Top 5 Stocks in which mutual funds increased their stake in Q4 FY26

Synopsis:- Several stocks saw increased mutual fund interest in Q4FY26, with holdings rising across names, such as 26.66% to 29.54%, 0.66% to 1.58%, and 10.78% to 11.36%. While some saw scheme expansion, others witnessed consolidation, reflecting selective accumulation and improving institutional confidence.

Institutional activity often serves as a key signal for broader market sentiment, particularly when mutual funds adjust their holdings across sectors. In the March 2026 quarter, several companies witnessed a noticeable increase in mutual fund ownership, reflecting selective accumulation and growing confidence among professional investors. 

This trend highlights how fund managers are positioning portfolios to capture long-term opportunities while balancing risk through diversification and conviction-driven bets.

HDFC Bank Ltd

HDFC Bank Limited is one of India’s largest private sector banks, offering a wide range of financial services including retail banking, corporate banking, and digital solutions. Known for strong asset quality and consistent growth, the bank focuses on expanding its customer base and strengthening its nationwide presence.

With a market capitalization of Rs 12,47,632 crore, the shares closed at Rs 810 per share, increased around 1.66 percent, as compared to the previous closing price.

Mutual fund participation showed a positive trend in the March 2026 quarter, with holdings rising from 26.66% to 29.54%, indicating increased institutional confidence. Additionally, the number of schemes grew from 734 to 763, reflecting broader participation and strengthening investor interest, which could support better liquidity and market sentiment going forward.

Eternal Ltd   

Eternal Limited is an emerging business entity focused on building scalable operations across its core segments. The company aims to grow through strategic expansion, efficient execution, and market-driven opportunities, positioning itself to capitalize on evolving industry trends and deliver long-term value to stakeholders.

With a market capitalization of Rs 2,32,091 crore, the shares closed at Rs 240 per share, increased around 1.09 percent, as compared to the previous closing price.

Mutual fund holding increased from 26.72% to 28.91% in the March 2026 quarter, indicating stronger institutional confidence in the stock. However, the number of schemes slightly declined from 47 to 45, suggesting some consolidation among funds even as overall exposure increased, reflecting selective but positive investor sentiment.

Chennai Petroleum Corporation Ltd  

Chennai Petroleum Corporation Limited is a key player in India’s refining sector, engaged in processing crude oil into petroleum products. A subsidiary of Indian Oil Corporation, it operates major refineries and focuses on operational efficiency, capacity expansion, and meeting the country’s increasing energy demand.

With a market capitalization of Rs 14,519 crore, the shares closed at Rs 975 per share, decreased around 0.83 percent, as compared to the previous closing price.

Mutual fund holdings saw a notable rise from 0.66% to 1.58% in the March 2026 quarter, signaling growing institutional interest. Additionally, the number of schemes increased from 20 to 24, reflecting broader participation. This combination indicates improving confidence among fund managers and suggests the stock is gradually gaining traction within institutional portfolios.

Canara Bank Ltd  

Canara Bank Limited is a leading public sector bank in India, offering a wide range of banking and financial services. With a strong branch network and growing digital capabilities, the bank focuses on improving asset quality, expanding credit growth, and supporting economic development across retail and corporate segments.

With a market capitalization of Rs 1,27,307 crore, the shares closed at Rs 140 per share, increased around 1.78 percent, as compared to the previous closing price.

Mutual fund holdings increased from 4.37% to 5.01% in the March 2026 quarter, reflecting a steady rise in institutional confidence. Alongside this, the number of schemes grew from 34 to 37, indicating wider participation. The trend suggests improving sentiment among fund managers and a gradual strengthening of the stock’s institutional ownership base.

Finolex Industries Ltd  

Finolex Industries Limited is a prominent manufacturer of PVC pipes and fittings, widely used in agriculture and infrastructure. The company also operates in petrochemicals, producing PVC resin. It focuses on strong distribution, product quality, and capacity expansion to cater to growing demand across domestic markets.

With a market capitalization of Rs 10,194 crore, the shares closed at Rs 164 per share, increased around 1.42 percent, as compared to the previous closing price.

Mutual fund holdings increased from 10.78% to 11.36% in the March 2026 quarter, indicating a rise in overall institutional exposure. However, the number of schemes declined sharply from 20 to 14, suggesting consolidation among funds, where fewer investors are holding larger positions, reflecting selective but stronger conviction in the stock.

Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.

The post Top 5 Stocks in which mutual funds increased their stake in Q4 FY26 appeared first on Trade Brains.