Synopsis:
These Large-cap companies in the food & beverages, industrial engines, real estate, pharmaceuticals, and defense electronics sectors that are actively reducing their debt. Lower leverage improves financial stability, frees cash for growth, and enhances investor confidence.
Large‑cap companies reducing their debt levels signal improved financial health and lower risk. When top‑tier firms actively trim borrowings, they free up cash flow for growth, lower interest expenses, and bolster investor confidence. Identifying such large‑cap stocks that are lowering debt offers a strategic lens for selecting potential winners in a market environment where leverage matters.
Some large-cap companies like Nestle India, Cummins India, DLF, and two more are focusing on reducing debt to strengthen their balance sheets. By lowering borrowings, these companies improve financial stability, reduce interest costs, and create more room for growth initiatives.
Nestle India Ltd
Nestle India is the Indian subsidiary of the global food and beverage giant Nestlé. It produces and markets dairy products, beverages, prepared dishes, confectionery, and other packaged foods under popular brands like Maggi, KitKat, and Nescafé. The company has multiple manufacturing facilities and an extensive distribution network across India.
With market capitalization of Rs. 2,44,770 cr, the shares of Nestle India Ltd are closed at Rs. 1,269.35 per share, from its previous close of Rs. 1,274.80 per share. Debt of the company has decreased from Rs. 1,167 cr in Q4FY25 to Rs. 477 cr in Q2FY26. Debt to equity ratio is 0.10.
Cummins India Ltd
Cummins India manufactures diesel and natural gas engines, power generation systems, and related components. It serves commercial vehicles, industrial machinery, railways, marine, defense, and mining sectors. The company is part of the global Cummins Inc. group and operates a network of manufacturing and service facilities in India.
With market capitalization of Rs. 1,18,740 cr, the shares of Cummins India Ltd are closed at Rs. 4,283.55 per share, from its previous close of Rs. 4,363.65 per share. Debt of the company has decreased from Rs. 30 cr in Q4FY25 to Rs. 24 cr in Q2FY26. Debt to equity ratio is 0.
DLF Ltd
DLF is one of India’s largest real estate developers, involved in residential, commercial, retail, and hospitality projects. It manages the full development cycle from land acquisition to project execution and marketing, with a presence in multiple cities across India.
With market capitalization of Rs. 1,89,497 cr, the shares of DLF Ltd are closed at Rs. 765.55 per share, from its previous close of Rs. 764.50 per share. Debt of the company has significantly decreased from Rs. 4,103 cr in Q4FY25 to Rs. 1,777 cr in Q2FY26. Debt to equity ratio is 0.04.
Torrent Pharmaceuticals Ltd
Torrent Pharmaceuticals is an Indian multinational pharmaceutical company that develops, manufactures, and markets generic formulations and active pharmaceutical ingredients (APIs). Its products cover therapy areas such as cardiovascular, central nervous system, gastro-intestinal, and diabetology. cardiovascular, central nervous system, gastro-intestinal, and diabetology.
With market capitalization of Rs. 1,29,947 cr, the shares of Torrent Pharmaceuticals Ltd are closed at Rs. 3,839.70 per share, from its previous close of Rs. 3,825.40 per share. Debt of the company has decreased from Rs. 3,202 cr in Q4FY25 to Rs. 2,822 cr in Q2FY26. Debt to equity ratio is 0.33.
Bharat Electronics Ltd
Bharat Electronics (BEL) is a government-owned Indian company in the aerospace and defense electronics sector. Headquartered in Bengaluru, it produces radars, weapon-system electronics, satellite communication equipment, and other high-technology defense electronics. It holds “Navratna” status under the Indian government.
With market capitalization of Rs. 3,12,091 cr, the shares of Bharat Electronics Ltd are closed at Rs. 426.95 per share, from its previous close of Rs. 419.80 per share. Debt of the company has decreased from Rs. 61 cr in Q4FY25 to Rs. 59 cr in Q2FY26. Debt to equity ratio is 0.
Written by Manideep Appana
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