Market Shake-Up: Airtel Surpasses HDFC Bank as Market Cap Hits Rs 11.8 Lakh Crore; Reliance Retains Top Spot

Bharti Airtel has moved past HDFC Bank in stock market rankings, becoming India’s second most valuable listed company. Airtel shares gained over 2% to Rs 1,943 on the BSE, lifting its market capitalisation to about Rs 11.8 lakh crore. HDFC Bank shares dropped more than 2%, pulling its value near Rs 11.7 lakh crore. Reliance Industries still leads with roughly Rs 18 lakh crore.

Bharti Airtel Overtakes HDFC Bank to Become India’s Second Most Valuable Company

This change reflects a shift in investor preference between telecom companies and banks. Over the last five years, Bharti Airtel has delivered a share price gain of about 270%. During the same period, HDFC Bank has returned around 49%. HDFC Bank has also faced pressure from a merger impact, rising competition from public sector banks, and recent concerns around the resignation of its chairman.

Bharti Airtel market capitalisation and peers in the top 10 list

Bharti Airtel’s rise comes within a market where a handful of large firms dominate valuations. After Reliance Industries and Airtel, HDFC Bank now holds the third spot by market capitalisation. The rest of the top 10 list includes ICICI Bank, State Bank of India, Tata Consultancy Services, Bajaj Finance, Larsen & Toubro, Hindustan Unilever, and Life Insurance Corporation of India. These names anchor key indices such as Sensex and Nifty.

Rank	Company	Approx. Market Capitalisation (Rs lakh crore)
1	Reliance Industries	18
2	Bharti Airtel	11.8
3	HDFC Bank	11.7

Bharti Airtel quarterly performance

The new ranking follows Q4FY26 numbers that were mixed but largely in line with market expectations. Airtel’s consolidated revenue and EBITDA were 1–3% higher than estimates from UBS and the wider analyst consensus. However, the growth mix was uneven. Africa operations showed revenue growth of 41% year-on-year, or 17% in constant currency. India Home broadband revenue increased 9.5% quarter-on-quarter, while India mobile revenue grew 8% year-on-year and just 0.6% sequentially, which UBS described as slightly below its forecast.

Bharti Airtel also signalled rising confidence in cash generation with a stronger payout for shareholders. The company declared a dividend of Rs 24 per share for FY26. This compares with Rs 16 per share in FY25 and is higher than consensus expectations of Rs 20. Airtel further announced a share swap deal to increase its holding in Airtel Africa. It will acquire ICIL’s 16.31% stake in Airtel Africa by issuing 146.7 million new Airtel shares to ICIL, implying equity dilution of about 2.4%.

Goldman Sachs continues to rate Bharti Airtel as a Buy, though it has trimmed its 12‑month DCF-based target price to Rs 2,210 from Rs 2,250. The cut reflects weaker prospects in the towers and direct-to-home segments. After reviewing the Q4 results, Goldman increased revenue forecasts for FY27 to FY30 by 1–2%. However, it reduced EBITDA projections by up to 2%, reflecting margin pressures in some businesses.

Bharti Airtel’s move ahead of HDFC Bank, supported by stronger multi-year returns, dividend growth and a larger stake in Airtel Africa, highlights how investors now view large telecom operators. At the same time, HDFC Bank’s slower share performance and ongoing challenges show the changing balance between telecoms and banking among India’s biggest listed companies by market capitalisation.