India has more service companies, such as IT and healthcaresectors, which always trade at a premium to the overall market.

More than half the Sensex companies have declared their results for the third quarter and there are more positive surprises than disappointments.

Analysts say Tatas could sustain their current pace of growth, provided the group's "cash cows", such as TCS and Tata Motors, continue to deliver.

In five years, royalty payments have grown 31.1% yearly, much faster than rise in revenue and profit.

Barring one, three are debt-free and sitting on large cash reserves.

Putting money in key PSUs a better option

Sensex rose 5.8% this year, against a 3.2% rise in Nifty; Axis Bank inclusion may blunt Sensex edge