The NSE index rebalancing details will be unveiled post-market closure on February 21, 2025. Domestic brokerage JM Financial says that food delivery and restaurant aggregator Zomato Ltd. will likely be inducted into the Nifty 50 benchmark index during this rebalancing alongside Jio Financial Services.
The changes related to Nifty constituents, effective from March 31, 2025 are expected shortly. These changes will be rebalanced in March, and the index provider considers the average free-float market capitalization recorded for a period between August 1 and January 31.
Conversely, JM Financial expects that FMCG company Britannia Industries, and Bharat Petroleum Corp, will be removed from the index. Earlier, the brokerage believed that auto firm Eicher Motors would be dropped from the index instead of Britannia Industries. However, due to the performance of this FMCG company having drifted below that of the auto major in the last six months, it is now much more likely to face exclusion.
For a stock to be included in the Nifty 50 index, it must be part of the F&O segment. NSE had announced in Nov '24 about 45 stocks being added to the futures and options (F&O) segment, including Zomato and Jio Financial Services, thereby paving their way into the Nifty 50.
While passive inflows for Zomato are expected to be around 702 million USD, Jio Financial Services could receive inflows of about 404 million USD. However, with the exclusion of BPCL and Britannia Industries, these companies may witness outflows of around 240 million USD and 260 million USD, respectively.
