India’s listed companies have added nearly $1 trillion in market capitalisation since early March 2025, driven by a sustained rally following a five-month correction between October 2024 and February 2025. In percentage terms, the market cap has surged by over 21 per the highest increase among the world’s top 10 equity markets. India is currently the fifth largest market globally, after the US, China, Japan and Hong Kong. India’s benchmark indices, the Sensex and Nifty, have advanced by 12.5 per cent and 13.5 per cent during this period, while the broader BSE MidCap and SmallCap indices have climbed by over 20.7 per cent and 26 per cent. However, this strong rally has driven valuations to stretched levels once again, and analysts have begun downgrading earnings estimates.