The surge in Indian equities in recent years has attracted a large number of investors to the stock market. Many stocks have seen an increase in their shareholder base, indicating a strong demand for stocks.
For example, NHPC, Indian Renewable, IRFC, Yes Bank, and HDFC Bank collectively gained 75 lakh new investors in the quarter ending March 2024. NHPC was the leader with 23 lakh new investors. The government sold a 3.5% stake in NHPC through an offer-for-sale (OFS) in January, which was oversubscribed 1.4 times. Yes Bank added 11.6 lakh investors, accounting for nearly 23% of the total new additions, while Suzlon Energy saw 8.4 lakh new investors.
The shareholder base of nine companies, including Indian Renewable, NBCC, SJVN, Alok Industries, Tata Tech, Indian Overseas Bank, South Indian Bank, Power Grid Corp, and Asian Paints, exceeded one million during the March quarter. Yes Bank had the highest number of investors at 61.55 lakh, followed by Tata Steel and Tata Motors with 47.17 lakh and 46.17 lakh investors, respectively. Union Bank attracted 266 foreign portfolio investors in the March quarter, while Punjab National Bank and GMR Airport added 245 and 237 FPIs during this period.
