IREDA, Coforge, Patanjali, TechM shares crack up to 11% today amid stock market selloff

Patanjali Foods Ltd, Aditya Birla Real Estate, Authum Investment & Infrastructure Ltd, Deepak Fertilisers & Petrochemicals Corporation Ltd led BSE500 losers, as the stock market selloff intensified on re-emergence of Trump tariff fears. Granules India Ltd, Redington Ltd, Indian Renewable Energy Development Agency Ltd (IREDA) and Zensar Technologies Ltd are some ither stocks taking big hits on unfavourable market sentiment.
Patanjali Foods Ltd was the worst index performer, losing 12.14 per cent to Rs 1,593. Aditya Birla Real Estate Ltd tanked 7.32 per cent to Rs 1,710 while Authum Investment & Infrastructure Ltd dropped 7.35 per cent to Rs 1,385.40.

Granules India Ltd cracked 6.95 per cent to Rs 472.40 after the US FDA issued a warning letter to Granules’ Gagillapur facility based on its inspection conducted in August 2024. The FDA, however, did not indicate any further escalation. Choice Broking has a target price of Rs 623 on the stock.

IREDA shares slipped 6.43 per cent to Rs 155.75. Deepak Fertilisers declined 6.81 per cent to Rs 957.75. Redington lost 6.38 per cent to Rs 234.90. Jubilant FoodWorks Ltd also fell 4.82 per cent to Rs 638.15.

"While Jubilant's digital capabilities and growth strategy are top-notch, it is likely to see slower margin improvement. Jubilant Food has guided to 200 bps gain in consolidated PAT margin over FY25-28, which leads to a 120-130 bps cut to our margin estimates and a 6 per cent cut to our SOTP-based target to Rs 750 (vs Rs 800 earlier," Emkay Global said.

Many IT stocks also took a beating, with Tech Mahindra falling 5.8 per cent to Rs 1,495.10. Wipro, Mastek and Coforge fell 4 per cent each.

Nomura India said broader markets appear technically oversold, with the percentage of stocks above 200-DMA in NSE500 and the Nifty index close to record lows. Historically, that implies positive performance over the next three, six and 12 months with high hit-rates, the brokerage said.

"A key caveat is that valuations today are much higher than during previous bottoms," it said.

Earnings growth for the broader market disappointed in the recently concluded results season. Kotak Institutional Equities noted that BSE-500 companies faced growth issues, with revenue growth at 7 per cent YoY, similar to the past seven quarters. Ebitda and PAT both grew 7 per cent YoY each, with the operating performance of smallcaps lagging that of largecaps, with a 13 per cent YoY decline in PAT, resulting in FY25/26 consensus EPS cuts of 13 per cent/10 per cent for small-cap. stocks versus minor cuts for large-caps.