As the Nifty50 continues to climb historic highs, stocks in the commodities, IT and finance sectors dominated the bullrun during the benchmark index’s journey from 10,000 to 15,000 points.

A report by Motilal Oswal Financial Services showed that Tata Motors, IndusInd Bank and Bajaj Finance were the top gainers during the period (June 2020-2021). JSW Steel and Tata Steel held the fourth and fifth spots, while IT major Wipro and PSB giant State Bank of India were the sixth and seventh top gainers.

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The ‘India Strategy Report’ noted that in the first leg of the up move from 7,600 to 10,000, Reliance Industries, along with pharma and auto stocks, led the gains.

“In the first leg of the up move from 7,600 to 10K — RIL, pharma and auto names dominated. In the second leg of the rally from 10K to 15K, commodities, IT, and financials dominated,” said the report.

However, the laggards in both lists were PSUs and consumer stocks.

The report noted that the market rally in the last three months was characterised by a sharp outperformance in cyclicals like BFSI, auto, and infrastructure, while safe havens like FMCG, IT, and pharma underperformed.

“With management commentary suggesting a pick-up in capex and capacity utilisation, and the budget providing a boost to capex, cyclicals and capex-oriented plays can remain in favor. 3QFY21 earnings are being driven by cyclicals,” it said.

It noted that the third quarter of FY21 has seen blockbuster earnings, with a broad-based beat and earnings upgrade.

“Based on 131 companies, which have reported their earnings, sales/EBIDTA for the MOFSL Universe is in line, while PBT/PAT is above our expectation,” it said, adding that the beat is across sectors and consequential earnings upgrades are also broad-based with the upgrade-to-downgrade ratio at ‘3x’.