Stock Market Today: 43 Stocks Hit 52-Week Lows, 108 at 52-Week Highs as Nifty 50, Sensex End in Green

India’s benchmark indices ended Tuesday’s session on a positive note after a volatile start, buoyed by buying interest in heavyweight sectors and firm global cues. However, the broader market reflected a more complex picture, with 43 stocks hitting their 52-week lows even as 108 stocks surged to their 52-week highs, indicating a divergence in investor sentiment across different pockets of the market.

Nifty 50 and Sensex Close Higher

The BSE Sensex rose 183.51 points, or 0.25%, to close at 77,226.23, while the NSE Nifty 50 added 53.20 points, or 0.23%, settling at 23,526.10. Gains in key sectors like banking, IT, and auto helped lift the frontline indices, although mid- and small-cap stocks showed mixed performance.

Market breadth remained somewhat neutral with the advance-decline ratio offering no clear trend. The gains in benchmarks were largely driven by strong institutional interest in select large-cap names.

52-Week Highs and Lows: Polarized Momentum

While the headline indices painted a positive picture, the divergence within the broader market was evident. A total of 108 stocks touched their 52-week highs, including names like Larsen & Toubro, Tata Motors, Cholamandalam Investment, and HAL, reflecting sustained momentum in infrastructure and auto-linked segments.

On the flip side, 43 stocks slumped to their 52-week lows, mostly from the small-cap and micro-cap space. These included names from sectors such as textiles, media, and selective real estate counters, suggesting caution among retail investors in speculative or overvalued stocks.

“This kind of divergence typically indicates that the market is becoming selective. Investors are preferring quality stocks with strong fundamentals, while weaker hands are being sold off,” said Ruchir Desai, Fund Manager at Kotak AMC.

Sectoral Snapshot: Financials and Autos Lead

Nifty Bank climbed over 0.5%, led by gains in ICICI Bank, Axis Bank, and Kotak Mahindra Bank, following expectations of stable earnings growth and improved credit demand in the second half of FY26.

The auto index also witnessed healthy buying interest. Tata Motors and Mahindra & Mahindra rallied amid strong monthly dispatch numbers and expectations of easing input costs.

IT stocks remained firm, extending gains from the previous session, with Infosys and Wipro closing higher on the back of improving deal pipelines and renewed buying by FPIs.

Meanwhile, metal and realty sectors underperformed as global commodity prices remained under pressure and interest rate concerns lingered domestically.

FII-DII Activity: Mixed Participation

Foreign institutional investors (FIIs) continued their cautious approach. Preliminary data from exchanges showed net selling of ₹432 crore in Indian equities. On the other hand, domestic institutional investors (DIIs) provided a counterbalance by net buying equities worth ₹679 crore, extending their recent support.

“FIIs remain jittery due to global macro headwinds and uncertain monetary signals from the US Fed. However, DIIs have been consistent buyers, anchoring market stability during bouts of volatility,” noted Shibani Kurian, Head of Equity Research at Kotak Mahindra Asset Management.

Global Cues Offer Relief

Overnight gains on Wall Street and firm cues from other Asian markets supported local sentiment. The Dow Jones Industrial Average closed higher by over 200 points, as investors weighed a softening of inflation expectations and better-than-expected housing data.

Asian indices like Nikkei 225 and Hang Seng also closed in green, with optimism over stimulus measures from the Chinese central bank offering hope for demand stabilization in the region.

Crude oil prices remained under $84 per barrel, alleviating concerns for oil-importing nations like India.

Investor Outlook: Selective But Optimistic

Despite the market closing in green, the presence of a significant number of 52-week lows indicates that the rally is not broad-based. Traders are advised to remain cautious, especially in small-cap counters that have run up sharply or show signs of weak fundamentals.

“We're in a phase where fundamentals will drive stock selection. Investors should look for consistent earnings visibility, margin expansion potential, and low debt,” suggested Ajay Bagga, Market Expert and Former Banker.

Volatility may persist as the June F&O expiry nears, and markets will keenly track upcoming macroeconomic data, monsoon progress, and the US Fed commentary later this week.

The Indian equity markets exhibited a tale of two narratives on Tuesday. While headline indices rose, the divergence between the number of stocks hitting 52-week highs versus lows underscored the selective nature of the ongoing rally. Investors are advised to tread carefully, keeping a balanced approach with an eye on quality stocks and macro trends.