Nifty-500 Q2FY26 Earnings: Mid- and Small-Caps Lead Strongest Quarter Since FY25

The Nifty-500 index delivered its strongest earnings growth in five quarters, driven by mid- and small-cap companies. Mid-cap earnings surged 27% YoY, while small-cap earnings jumped 37% YoY. Oil & gas, NBFCs, metals, cement, and telecom sectors contributed significantly to the earnings beat. However, valuations in small and mid-cap companies remain elevated, raising concerns about sustainability.