Mutual Funds Bought Zomato, ITC, HDFC Bank, Nykaa; Sold GMR Airports, SBI In November

As equity inflows strengthened in November 2025, mutual funds sharpened their stock selection across market caps, adding to names such as ITC, HDFC Bank, ICICI Bank and Nykaa while trimming exposure to stocks like State Bank of India, Bharat Petroleum Corporation Ltd. and GAIL.

Equity mutual funds stepped up their participation in November 2025, with net equity inflows rising to Rs 29,900 crore compared with Rs 24,700 crore in October. Excluding new fund offers, net inflows stood at Rs 27,400 crore, up from Rs 20,500 crore in the previous month, indicating stronger underlying investor demand for equities.

In terms of sector allocation, mutual funds increased exposure to financials, information technology and the auto and auto ancillary space during the month. At the same time, fund managers trimmed their exposure to industrials, building materials and utilities, reflecting a more selective approach amid valuation considerations and evolving earnings expectations.

Cash levels across equity mutual funds declined marginally to 4.8% of assets under management in November, compared with 5.1% in October, suggesting a slightly higher deployment into equities.

In the large-cap segment, mutual funds added to positions in Eternal, ITC, Samvardhana Motherson, HDFC Bank and ICICI Bank during November. These additions point to continued preference for quality names with earnings visibility and balance sheet strength.

On the selling side, large-cap funds reduced exposure to GMR Airports, SBI, IOCL, GAIL and BPCL, indicating some profit-taking and portfolio rebalancing within the energy and infrastructure space.

Mid-cap funds saw buying interest in Vodafone Idea, Container Corporation of India, L&T Finance, Nykaa and Ashok Leyland. The additions suggest selective bets on turnaround stories, logistics and consumption-linked themes.

Meanwhile, mutual funds pared stakes in Canara Bank, Bank of India, HPCL, IDFC First Bank and AU Small Finance Bank, reflecting caution in certain pockets of the banking and oil marketing space.

In the small-cap universe, mutual funds increased exposure to Sagility, Ujjivan Small Finance Bank, Bandhan Bank, RBL Bank and South Indian Bank. The buying indicates selective accumulation in financials and niche growth stories.

At the same time, funds reduced holdings in Allcargo Logistics, Indian Energy Exchange, Yatra, Restaurant Brands Asia and IIFL Finance, suggesting a more cautious stance on select logistics, platform-based and consumption plays.