Dalal Street's [Get Quote] Friday fury shrunk the billion-dollar companies' club to sub-100 in size as the benchmark Sensex crashed by over 1,000 points and the rupee hit its record low of 50 per dollar.
At the end of today's trading, when the Sensex fell to its lowest level in about three years, there were just about 90 companies with a market capitalisation of at least $ 1 billion. There were as many as 226 companies with a market value of $ 1 billion and above as on January 10, when the Sensex scaled its record high of 21,206.77 points before the bear-rampage began on the bourses.
A sharp plunge in the stock market since January 10 has also seen the total value of billion-dollar club shrinking to nearly one-fourth from about $ 1,600 billion to just about $ 400 billion currently. Besides, the fall in market valuation, a sharp depreciation in rupee value against the US dollar, has also added to the shrinking of this elite club.
The rupee has depreciated by over 25 per cent during this period -- from close to 39.25-level on January 10 to touch 50-level against the US dollar for the first time ever. The Sensex today fell to 8,701.07 points, registering a fall of about 12,500 points or nearly 60 per cent.
The cumulative market value of the billion-dollar club currently stands at about Rs 21 trillion (nearly $ 400 billion), from more than Rs 62 trillion on January 10.
In Indian currency also, there are just four companies left in India with a trillion-rupee market cap including Reliance Industries [Get Quote], ONGC [Get Quote], NTPC and Bharti Airtel [Get Quote] -- down from over a dozen before the downslide began early this year. There were a total 13 companies with a market capitalisation of Rs 1,00,000 crore (Rs 1 trillion) or above on January 10.
Those having moved out of this club include realty major DLF, MMTC, NMDC, Reliance Comm, ICICI Bank [Get Quote], SBI [Get Quote], Larsen and Toubro, BHEL and SAIL [Get Quote].
RIL had a market cap of over Rs 4 trillion on January 10, which has now plunged to Rs 1,47,628 crore (Rs 1,476.28 billion), while that of ONGC has also dropped by over Rs 1 trillion to Rs 1,41,069 crore (Rs 1,410.69 billion).
The market cap of companies like Bharti and DLF were close to Rs 2 trillion on January 10; now, the Sunil Mittal-led telecom giant's market cap is just over Rs 1 trillion and that of K P Singh-led realty major is at Rs 34,761 crore (Rs 367.61 billion).
NTPC has also seen its market value nearly halving from more than Rs 2 trillion, while companies like MMTC, NMDC, RCOM and ICICI Bank have also lost about Rs 1 trillion or more from their market capitalisation.
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