Are buyers chasing fundamentally iffy stocks in this rally?

While the Nifty rally has brought smiles back on the faces of investors, the near term outlook remains hazy given the sluggishness in the local economy and the simmering problems in China. Some experts are questioning if the rally can sustain, given the shaky fundamentals of the companies which are leading it. "Companies like Jaiprakash Associates, GMR Infrastructure, Lanco Infratech, among others, which are by and large fully bankrupt companies, are the star leaders in this run up to this thing. It tells you what the quality of this rally is going to be," says Ajay Srivastava, CEO of Dimensions Consulting.

Echoing similar sentiments is Saurabh Mukherjea, CEO of institutional equities at Ambit Capital. "The market will struggle to rise over the next six months and our advice to our clients therefore is to be cautious, to be conservative in their stock selection, focus on high quality, well-run companies and cash generative companies," he told CNBC-TV18 in an interview.

Below are the companies that have rallied more than 10 percent since September 28 to October 8, 2015, but have been barely generating enough operating profit to be able to service their interest costs.