Brokerage Firms Spotlight Under-Valued Large-Caps

With valuations near decade highs across MSCI India, global brokerages have initiated selective coverage of what they perceive as under-valued large-cap stocks. Among these strategies, a prominent list includes three companies affiliated with a major conglomerate, deemed mispriced due to market stigma rather than fundamentals. The move represents a sharp pivot to "value hunting" amid stretched equity multiples.

This focus addresses growing investor scrutiny of pockets of opportunity amid mainstream overvaluation. Analysts argue that a combination of low coverage, underappreciated cash flows, and business diversification may offer hidden value in select names—while larger indices trade near peaks.

In practical terms, these insights are driving portfolio reallocation. Asset managers and individual investors may rotate capital into these overlooked stocks, expecting rerating over time. However, conviction remains tied to corporate governance clarity and consistent execution in a sentiment-first market backdrop.