India’s investable value stock universe is showing signs of stabilising after a steep decline during the market’s previous bull run, creating fresh opportunities in energy, metals and select financial sectors. The proportion of value stocks among the top 1,000 companies by market capitalisation has risen to 13% in August 2026 from 11% in 2024, according to a report by ICICI Securities.

“Post 2024, there were two episodes — the US tariff fear in 2025 and the West Asia crisis in 2026 — that sparked a moderate expansion in the universe of value stocks,” ICICI Securities said. Subsequent market rallies, however, reversed part of that improvement.

, Oil India, NMDC, BPCL, Hindalco Industries, NALCO, Just Dial and Petronet LNG.. Why the stock market may still struggle to rallyThe 10 stocks on the screenVedanta has the highest earnings yield among the 10 stocks at 20%, followed by ONGC at 17% and Indian Oil at 15%.

BPCL and Hindalco Industries both have an earnings yield of 11%. Small caps remain the weak linkThe decline in the value stock universe was led largely by small caps.

The number of investable value stocks in the small-cap segment fell from 230 in March 2022 to 87 in August 2026. By comparison, the large-cap universe has remained broadly stable.

Large-cap investable value stocks stood at 24 in August 2026, compared with 23 in March 2022. Mid-cap value stocks declined from 26 to 16 over the same period.

The sector composition has also changed materially. Financial services and banks currently account for the largest pools of qualifying stocks, with 19 names each in August 2026.

Industrials account for 15, consumption for 12, metals for 11, energy for 10 and IT for 10. Materials, once among the largest contributors, fell from 53 qualifying stocks in March 2022 to nine in August 2026.

Healthcare declined from 16 to three, while automobile and components fell from 14 to five. Earnings could improve the value universeICICI Securities said a rising corporate profit cycle could help increase the number of stocks meeting its value criteria.

“The current phase of a range-bound market is driven by concerns of elevated geopolitics; alongside, a rising corporate profit cycle may improve the tally of investable value stocks ahead,” the report said. The brokerage also cautioned that a further rise in global bond yields could make it harder for stocks to qualify as value investments, since the earnings-yield hurdle would increase.