HDFC group, with just five firms under its fold, has outpaced Tata group to become the country’s largest conglomerate in terms of market capitalisation, a sign of financial firms’ rising clout in the eyes of investors. HDFC Bank, in fact, is only the third company in Indian corporate history to cross the Rs 5-lakh crore market capitalisation threshold.
At Wednesday’s close, the market capitalisation of HDFC group stood at Rs 10.40 lakh crore, which is Rs 1,185 crore more than that of Tata Group, according to Bloomberg data.
The steel-to-software conglomerate was valued Rs 2.5 lakh crore higher than the HDFC pack as recently as September 2018. Mukesh Ambani-led Reliance group is third in market cap ranking at Rs 7.06 lakh crore.
Tata Consultancy Services (TCS) accounts for two-thirds of the group’s market valuation. HDFC Bank has a share of 55 per cent in its group’s market capitalisation. Excluding TCS, Tatas have lost about a quarter of their value so far in 2018, with Tata Motors plunging 60.4 per cent.
The market capitalisation of the Deepak Parekh-led HDFC group crossed Rs 10- lakh crore mark on July 10.
While Tatas have about 30 firms listed on the bourses, HDFC group with its recent listing of HDFC AMC has become five-strong. —FE