Synopsis: Morgan Stanley’s MSCI ETF sold stakes in Orient Electric and Rain Industries as part of rebalancing. It offloaded 12.63 lakh shares of Orient Electric worth Rs 20.77 crore and 17.83 lakh shares of Rain Industries valued at Rs 18.92 crore, reflecting strategic portfolio adjustments.
Known for providing exposure to leading companies across sectors, a major global exchange-traded fund recently trimmed its holdings in two notable Indian firms. The portfolio adjustment, involving reductions in Orient Electric and Rain Industries, reflects the fund’s rebalancing move under the MSCI index by Morgan Stanley ETF MSCI.
Stocks To Watch:
1. Orient Electric
Orient Electric Limited, part of the renowned CKA Birla Group, makes electrical consumer products like fans, lighting, home appliances, and switchgear. It operates from multiple Indian factories and exports fans to over 30 countries. The company is known for innovative, energy-efficient products and serves over 1,25,000 retail points in India.
Orient Electric Limited’s stock, with a market capitalisation of Rs. 3,967 crores, rose to Rs. 193.88, hitting a high of up to 16.6 percent from its previous closing price of Rs. 166.21. Furthermore, the stock over the past year has given a negative return of 18.9 percent.
The iShares Core MSCI Emerging Markets ETF sold 12.63 lakh shares, representing 0.59% of market value at Rs 164.45 each. The total worth of this deal is approximately Rs. 20.77 crore.
Revenue in Q2FY26 rose 6.5% YoY to Rs. 703 crore from Rs. 660 crore in Q2FY25, but declined 8.6% QoQ from Rs. 769 crore in Q1FY26, indicating moderate sequential weakness after a strong start to FY26. The company’s 3-year sales CAGR stands at 8%, reflecting steady long-term growth momentum.
Net profit increased 20% YoY to Rs. 12 crore in Q2FY26 from Rs. 10 crore but fell 33% QoQ from Rs. 18 crore, implying margin pressure sequentially. Over three years, profit CAGR has declined by 13%, while ROE has shown resilience with a 12% CAGR.
2. Rain Industries
Rain Industries Limited is a leading global manufacturer of carbon products, cement, and chemicals. Founded in 1974, it supplies essential materials like calcined petroleum coke and coal tar pitch worldwide. The company operates international plants and serves industries including aluminum and wood preservation. It also produces cement, focusing on sustainable growth and expanding capacity globally.
Rain Industries Limited’s stock, with a market capitalisation of Rs. 3,699.80 crores, rose to Rs. 110.95, hitting a high of up to 4.7 percent from its previous closing price of Rs. 105.96. However, the stock over the past year has given a negative return of 27 percent.
The iShares Core MSCI Emerging Markets ETF sold 17.83 lakh shares at Rs. 106.13 per share, resulting in a deal value of approximately Rs. 18.92 crore. This transaction represents a 0.53% of company worth.
Revenue in Q2FY26 increased 13.7% year-over-year (YoY) to Rs. 4,476 crore from Rs. 3,934 crore in Q2FY25, while the quarter-over-quarter (QoQ) growth was 1.7% from Rs. 4,401 crore in Q1FY26. This indicates healthy YoY growth with stable sequential performance over the last quarter.
Net profit turned positive at Rs. 130 crore in Q2FY26 versus a loss of Rs. 155 crore in Q2FY25, reflecting a significant turnaround. QoQ profit rose 56.6% from Rs. 83 crore in Q1FY26, showcasing strong improvement in profitability both annually and sequentially. This comparison of QoQ and YoY performance highlights accelerating operational momentum and effective cost management.
Written by Fazal Ul Vahab C H
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