Sensex Rejig: Trent Faces Possible Ouster, Two Stocks Emerge as Contenders

Sensex Rejig: Trent May Be Replaced by Hindalco or Shriram Finance

The upcoming rejig of the BSE barometer Sensex is expected to bring changes to the index, with analysts at Nuvama Alternative & Quantitative Research predicting that Tata group stock Trent could be replaced by either Hindalco or Shriram Finance. The reshuffle, set to come into effect next month, is likely to be announced later this week on Friday, 22 May.

According to Abhilash Pagaria, Head - Nuvama Alternative & Quantitative, Trent will likely be excluded from the Sensex rejig in June due to a "relative decline in its free-float market capitalisation following recent underperformance." Trent shares have been in the red over the last one year, shedding 25% of their value. In 2025, it was one of the worst-performing index and Tata group stock with a nearly 40% decline in its value. The sharp gains of almost 26% after the Q4 performance helped cut YTD losses, but the counter remains in the red, down almost 5%.

The exclusion of Trent from Sensex could result in passive outflows of approximately $257 million, according to Nuvama's estimates.

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The brokerage expects either metal player Hindalco or non-banking finance company (NBFC) Shriram Finance to replace Trent in the index. While Shriram Finance leads on free-float market capitalisation, Hindalco has a higher probability of inclusion, as the Index committee’s preference for broader sectoral representation within the BSE universe could drive this decision, Pagaria noted in a note dated 20 May.

The final outcome remains subject to the discretion of the BSE index committee, and despite the methodology framework, there appears to be a degree of subjectivity in the final selection of the potential inclusion candidate.

Hindalco Industries have rallied 63% in the last one year and remain higher by 21% on a YTD basis. As for Shriram Finance, one-year performance is promising with a 40% rise but YTD the stock is down almost 10%.

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The Sensex rejig is expected to come into force on 19 June 2026.