At the upcoming rejig of the BSE barometer Sensex, Tata group stock Trent could likely be replaced by either Hindalco or Shriram Finance, according to analysts at Nuvama Alternative & Quantitative Research. The reshuffle, which will come into effect next month, is expected to be announced later this week, on Friday, 22 May.
Abhilash Pagaria, Head – Nuvama Alternative & Quantitative, said that Trent will likely be excluded during the upcoming Sensex rejig in June due to “relative decline in its free-float market capitalisation following recent underperformance.”
Trent shares have been in the red over the last one year, shedding 25% of their value. In 2025, it was one of the worst-performing index and Tata group stock with a nearly 40% decline in its value. The sharp gains of almost 26% after the Q4 performance helped cut YTD losses, but the counter remains in the red, down almost 5%.
According to Nuvama’s estimates, Trent’s exclusion from Sensex could result in passive outflows of approximately $257 million.
Likely Sensex entrants
On the flip side, the brokerage expects either metal player Hindalco or non-banking finance company (NBFC) Shriram Finance to replace Trent in the index.
It observed that while Shriram Finance leads on free-float market capitalisation, Hindalco has a higher probability of inclusion. Index committee’s preference for broader sectoral representation within the BSE universe could drive this decision, Pagaria said in the note dated 20 May.
“That said, the final outcome remains subject to the discretion of the BSE index committee. Hence, despite the methodology framework, there appears to be a degree of subjectivity in the final selection of the potential inclusion candidate,” he added.
Hindalco is expected to see an inflow of $366 million in the case of inclusion and Shriram Finance of $445 million from passive funds, the brokerage projected. While Hindalco has earlier been part of the flagship index, Shriram’s entry would mark its debut in the index.
Shares of Hindalco Industries have rallied 63% in the last one year and remain higher by 21% on a YTD basis. As for Shriram Finance, one-year performance is promising with a 40% rise but YTD the stock is down almost 10%.
The Sensex rejig is expected to come into force on 19 June 2026.
Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
