FIIs bought these banking and healthcare stocks in Q2 which was marked by heavy selling
The Q2FY26 period was marked with Foreign Institutional Investors offloading a lot of Indian equities. However, the two following stocks were marked by significant investment from foreign investors.
Kolkata: Common retail investors regularly follow the purchase patterns of big institutions. both domestic and foreign. They scrutinize which stocks are being picked up by big domestic investors such as LIC and foreign investors, who arguably possess superior stock picking skills compared to ordinary individuals. The July-September quarter was a turbulent one from the point of view of investors when global headwinds and tepid Q1 profits unnerved a lot of FIIs, who offloaded a large volume of Indian equities.
However, even in the midst of this heavy selling, foreign investors bought two stocks, state reports. These are in diverse fields and merit a close look. One stock is in banking and the other is in health-insurance tech. NSDL figures show that FIIs sold Indian stocks worth more than Rs 76,600 crore in the Q2FY26 period but have bought these shares. Let's have a closer look at them..
Yes Bank
FIIs have invested the most in this stock in Q2FY26. FII stake jumped by as much as 20 percentage points. At the end of the Sept quarter, FII stake rose to 44.95% as a result. Sumitomo Mitsui Banking Corporation has picked up a total 24.2% stake in it and is now the largest shareholder in this private bank. Now it is the sixth largest private bank as per market cap.
In Q2, India Ratings & CRISIL upgraded the credit rating of the bank to AA-, making it the highest rating since March 2020. It signals all-round improvement from management standards to business performance. It has flagged off 43 new branches in the country in Q2FY26. The bank also got flak for illegal loans of about Rs 3,000 crore given to the Anil Ambani Group a decade ago.
During Q2FY26, Net Interest Income rose to Rs 2,301 crore from Rs 2,200 crore in Q2FY25. Loans in retail banking rose by 2.4% (YoY) in Q2FY26 compared to Q@FY25. Commercial banking loans went up from Rs 53,610 crore to Rs 62,430 crore in the same period and loans to corporate clients rose from Rs 63,573 in Q2FY25 crore to Rs 66.980 crore in Q2FY26. Net non-performing asset declined from 0.5% in Q2FY25 to 0.3% during this July-Sep quarter, though gross NPA was at the same level of 1.6%.
Stock valuation
The Yes Bank stock is trading at a PE ratio of 25x, which is higher than the industry median of 14.7x, indicating a premium valuation of the company.
Medi Assist Healthcare Services
Medi Assist Healthcare Services is in the business of health-tech and insurance-tech services. The FII stake in this company went up by 11.94% points, taking the total holding to 25.83% at the end of Q2FY26 period. Massachusetts Institute of Technology (MIT) was one of the FIIs that bought a 3.89% stake in Q2FY26. It manages health insurance for employers, retail members, and public health schemes by collaborating with different insurance companies. It has a 32.2% market share in the group insurance business, as at the end of Q2FY26. In the retail segment, the company has a market share of 5.3%.
The portfolio of tools and technology that Medi Assist Healthcare Services offers includes the following:
MAven Navigator: Calculates out-of-pocket expenses estimates
Raksha Prime: Enhances checkouts and discharge processes
Maven Insights: Tool for analysing consumption patterns
Maven Global: Proprietary global benefits management technology platform with multi-currency caps, global payment gateway integration, and geographic benefits.
Consent Feature: Designed to make services efficient and reduce customers grievances.
In Q2FY26, sales jumped by 28.64% (YoY) and reached Rs 232.55 crore from Rs 180.77 crore in Q2 a year earlier. Net profit in Q2FY26 declined to Rs 8.07 crore from Rs 21 crore in Q2FY25.
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