Jefferies Stock Picks: A potential revival in foreign portfolio investor (FPI) flows could put largecap stocks in the spotlight, with companies such as Reliance Industries, HDFC Bank, Axis Bank and Kotak Mahindra Bank emerging as potential beneficiaries.
In a latest report, global brokerage house Jefferies said that it believes largecaps are better placed to attract foreign money because of their higher liquidity and greater FPI ownership, following a prolonged period of overseas investor selling.
The brokerage has identified 12 stocks that could benefit from a reversal in foreign flows: Reliance Industries, HDFC Bank, Axis Bank, Kotak Mahindra Bank, Max Healthcare, JSW Energy, UltraTech Cement, IndiGo, Varun Beverages, Indian Hotels Company (IHCL), DLF and Sona BLW.
"Given higher liquidity and FPI ownership, we see large caps as the more direct beneficiary of revival in FPI flows. We highlight Reliance, HDFC Bank, Axis, Kotak, Max Health, JSW Energy, Ultratech, Indigo, Varun, IHCL, DLF, Sona BLW as plays on FPI reversal," said Jefferies analysts Abhinav Sinha, Priyank Shah and Aditi Singla.
FPI flows into Indian equities have shown signs of turning around after a sustained period of outflows. Foreign investors have recorded net inflows of $8.2 billion since mid-October, including $5.8 billion in just six trading sessions in November 2026.