Wealth destruction: 79 BSE500 stocks lose over 10k cr each since Feb 1

The mayhem on the Street after the coronavirus outbreak has spooked investors and all sectors are under a strong wave of a sell-off.

Data from Ace Equity shows that as many as 79 stocks from the BSE 500 index have lost over Rs 10,000 crore each in their market-capitalisation (m-cap) since February 1.

There are 5 large-cap stocks - Reliance Industries, Tata Consultancy Services, HDFC Bank, HDFC and Infosys - that have lost more than Rs 1 lakh crore, while 13 stocks have lost more than Rs 50,000 crore in m-cap since Feb 1.

Sensex has lost more than 30 percent so far this year, that's nearly 13,000 points, and is down about 33 percent from its record high of 42,273 registered on January 20.

The average market capitalisation of BSE-listed companies has come down by more than Rs 40 lakh cr in the same period. Tracking the sell-off in markets, nearly 30 companies have turned into midcaps from largecaps in the same period as fears of economic slowdown gripped equity markets across the globe.

The relentless sell-off in equities has damaged the sentiment of investors as the fears have become stronger about the economic fallout of coronavirus.

Morgan Stanley in a note on March 17, warned investors that the seismic waves of COVID-19 are likely to trigger a global recession.

S&P Global Ratings on Wednesday lowered India's economic growth forecast to 5.2 percent for 2020, saying the global economy is entering a recession amid the coronavirus pandemic.

On Tuesday, Moody's Investors Service had lowered India's economic growth forecast for 2020 to 5.3 percent (from 5.4 percent), on coronavirus impact on the economy.

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