The US just escalated trade tensions with India. On August 7, US President Donald Trump’s administration officially imposed a 25% tariff on Indian goods. By August 27, that figure will double to 50%, as an additional 25% tariff comes into effect. This move is intended as a penalty for India’s ongoing purchase of oil from Russia.

This latest round of tariffs, added to existing import duties, could sharply disrupt India’s export ecosystem. Indian exporters, especially those in labour-intensive industries, are bracing for what could be a significant blow.

Let’s break down what’s happening, who is likely to be most affected, what the numbers say, and how India is positioning itself to handle the fallout.

What Are the Tariffs and Why Were They Imposed?

The newly announced 50% US tariffs are not replacing existing duties—they are in addition to them. These tariffs are the result of political friction between Washington and New Delhi, triggered by India’s continued imports of Russian oil.

According to the White House, this move is meant to penalize India economically. However, the ripple effects could extend far beyond trade policy, impacting GDP growth, employment, and the stability of India’s currency.

Which Sectors Will Be Affected?

The 50% tariff directly impacts India’s major export sectors to the US. According to estimates by the Global Trade Research Initiative (GTRI), this could reduce US-bound exports by 40–50%.

Top sectors facing the brunt:

• Textiles and clothing – $10.3 billion
• Gems and jewellery – $12 billion
• Shrimp – $2.2 billion
• Leather and footwear – $1.2 billion
• Chemicals – $2.3 billion
• Machinery and mechanical appliances – approx. $9 billion

These sectors are highly price-sensitive. With the additional cost of tariffs, Indian products will become significantly more expensive in the US market, making them less competitive.
Source: Hindustan Times

Sector-Wise Duty Breakdown

According to GTRI, some Indian products now face extremely high total duties:

• Organic chemicals – 54%
• Carpets – 52.9%
• Knitted clothes – 63.9%
• Woven clothes – 60.3%
• Textiles, made-ups – 59%
• Diamonds, gold – 52.1%
• Machinery and mechanical appliances – 51.3%
• Furniture and mattresses – 52.3%

These numbers indicate a substantial margin squeeze. In several cases, profit margins may vanish entirely.
Source: Hindustan Times

What the Experts Say

Shrimp Exports

The MD of seafood exporter Megaa Moda noted that Indian shrimp already faces a 2.49% anti-dumping duty and a 5.77% countervailing duty. With the new 25% tariff, the total duty will rise to 33.26%. In comparison, Ecuador’s shrimp exports to the US face only a 15% tariff—placing India at a severe disadvantage.

Textile Sector

The Confederation of Indian Textile Industry (CITI) expressed concern that the new tariff regime could severely damage one of India’s largest export categories.

Gems & Jewellery

The MD at Kama Jewelry stated that about 55% of India’s shipments to the US are now under direct threat. He estimated that the tariffs put Indian exporters at a 30–35% disadvantage compared to peers in countries with lower tariffs.

Several exporters have reported cancellation or deferment of orders as US buyers reassess their sourcing strategies.
Source: Hindustan Times

Macroeconomic Impact

The 50% US tariff doesn’t just affect individual export sectors—it could ripple across the entire Indian economy. Here’s how:

1. Exports May Drop by Up to 60%

According to Bloomberg Economics, outbound shipments to the US may decline by as much as 60% due to the steep hike in tariffs. This would be a severe blow, considering the US accounts for nearly 19% of India’s total exports.

India exported goods worth $86.5 billion to the US in FY25. Even a 40% drop could result in a loss of over $34 billion in export revenues.

2. Impact on GDP

Bloomberg economists project a 1.1% decline in GDP over the medium term. In context, the RBI’s projected GDP growth for 2025-26 is 6.5%. A 1.1% drag would bring this down to around 5.4%, marking a significant slowdown for one of the world’s fastest-growing economies.

3. Current Account and Rupee Volatility

Citigroup highlighted broader implications for India’s current account deficit and capital inflows. If export earnings drop and foreign investors anticipate weaker growth, the rupee could come under renewed pressure, forcing the RBI to intervene to stabilise the currency.

With the rupee already hovering near record lows, this adds another layer of economic strain.

4. Pressure on Employment

Many of the impacted sectors—textiles, footwear, gems & jewellery, and seafood—are labour-intensive. A sharp drop in exports could lead to job losses in MSME clusters, further stressing domestic demand and consumption.

5. MSMEs Hit the Hardest

Smaller exporters are the least equipped to absorb sudden tariff shocks. They often operate on thin margins and have limited access to affordable credit or legal recourse in global markets. For them, this disruption could lead to order cancellations, client loss, and in some cases, business closures.
Source: Hindustan Times

How Is India Responding?

The Indian government has criticized the tariffs as “unfair and unjustified,” pointing out that India is being singled out even as other countries continue purchasing Russian oil. In parallel, officials have indicated efforts to redirect exports toward alternate markets in South Asia, Africa, and Latin America.

1. The 20,000 Cr. Export Promotion Mission  

To cushion the blow, the Indian government is finalising a Rs 20,000 crore mission aimed at protecting exporters. The mission is being led by the ministries of commerce, MSME, and finance. It includes five pillars:

1. Trade finance
2. Non-trade finance (regulatory and market access)
3. Brand India and global positioning
4. E-commerce hubs and warehousing
5. Trade facilitation initiatives

Ajay Sahai, DG & CEO of FIEO, explained that the mission may offer eased collateral requirements and interest equalisation for MSMEs. He noted that exporters may experience temporary losses, especially if the India-US Bilateral Trade Agreement (BTA) is not finalized soon.

2. Expanded Interest Equalisation Scheme

Currently, the scheme supports MSMEs and select exporters with subsidised interest rates. FIEO has proposed:

• Extension of the scheme to all countries, not just developing ones.
• Increased rate of equalisation, especially for sectors under tariff pressure like textiles and leather.
• This would make export loans more affordable and enhance short-term price competitiveness.

3. RoDTEP and RoSCTL Scheme Adjustments

Industry voices, including EY’s Agneshwar Sen, are calling for:

• Higher reimbursement rates under these schemes to reflect new cost structures.
• Wider coverage to ensure most exports qualify for some level of embedded tax/duty refund.
• This would directly lower the net production cost for exporters and partially offset the tariff blow.

4. Lower Testing & Certification Charges

The Export Inspection Council (EIC) currently levies various charges for quality checks, especially in food, agriculture, pharma, and chemicals. The government is exploring:

• Reducing or waiving these charges for MSMEs.
• Simplifying mandatory testing protocols, especially for low-volume, low-margin exporters.

This move would lower compliance costs and help exporters stay price-competitive.

5. Digitised Access to Export Benefits

Many MSMEs are unaware of or excluded from:

• EXIM Bank support
• Export Credit Guarantee Corporation (ECGC) insurance
• Government subsidy schemes

Officials are discussing the creation of a unified digital platform to:

• Apply for export loans, interest equalisation, and risk cover
• Track application status
• Access scheme eligibility in real time

This step is aimed at democratizing access to trade incentives for smaller firms.

6. Customs and GST-Related Relief

Exporters have flagged issues like delayed GST refunds and customs clearances. To speed up working capital flows, suggestions include:

• Faster GST refunds (within 7–10 days)
• Waiver or deferment of customs duties on inputs for export-bound goods
• Automation of refund processes

7. Strategic Market Diversification

Trade bodies and policy experts are advocating a shift toward:

• Countries with existing FTAs (UK, UAE, Australia)
• Emerging markets (Africa, Latin America, Central Asia)

While this is a medium-to-long-term approach, early-stage brand building, buyer engagement, and trade missions are being planned using the export promotion fund.

8. MSME-Centric Relief

Sectors like gems & jewellery, textiles, and auto ancillaries will be prioritised. Proposals include:

• Production-linked incentives (PLIs) for affected sub-sectors
• Cluster-level intervention programs
• Short-term subsidies to retain workforce and production levels

Source: The Economic Times

Focus on Alternate Markets & FTAs

Experts believe the government is placing more emphasis on markets covered under new and upcoming Free Trade Agreements. The UK and EU are being viewed as essential destinations where an early harvest deal is expected.

According to trade policy experts, building strong alternative export destinations is essential, as relying on the US amid geopolitical uncertainty is a long-term risk.

Conclusion

India’s export ecosystem is facing a formidable challenge in the wake of President Trump’s 50% tariff hike. With sectors like textiles, gems and jewellery, and seafood in the line of fire, the broader economic impact may extend to GDP growth, job creation, and currency stability.

While exporters and the government are actively exploring mitigation strategies—ranging from fund support to diversification, the next few quarters are likely to be crucial in determining how India adapts to the evolving global trade landscape.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

The Tata group stands as a steadfast lighthouse—its brilliance fueled by trust, tenacity, and a legacy of unwavering performance.

Time and again, enterprises under the Tata umbrella have weathered turbulent winds, emerging stronger, time and again.

In 2024, several Tata group companies dazzled the stock market, morphing into multibaggers and carving their names into investor folklore with extraordinary returns.

Yet, as the calendar turned to 2025, a storm of soaring tariffs swept across the landscape, rattling the foundations of even the mightiest players.

As a result, in 2025 so far, many Tata stocks are down up to 50%. 

Let’s take a look at 5 best and worst performing Tata stocks of 2025 and examine whether a rebound or a rally is on the cards.

Top Performing Tata Stocks of 2025

1. Rallis India

Coming right on top of the list is Rallis India. 

In 2025 so far, shares of the company have rallied more than 25%.

This could be a result of Rallis India’s impressive earnings. 

For Q1FY26, its revenue increased 22% YoY, supported by strong demand and successful product launches in crop protection and seeds segments.

Meanwhile, net profit almost doubled and grew 98%.

The company launched nine new products across herbicide, fungicides and insecticides. It plans to introduce some more in the coming quarters.

2. Tata Consumer Products

Following Rallis India we have Tata Consumer Products.

Shares of Tata Consumer have gained more than 15% in 2025 so far.

The key reasons behind this could be increasing tea prices, debt reduction and impressive quarterly earnings. Tata Consumer announced to gradually raise tea prices in 2024. 

Tata Consumer derives 37% of its revenues from India beverages, 28% from India foods, 10% from US coffee, 15% from international tea and balance 10% from Tata coffee.

The company’s management is confident about the coming quarters as tea cost pressures abate and price increases flow through.

3. Tata Steel

On third, we have Tata Steel with 15% gains in 2025 so far.

The rally in Tata Steel comes on the back of falling iron ore prices, China’s increased infra push, and Tata Steel performing well in recent quarters.

Tata Steel has planned a massive capital expenditure of about $ 1.8 billion across India, the UK, and the Netherlands, with a significant portion for capacity and technology upgrades in India.

4. Benares Hotels

Coming next is Benares Hotels with close to 15% gains.

The rally comes following decent and in-line earnings by the hotel company.

Benares Hotels is a subsidiary of the Indian Hotels Company. It operates its hotels, viz. Taj Ganges and Nadesar Palace in Varanasi and Ginger Hotel, Gondia in Maharashtra.

Its Taj Ganges is currently adding a 100-room tower with larger rooms and taking the total inventory to 230 rooms.

Now let’s move on to the top losers…

Worst Performing Tata Stocks of 2025

1. Tejas Networks

With over 50% fall in 2025 so far, Tejas Networks is the biggest loser from the group so far.

The decline comes after Tejas Networks reported a disappointing June quarter result with a net loss, mainly due to the weaker revenue numbers.

Tejas Networks revenue took a huge hit due to delayed purchase orders and shipment issues with some customers.

Nevertheless, Tejas Networks is gearing up for growth in this fiscal by boosting its product lineup and targeting bigger markets, with a focus on enhanced 5G capabilities and advanced radios.

2. Nelco

Next up we have Nelco, with a 33% fall in 2025 so far.

Incorporated in 1940 and now operating as a subsidiary of Tata Power, Nelco provides satellite-based connectivity solutions for enterprise, government, and defence customers across India.

Nelco’s business revolves around providing satellite communication services through VSAT (Very Small Aperture Terminal) systems. 

3. Voltas

Next up we have Voltas with a 27% fall in 2025 so far.

Voltas has been a household name in India, with a dominant position in the air conditioning and cooling products market.

The company leads the air conditioning segment with a market share in excess of 20%. 

Backed by strong brand visibility and goodwill, Voltas looks well-positioned to bounce back and benefit from the growing penetration of RACs in India.

4. Tata Consultancy Services (TCS)

Next up is India’s largest IT company Tata Consultancy Services (TCS).

Shares of the IT major have declined up to 25% in 2025 so far.

Asia’s largest firm recently announced that it will reduce about 2% of its global workforce — as much as 12,000 roles — on account of skill gaps and rapid technological changes.

Shares of TCS have fallen this year as its clients in the US and other markets are holding off on big IT spending.

What Next?

The Tata group has seen its combined market capitalisation erode by $120 billion from its peak in September 2024. 

From a valuation of $415 billion at the time, the group now stands at $296 billion — a correction that has taken place over the last 11 months.

Market value wise, the group’s crown jewel TCS has been the biggest casualty, losing nearly $70 billion since September last year. 

Tata Motors is the second-largest contributor to the group’s market cap erosion, with a decline of around $21 billion. 

Most Tata Group companies have delivered negative returns since the beginning of the year.

Company	Fall in 2025 so far (%)
Tejas Networks Ltd.	-52%
Nelco Ltd.	-33%
Automotive Stampings and Assemblies Ltd.	-28%
Voltas Ltd.	-27%
Tata Consultancy Services Ltd.	-26%
Tata Technologies Ltd.	-25%
Trent Ltd.	-25%
Tata Teleservices (Maharashtra) Ltd.	-24%
TRF Ltd.	-23%
Oriental Hotels Ltd.	-20%
The Indian Hotels Company Ltd.	-15%
Tata Elxsi Ltd.	-14%
Tata Motors Ltd.	-12%
Tata Chemicals Ltd.	-10%
Artson Ltd.	-7%
Automobile Corporation of Goa Ltd.	-3%
Tata Power Company Ltd.	-2%
Tata Communications Ltd.	-1%

Conclusion

As the rest of 2025 plays out, some Tata Group companies aren’t just surviving—they’re showcasing the power of long-term vision, sharp strategy, and relentless innovation.

Backed by a history of turning headwinds into tailwinds, many of these stocks remain strong contenders for long-term wealth creation.

But remember—past performance is just one part of the story. Smart investing means digging deeper. 

Happy Investing.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

Independence Day (15 Aug 2025) is exactly one week away.

Our country’s journey to independence was not just a political saga, but also an economic one.

Now, in her 78th year of independence, India is making its mark at a global level in almost every field. 

But even before 1947, a handful of visionary enterprises were laying the groundwork for wealth creation in the subcontinent. 

These companies – some founded under colonial rule – have stood the test of time, showcasing the power of longevity, brand strength, and compounding returns. 

This Independence month, we’ll cover some editorials focusing on India’s journey from Independence till date. For starters, let’s look at five iconic companies that were building wealth before India was free and still stand tall. 

And if you’re wondering what makes them enduring wealth creators – any stock market advisory will tell you it’s their strong fundamentals and the power of compounding over generations.

Let’s start with Tata Steel.

Tata Steel: Forging an Industrial Giant Since 1907

Founded in 1907 by the legendary industrialist Jamsetji Tata, Tata Steel (originally Tata Iron & Steel Co., or TISCO) was Asia’s first integrated steel plant. 

At a time when the idea of heavy industry in India was far-fetched, Tata Steel established a steel city in Jamshedpur that would become the backbone of India’s industrialization. 

By World War I, the company was supplying steel for the Allied war effort, helping it survive economic challenges. 

During World War II, Tata Steel again contributed by manufacturing steel plates for armored vehicles, reinforcing its strategic importance. 

Post-independence, Tata Steel expanded rapidly – from producing rails for Indian Railways to acquiring global steelmakers (like Britain’s Corus in 2007) to become a worldwide steel conglomerate. 

Today, Tata Steel is one of the world’s most geographically diversified steel companies and a staple in investor portfolios.

Fast Facts About Tata Steel

Tata Steel was incorporated in 1907 and is now a Large Cap company with a market capitalization around ₹1.98 lakh crore. 

It remains a key player in India’s Metals & Mining sector, having evolved from a single steel plant to operations in 26 countries. 

Generations of shareholders have benefitted from its growth; the company has paid dividends since its early years and delivered robust long-term returns (for example, its shares have gained about 49% in the last 3 years, outpacing the Nifty 50 index.

Tata Steel Share Price 

Tata Steel’s enduring legacy – “Nation building” through steel – exemplifies how patience and compounding can build immense wealth over a century.

Tata Steel (Est. 1907)	Key Highlights
Founder	Jamsetji Nusserwanji Tata (established by Dorabji Tata)
Pre-Independence Role	First integrated steel plant in Asia; supplied steel for railways and World War efforts
Post-Independence Growth	Expanded to global operations (e.g. acquired Corus); diversified steel products worldwide
Market Cap (2025)	~₹1,98,000 Cr (Approx $22.5 B)
Wealth Creation	Consistent dividends since early 1900s; long-term stock growth (e.g. ~14% CAGR in recent decades)

ITC: From Imperial Tobacco to Diversified Conglomerate

ITC traces its origins to the days of the British Raj. It was incorporated on 24 August 1910 as the Imperial Tobacco Company of India Ltd., initially catering to colonial India’s cigarette demand. 

For its first six decades, ITC’s business was largely cigarettes and leaf tobacco. 

However, post-independence and especially after Indian ownership increased (the company’s name changed to India Tobacco Company in 1970 and then simply ITC in 1974 as it became fully Indian-managed), ITC reinvented itself. 

Today, ITC is a powerhouse spanning multiple sectors – Fast-Moving Consumer Goods (staple brands from Aashirvaad atta to Sunfeast biscuits), hotels (the ITC Welcomgroup), paperboards, agri-products, and more. 

Despite this diversification, ITC remains a cash-generating giant thanks to its tobacco business, allowing it to consistently reward shareholders with hefty dividends and share buybacks over the years.

Fast Facts About ITC

Established in 1910 by British tobacco interests, ITC has transformed into one of India’s largest conglomerates. It boasts a market cap of about ₹5.15 lakh crore as of 2025, making it one of the top-valued companies in India. 

While rooted in the tobacco sector, over 60% of its revenues now come from non-tobacco businesses, reflecting successful diversification. For investors, ITC has been a classic example of long-term compounding – it has rewarded faithful shareholders through regular dividends (often with ~80–100% payout ratios) and stock bonuses. 

The company’s ability to reinvent itself from a colonial-era cigarette maker to a modern multi-sector listed giant underscores its brand strength across generations. 

It’s no surprise then that many stock market advisory experts often cite ITC as a must-have blue-chip for balanced portfolios.

ITC Share Price

ITC Limited (Est. 1910)	Key Highlights
Original Name	Imperial Tobacco Co. of India (British-owned)
Evolution	Renamed ITC in 1974 after Indianization; diversified into FMCG, hotels, paper, agri, IT, etc.
Flagship Brands	Classic cigarettes (Gold Flake, Classic), Aashirvaad, Sunfeast, Savlon, ITC Hotels, Classmate, etc.
Market Cap (2025)	~₹5,15,000 Cr (Approx $58.8 B)
Wealth Creation	High dividend payouts; stock up ~40x in last 20+ years (demonstrating power of compounding)

Britannia: Baking Biscuits and Compounding Wealth Since 1892

Not many brands can claim over 130 years of heritage, but Britannia Industries can. 

Founded in 1892 in Calcutta (Kolkata) by a group of British businessmen with a modest capital of just ₹295, Britannia started as a small biscuit bakery in a nondescript house. 

Early on, its tasty biscuits caught on, and the company grew steadily – coming under Indian management (the Gupta brothers) in the early 20th century. 

During World War II, Britannia played a crucial role feeding Allied troops: the British Indian government relied on Britannia for a continuous supply of biscuits, so much so that the company devoted up to 95% of its production capacity to the British Army. 

This war-time boost cemented Britannia’s financial strength and brand recognition across India. Post-independence, Britannia became a household name, known for popular biscuits like Marie Gold, Tiger, Good Day, and Bourbon. Now part of the Wadia Group, it’s one of India’s largest FMCG food companies, with products spanning dairy, bread, cakes, and more – found in almost every Indian kitchen.

Fast Facts About Britannia

Established in 1892, Britannia is among India’s oldest surviving companies. It is headquartered in Kolkata and today commands a market capitalization of around ₹1.3–1.4 lakh crore (about $15 billion).

This once-tiny bakery is now a Nifty-50 listed juggernaut selling to millions of customers in India and abroad. Britannia’s longevity is matched by its stock performance – long-term investors have seen significant wealth creation through stock splits, bonuses (the company went public in 1978), and rising share prices. 

Britannia Share Price

For instance, by supplying nearly all the army’s biscuit needs in the 1940s, Britannia built reserves that funded expansion, enabling decades of growth. Its story highlights the compounding power of steady consumer demand: small profits on each packet of biscuits, multiplied over 100+ years, have compounded into massive shareholder wealth. 

Britannia Industries (Est. 1892)	Key Highlights
Founders	Group of British businessmen (initial investment ₹295)
Colonial Era Boost	Supplied biscuits to British Army in WWII (up to 95% capacity)
Modern Era	Part of Wadia Group; leading FMCG foods company (biscuits, dairy, etc.)
Market Cap (2025)	~₹1,35,000 Cr (Approx $14–15 B)
Wealth Creation	Stock compounded over decades; blue-chip FMCG with consistent growth in revenues and profits

Hindustan Unilever: FMCG Titan with Colonial Roots

When you think of daily household brands – soap, tea, shampoo – chances are you’re thinking of Hindustan Unilever Ltd. (HUL). 

This consumer goods behemoth traces its Indian roots to 1931-33, when Anglo-Dutch Unilever set up subsidiaries in British India. 

Unilever’s first Indian venture was Hindustan Vanaspati Mfg. Co. in 1933 (maker of Dalda vanaspati ghee), soon followed by Lever Brothers India Ltd. (soaps) and United Traders Ltd. (personal care). These entities merged in 1956 to form Hindustan Lever Ltd., which became Hindustan Unilever in 2007. 

Before independence, HUL was already selling popular products (like Lifebuoy soap, which famously advertised “Tandurusti ki raksha” or health protection). After independence, HUL was a pioneer among multinationals – it was the first foreign subsidiary in India to offer equity to the Indian public, issuing shares in 1956. 

HUL’s growth over the decades has been phenomenal: from basic commodities, it expanded into detergents (Surf Excel), shampoos (Clinic Plus), tea (Brooke Bond, Lipton), and dozens of categories. Today, HUL’s products reach every corner of India, giving the company unparalleled pricing power and brand loyalty.

Fast Facts About Hindustan Unilever (HUL)

HUL was incorporated in India in 1933 (as Lever Brothers India). Fast-forward to 2025, and it is India’s largest FMCG company with a market cap of about ₹5.96 lakh crore (around $68–73 billion). This places HUL among the top 5 companies in India by market value. 

The stock has been a stellar long-term performer – for example, since the late 1990s, HUL’s market capitalization has increased over 40-fold, translating to an annualized return close to ~14% (excluding its generous dividends). 

HUL Share Price

Such is the power of its iconic brands (think Lux, Sunsilk, Knorr, Vim, etc.) that HUL enjoys steady growth even in tough economic times. 

Over generations, HUL has compounded wealth for investors while also compounding the trust of consumers. It stands as a shining example of a pre-independence legacy business that continues to deliver riches in the stock market – truly a testament to investing in quality companies and holding them for the long run.

Hindustan Unilever (Est. 1933)	Key Highlights
Colonial Origins	Unilever set up Indian subsidiaries 1931–33 (soaps, vanaspati)
Milestones	Merged to form HUL in 1956; first MNC in India to offer equity to public; renamed Hindustan Unilever in 2007
Brands & Reach	50+ leading brands (Lifebuoy, Lux, Surf, Dove, Lipton, etc.); products in ~100 million households; pan-India distribution
Market Cap (2025)	~₹5,95,000 Cr (Approx $70 B)
Wealth Creation	Among the best long-term performers (40x value increase since 1990s); steady dividends and high return on equity ~20%

State Bank of India: Banking on India’s Growth Since 1806

The State Bank of India (SBI) is not just a bank – it’s an institution that predates modern India itself. SBI’s origins go all the way back to 1806 with the establishment of the Bank of Calcutta in colonial Bengal. 

This was the first joint-stock bank of British India. It later became the Bank of Bengal, and along with the Bank of Bombay and Bank of Madras (founded in the 1840s), formed the trio of “Presidency Banks” that dominated banking in the 19th century. 

In 1921, these three were amalgamated to create the Imperial Bank of India, which was essentially the banker to the government and the largest commercial bank in the country. 

After Independence, in 1955, the Imperial Bank was nationalized and renamed as the State Bank of India – a bank for independent India’s development. 

Over the past seven decades, SBI has been the financial backbone of the nation: from financing infrastructure and agriculture to being the banker of choice for millions of Indians. It’s also been an innovator – whether installing the first ATMs or digitizing banking services in recent years.

Fast Facts About SBI

With a legacy dating to 1806, SBI is by far the oldest bank in India It went public with an IPO in 1993, and today SBI is a banking behemoth with a market capitalization around ₹7.4 lakh crore (~$85 billion). 

That makes it one of the world’s top 250 companies by market value. As India’s largest bank, SBI holds a fifth of the nation’s banking assets and has over 22,000 branches. 

For investors, SBI has delivered solid returns especially in the past two decades alongside India’s economic rise – its stock is up many times over since listing, and it regularly pays dividends. 

SBI Share Price

The bank’s sheer scale and government backing have made it a core holding in many mutual funds. 

Importantly, SBI showcases how a pre-independence institution adapted to post-independence needs: it spearheaded rural branch expansion, absorbed other state-owned banks, and now is driving financial inclusion and digital banking. Its journey from the Bank of Calcutta under the British to the SBI of today mirrors India’s economic evolution – steadfast, resilient, and growth-oriented.

SBI (Est. 1806/1921)	Key Highlights
Pre-1947 Roots	Began as Bank of Calcutta (1806); merged presidency banks became Imperial Bank of India (1921)
Post-1947 Transition	Renamed State Bank of India in 1955 (nationalized); became India’s largest bank and banker to the government
Nation-Building Role	Financed Five-Year Plans, rural development, small industries; has >45 crore customers today
Market Cap (2025)	~₹7,40,000 Cr (Approx $85 B)
Wealth Creation	Listed in 1993; blue-chip bank stock with strong long-term growth, especially as Indian economy expanded (e.g., ~65% stock gain in 2021 alone)

Conclusion

The stories of Tata Steel, ITC, Britannia, Hindustan Unilever, and SBI illuminate a powerful lesson: quality endures. 

These companies started building wealth before India’s independence, and through adaptability, prudent management, and strong brands, they have continued to build wealth after independence. 

Company	Founded	Pre-Independence Milestone	Listed
Tata Steel	1907	First steel ingot, 1912	1910s
ITC	1910	Colonial cigarette monopoly	1970s
Britannia	1892	95 % output to British Army, 1940s	1978
HUL	1933	First MNC to float Indian equity, 1956	1956
SBI	1806	Bank of Calcutta charter, 1809	1993 IPO

An investor who held any of these stocks over the decades would have seen the magic of compounding returns – turning even modest investments into substantial fortunes. 

They also show that investing is not about quick wins, but about riding the long waves of growth. 

As a stock market advisory, the key is to find enduring businesses with strong moats and stick with them. 

On this upcoming Independence Day, as we honor India’s past, we also celebrate these corporate legends that have been wealth compounding engines for generations. They remind us that while regimes change and eras pass, true value creation is independent of time. 

This 15 August 2025, pledge to break free from Telegram tips, WhatsApp rumours, and one-day punts.

Let a SEBI-registered Stock Market Advisory craft your own “century portfolio” — firms with the stamina to outlive fads, news cycles, and maybe even us.

Jai Hind and Happy Investing! 

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

Auto ancillary stocks have taken a hit in the recent market correction.

But is this fall a warning sign… or a rare buying opportunity?

Because here’s what’s interesting — despite the dip in prices, the core fundamentals of these companies remain strong.

These are the silent enablers of the auto revolution — powering EVs, autonomous tech, and premium components. And as the world accelerates toward smarter mobility, their relevance is only going to grow.

In fact, many of these players are quietly gearing up for their next big leap.

One such stock that’s corrected meaningfully is Timken India.

What’s behind the fall? And is there still long-term potential?

Let’s dive in.

About Timken India

Timken India, a subsidiary of The Timken Company, specialises in anti-friction bearings and mechanical power transmission products.

Established in 1987 as Tata Timken, it became Timken India in 1999. It has manufacturing plants in Jamshedpur and Bharuch, along with a technology center in Bangalore.

In 1999, Timken acquired from Tata Steel its 40% stake in Tata Timken. The name was changed to Timken India in July 1999. 

Why Timken India Share is Falling

In the past 5 trading sessions, Timken share price has fallen more than 10%.

Timken India Share Price

The recent decline comes after the company posted a muted show in Q1.

Timken India posted an 8% year-on-year increase in net profit for the first quarter of FY26, with earnings rising to Rs 104 crore from Rs 96.3 crore a year ago.

The profit growth comes on the back of modest gains in revenue and largely steady operational performance.

Revenue for the quarter rose 3.2% to Rs 809 crore, compared to Rs 784 crore in the same period last year, reflecting stable demand across its industrial bearings and mechanical power transmission segments.

The company’s EBITDA margin stood at 17.6%, slightly lower than the 18% reported a year earlier.

Timken India Q1FY26 Financial Snapshot

Particulars (in Rs Cr)	Q1FY26	Q1FY25	Q4FY25	YoY	QoQ
Revenue	809	784	940	3%	-14%
EBITDA	142	141	210	1%	-32%
Margin (%)	18%	18%	22%	–	–
Net Profit	104	96	187	8%	-44%

Source: Company

Strong Runway Ahead

While recent performance shows a muted show, the company has some long term growth plans which could improve its fortunes.

With new manufacturing hubs in Bharuch and Jamshedpur, the company is doubling down on high-performance bearings used across railways, autos, and heavy machinery. And export growth? That’s been a major tailwind too.

What sets Timken apart is its edge in advanced bearing tech and power transmission. Add to that its lean operations, tight cost controls, and value-added services — and you’ve got a company gearing up for long-term, scalable growth.

For calendar year 2025, Timken’s roadmap is crystal clear: expand capacity, sharpen innovation, and deepen its market presence.

A new plant near its Bharuch facility is already underway — this one will cater to rising demand for spherical and cylindrical roller bearings, critical for gear drives, compressors, pumps, and heavy-duty machines. The launch is expected later this year.

Beyond traditional markets, Timken is actively eyeing railway electrification and the EV ecosystem as next-gen growth frontiers.

And with a renewed focus on high-tech, precision motion systems, the company is quietly positioning itself at the heart of India’s industrial transformation.

Timken India Shareholding Pattern

As of June 2025, promoters of Timken India hold 51.1% stake in the company, followed by mutual funds at 23.1%.

Timken Shareholding Summary

Source: BSE

Conclusion

Auto ancillary stocks may be down but they’re far from out.

This recent dip doesn’t take away from the rock-solid fundamentals many of these companies are built on.

As the auto industry shifts into high gear with EVs, connected tech, and next-gen mobility, ancillary players will remain mission-critical to the transformation.

For smart investors, market corrections often open rare windows of opportunity. And this could be one of them.

But a word of caution — not every dip is worth buying. Look deeper. Study the company’s financial health, leadership quality, and long-term vision before you commit.

Because in this space, selectivity is everything.

Happy Investing.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.

The IPO market in India is showing signs of resilience in the second half of the year, after a tepid first half. This comes even as market volatility and global economic uncertainties remain.

In FY25, India witnessed 80 mainboard IPOs, up from 76 in FY24. Total capital raised reached about Rs 1,630 billion, a substantial increase from Rs 619 billion raised via IPOs in FY24. This reflects increased participation.

This week, Dalal Street is all set to see one big IPO open – the IPO of JSW Cement.

Here’s all you need to know about this IPO.

About JSW Cement

Part of the JSW group and incorporated in 2006, JSW Cement is a manufacturer of green cement in India.

The company operated seven plants across India, including one integrated unit, one clinker unit, and five grinding units located in Andhra Pradesh, Karnataka, Tamil Nadu, Maharashtra, West Bengal, and Odisha (Jajpur plant and the majority-owned Shiva Cement clinker unit).

As of March 2025, JSW Cement had an installed grinding capacity of 20.6 MMTPA, comprising 11 MMTPA in the southern region, 4.5 MMTPA in the western region, and 5.1 MMTPA in the eastern region of India.

JSW Cement Product Portfolio

• Cement: Blended cement and ordinary Portland cement
• Ground granulated blast furnace slag: This is commonly used in blended cement products such as PSC and PCC and as a replacement material for OPC in concrete production.
• Clinker: Clinker is manufactured by burning limestone and clay together at a high temperature
• Allied cementitious products: RMC, screened slag, construction chemicals

JSW Cement distributes its products through a well-connected network. As of March 2025, the company had a distribution network comprising 4,653 dealers, 8,844 sub-dealers, and 158 warehouses.

IPO Details and Structure

Here are the key details of the upcoming offer…

• Issue period: 7 August 2025 to 11 August 2025
• IPO Composition: Fresh issue and offer for sale
• Price Band: Rs 139 to Rs 147 per equity share
• Face Value: Rs 10 per equity share
• Lot size: 102 shares (retail minimum)
• Basis of Allotment: 12 August 2025
• Refunds and share credits: Expected by 13 August 2025

Investors can bid for a minimum lot size of 102 shares and in multiples of 102 thereafter. At the upper end of the price band, this will entail a minimum investment of ₹14,994 for one lot of shares.

50% worth of the IPO has been reserved for the Qualified Institutional Bidders (QIB), while 15% of the offer is for high net-worth Individuals (HNIs), and the rest is for retail investors.

At the upper end of the price band, JSW Cement will have a post-issue market capitalisation of ₹20,041 crore.

Promoters of JSW Cement, which currently own a 78.61% stake in the company, will own 72.33% post the IPO. 

Selling shareholders in the IPO include AP Asia Opportunistic Holdings Pte. Ltd, Synergy Metals Investments Holding and State Bank of India.

Objectives of JSW Cement IPO

Source: RHP

A Close Look at JSW Cement’s Financials

For FY25, JSW Cement’s revenue decreased by 3% and profit after tax (PAT) dropped by 364% on a year-on-year basis.

That’s right, after making profits in financial year 2023 and 2024, JSW Cement made a net loss worth ₹163.8 crore in financial year 2025.

JSW Cement Financial Snapshot

Year Ended (in Rs Cr)	31 Mar 2025	31 Mar 2024	31 Mar 2023
Assets	12,003.9	11,318.9	10,218.6
Total Income	5,914.7	6,114.6	5,982.2
Profit After Tax	-163.8	62.1	104.1
EBITDA	815.3	1,035.7	826.9
Net Worth	2,352.6	2,464.7	2,292.1
Reserves and Surplus	1,287.3	1,399.1	1,296.7
Total Borrowing	6,166.6	5,835.8	5,421.5

Source: RHP

The company has stated that its operating metrics in FY24 are not comparable to FY23 and FY22, because the JSW Cement FZC is no longer a wholly owned subsidiary.

Strengths and Weaknesses

Here are a few competitive strengths that JSW Cement commands:

• The company is the fastest growing cement manufacturing company in India in terms of increase in installed grinding capacity and sales volume.
• The company is India’s largest manufacturer of GGBS and has a proven track record of scaling up this business.
• Strategically located plants well-connected to raw material sources and key consumption markets.
• The company has lowest carbon dioxide emission intensity among our peer cement manufacturing companies and the top global cement manufacturing companies.
• Extensive sales and distribution network in India and focus on strong brand.
• The company benefits from its strong corporate lineage of the JSW Group and its qualified management team.

Meanwhile, it also has some key concern areas like:

• Limestone is the principal raw material for manufacturing clinker. Inadequate supply of limestone can have an adverse impact on the business.

• The blast furnace slag is another key raw material. This is the key additive raw material used for manufacturing green cementitious products. It is sourced from JSW Steel and its subsidiaries. The loss of one or more such suppliers could adversely affect business. 

• The capacity utilisation of JSW’s plants is affected by various factors, including the availability of raw materials, demand from customers, and market conditions.

• JSW Cement does not own the JSW trademark, and its ability to use the trademark, name and logo may be impaired. 

• JSW Cement’s certain subsidiaries and joint ventures have incurred losses in the past.

Grey Market Premium (GMP)

The GMP or grey market premium (GMP) for the IPO is not known yet. It will be updated soon.

The IPO is being managed by a consortium of leading investment banks including JM Financial, Axis Capital, Citigroup Global Markets India, DAM Capital Advisors, Goldman Sachs (India) Securities, Jefferies India, Kotak Mahindra Capital Company, and SBI Capital Markets.

Conclusion

In August 2024, JSW Cement filed preliminary IPO papers with SEBI, and later in September, the regulator kept the company’s proposed initial share sale on hold. The go-ahead for the IPO was received in January 2025.

Now after 6 months, the company is all set to open its IPO this week and go public as soon as early next week.

The JSW Group has been quite vocal about pushing forth green initiatives and JSW Cement takes forward this aspect. The company claims that it has the lowest carbon dioxide emission intensity among cement manufacturing peers in India and the top global cement manufacturing companies. 

Nevertheless, the company posted a loss in FY25, and the first thumb rule is to stay away from loss making companies.

So, if you do plan to apply for this IPO, make sure to take a close look at its financials and understand how soon it can turn profitable.

Happy Investing.

Disclaimer Note: The securities quoted, if any, are for illustration only and are not recommendatory. This article is for education purposes only and shall not be considered as a recommendation or investment advice by Equentis – Research & Ranking. We will not be liable for any losses that may occur. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Registration granted by SEBI, membership of BASL & certification from NISM in no way guarantee the performance of the intermediary or provide any assurance of returns to investors.