The National Stock Exchange (NSE) announced significant revisions to its benchmark indices on Friday, February 21, with food delivery company Zomato and Jio Financial Services Ltd (JFSL) scheduled to join the more extensive Nifty 50 index in the following semi-annual reshuffle, which will take effect March 28, 2025. The move indicates that conventional investors have accepted new-age technology stocks.
Based on the NSE’s Nifty 50 index adjustments, state-run oil marketing company (OMC) Bharat Petroleum Corporation Ltd. (BPCL) and fast-moving consumer goods (FMCG) giant Britannia Industries Ltd. would be dropped from the index. The news marks the debut of digital-era equities in India’s most closely watched domestic benchmark stock market index.Â
NSE index changes: What’s driving the additions and deletions?
Zomato was added to the BSE Sensex late last year. The index maintenance Sub-Committee of NSE Indices Ltd announced the adjustments to the Nifty 50 index as part of its semi-annual review, which will take effect on March 28, 2025. These revisions are consistent with the index’s periodic examination to ensure that it appropriately represents current market trends and remains relevant to all types of investors. Zomato and Jio Financial Services Ltd. have been added to the Nifty 50 index because their average free-float market capitalization over the last six months is 1.5 times that of the lowest businesses eliminated.
Zomato’s market capitalization is ₹1,69,837 crore, whilst Jio Financial’s is ₹1,04,387 crore. Britannia and BPCL have market capitalizations of ₹64,151 crore and Rs. 60,928 crore, respectively. The rebalancing is based on the average free float market cap between August 1 and January 31. To be included in the Nifty50 index, a stock must belong to the F&O section. In addition, modifications have been announced in other indexes, including the Nifty 100 and Nifty 200. The companies in the index serve an increasingly tech-savvy and wealthy consumer base.Â
