What is Nifty 50?
Updated: Jan 29
Nifty 50 is a broad index that is used as a benchmark for the top 50 free float market capitalisation companies in National Stock Exchange ( NSE). Follow this articles to find out what exactly is free float market capitalisation and how the index weightage is calculated. The review of Nifty 50 happens semi-annually like other of broad indices. Basis the document shared in the link below the weightage of other important indices like Nifty 500 and Nifty 100 is calculated basis the full market capitalisation. So in this regard Nifty 50 is different.
How is the weightage of stocks calculated in Nifty 50?
The calculation of weightage in Nifty 50 is done using free-float market capitalisation method. Let's try to understand the method in steps.
Free float shares: It is the total number of shares that are free to trade in the market. Free float is calculated by subtracting the shares that are restricted to trade, like the share with promoters, government, ESOPs etc.., from the total shares that are available to trade.
Free Float shares=Total number of shares - restricted shares
Free Float Market capitalisation: When we multiply the free float with the present share price we get the free float market capitalisation.
Free Float market capitalisation= Free float shares X Share price
Total Free Float Market capitalisation: This is the sum of free float market capitalisation of all the 50 individual stocks in Nifty 50.
Total Free Float market capitalisation= ( Free Float capitalisation of 1st company + Free Float capitalisation of 2nd company +Free Float capitalisation of 3rd company +...........+Free Float capitalisation of 50th company )
Weightage of stock: The weightage of a stock in Nifty 50 is proportional to the ratio of free float market capitalisation of that company and the total free float market capitalisation of the 50 companies.
Weightage of stock in Nifty 50 (%) =( Free float market cap of the company*100)/ Total Free float market capitalisation
Below you can find the the companies and the respective weightage in the Nifty 50 as on January 2025.
Symbol | Security Name | Industry | Weightage (%) |
HDFCBANK | HDFC Bank Ltd. | Financial Services | 12.27 |
ICICIBANK | ICICI Bank Ltd. | Financial Services | 8.41 |
RELIANCE | Reliance Industries Ltd. | Oil, Gas & Consumable Fuels | 7.8 |
INFY | Infosys Ltd. | Information Technology | 6.58 |
BHARTIARTL | Bharti Airtel Ltd. | Telecommunication | 4.02 |
LT | Larsen & Toubro Ltd. | Construction | 4 |
TCS | Tata Consultancy Services Ltd. | Information Technology | 3.95 |
ITC | ITC Ltd. | Fast Moving Consumer Goods | 3.88 |
AXISBANK | Axis Bank Ltd. | Financial Services | 2.86 |
SBIN | State Bank of India | Financial Services | 2.82 |
M&M | Mahindra & Mahindra Ltd. | Automobile and Auto Components | 2.59 |
KOTAKBANK | Kotak Mahindra Bank Ltd. | Financial Services | 2.46 |
HINDUNILVR | Hindustan Unilever Ltd. | Fast Moving Consumer Goods | 1.99 |
HCLTECH | HCL Technologies Ltd. | Information Technology | 1.95 |
BAJFINANCE | Bajaj Finance Ltd. | Financial Services | 1.94 |
SUNPHARMA | Sun Pharmaceutical Industries Ltd. | Healthcare | 1.88 |
TATAMOTORS | Tata Motors Ltd. | Automobile and Auto Components | 1.53 |
TRENT | Trent Ltd. | Consumer Services | 1.47 |
MARUTI | Maruti Suzuki India Ltd. | Automobile and Auto Components | 1.46 |
NTPC | NTPC Ltd. | Power | 1.46 |
TITAN | Titan Company Ltd. | Consumer Durables | 1.35 |
POWERGRID | Power Grid Corporation of India Ltd. | Power | 1.31 |
ULTRACEMCO | UltraTech Cement Ltd. | Construction Materials | 1.24 |
TATASTEEL | Tata Steel Ltd. | Metals & Mining | 1.03 |
TECHM | Tech Mahindra Ltd. | Information Technology | 1.01 |
ASIANPAINT | Asian Paints Ltd. | Consumer Durables | 0.97 |
BEL | Bharat Electronics Ltd. | Capital Goods | 0.95 |
ONGC | Oil & Natural Gas Corporation Ltd. | Oil, Gas & Consumable Fuels | 0.93 |
BAJAJ-AUTO | Bajaj Auto Ltd. | Automobile and Auto Components | 0.92 |
BAJAJFINSV | Bajaj Finserv Ltd. | Financial Services | 0.87 |
GRASIM | Grasim Industries Ltd. | Construction Materials | 0.86 |
JSWSTEEL | JSW Steel Ltd. | Metals & Mining | 0.82 |
ADANIPORTS | Adani Ports and Special Economic Zone Ltd. | Services | 0.81 |
COALINDIA | Coal India Ltd. | Oil, Gas & Consumable Fuels | 0.81 |
HINDALCO | Hindalco Industries Ltd. | Metals & Mining | 0.79 |
WIPRO | Wipro Ltd. | Information Technology | 0.79 |
DRREDDY | Dr. Reddy's Laboratories Ltd. | Healthcare | 0.78 |
SHRIRAMFIN | Shriram Finance Ltd. | Financial Services | 0.78 |
CIPLA | Cipla Ltd. | Healthcare | 0.77 |
NESTLEIND | Nestle India Ltd. | Fast Moving Consumer Goods | 0.74 |
APOLLOHOSP | Apollo Hospitals Enterprise Ltd. | Healthcare | 0.71 |
EICHERMOT | Eicher Motors Ltd. | Automobile and Auto Components | 0.68 |
HDFCLIFE | HDFC Life Insurance Company Ltd. | Financial Services | 0.61 |
SBILIFE | SBI Life Insurance Company Ltd. | Financial Services | 0.61 |
INDUSINDBK | IndusInd Bank Ltd. | Financial Services | 0.6 |
ADANIENT | Adani Enterprises Ltd. | Metals & Mining | 0.58 |
TATACONSUM | Tata Consumer Products Ltd. | Fast Moving Consumer Goods | 0.58 |
BRITANNIA | Britannia Industries Ltd. | Fast Moving Consumer Goods | 0.53 |
BPCL | Bharat Petroleum Corporation Ltd. | Oil, Gas & Consumable Fuels | 0.52 |
HEROMOTOCO | Hero MotoCorp Ltd. | Automobile and Auto Components | 0.51 |
DUMMYITC | Dummy ITC Ltd. | Consumer Services | 0.23 |
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