nifty in the next review in September/October.
|Indiabulls Housing Finance Ltd.||21796.16|
|Indian Oil Corporation Ltd.||20205.42|
|Godrej Consumer Products Ltd.||18681.02|
|Shriram Transport Finance Co. Ltd.||17139.99|
When does Nifty Review ?
- The periodic review of Nifty 50 is done semi-annually.
- Its meets the impact cost criteria and is twice the free float market capitalization of the constituent with the lowest free float market capitalization.
- No of changes in a year is limited to 5
Due to this limit of only 5 changes in a year there can only be 2 more changes in this year as 3 took place in April. So next change would be in September/October.
Thoughts to Ponder on
- PSU Banks weightage is now only 2.58% (SBI and Bank of Baroda) out of which Bank of Baroda could also be out of the Index in next 1 yr you never know.
- Financial Services are 30% + of the index and generally everyone values it at Price to Book and other parameters and not P-E . Reduction of Low P-E PSUs to majorly Private Banks and Private Financials that generally quote at high P-E, does it imply a higher base P-E for Nifty for coming years ?
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