Elections 2024: How Adani, Ambani, Tata group shares fared amid volatile stock market

Heightened market volatility has been a norm ever since elections 2024 kicked off on April 19. The stock performance of top three groups during this period -- Mukesh Ambani-led Reliance group, Gautam Adani-led Adani group, and Tata group, saw divergent trends, with 10 out of 10 listed Adani group stocks delivering positive returns; all Reliance group shares, except one, falling; while Tata group shares staying fairly mixed.

Seven of Adani group shares beat Sensex's 2.2 per cent return during this period, one performed in line while two others underperformed. Adani Power Ltd climbed 13.54 per cent, followed by Adani Ports, ACC and Adani Green Energy that rose 4.7-6.9 per cent during the election period. Shares of Adani Energy Solutions Ltd, New Delhi Television Ltd and Adani Total Gas Ltd stayed muted, but delivered positive returns.

In the case of Adani group stocks, Network 18 Media & Investments Ltd declined 9.53 per cent, Just Dial Ltd 5.5 per cent, JIO Financial Services Ltd 5.4 per cent and Hathway Cable & Datacom Ltd fell 4.58 per cent. The flagship Reliance Industries is down 2 per cent, data compiled from corporate database AceEquity till May 21 suggested.

Tejas Networks Ltd, Artson Engineering Ltd, TRF Ltd, Tayo Rolls Ltd, Trent Ltd, Automotive Stampings and Assemblies Ltd are some of the Tata group stocks delivering 13-45 per cent in the results season.

Automobile Corporation of Goa Ltd, Tata Investment Corporation Ltd, Titan Company Ltd, The Indian Hotels Company Ltd, Tata Consumer Products Ltd and Tata Elxsi Ltd fell 3.4-10.8 per cent during this period, Tata Motors Ltd, Rallis India, Tata Communications Ltd, Tata Consultancy Services Ltd and Tata Chemicals Ltd also delivered flattish to negative returns during this period.

"The market is likely to respond to the election outcome earlier than June 4th. Investors can consider buying stocks before the results. Priority can be given to largecaps which are fairly valued compared to the broader market where valuations are much higher. A possibility around the election results time is both FIIs and DIIs turning buyers lifting the largecaps and the indices to higher levels," said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

If the initial knee-jerk reaction on election outcome is on the upside with Nifty beyond 23,500, the trajectory may continue on the upside beyond 24,200 said Rahul Ghose, CEO, Hedged.in.

"If the knee jerk does not take the Nifty to 23,500, we expect markets to fall back below the 23,000 levels," he said.