February 5, 2026, presents a complex trading day for Indian equities, dominated by a substantial liquidity event, significant regulatory scrutiny, and mixed corporate earnings.
### The NSDL Liquidity Surge
The primary market focus shifts to National Securities Depository Limited (NSDL), as 149.2 million shares, representing 75% of its total equity, are set to become available for trading. This unlock follows the expiration of a six-month shareholder lock-in period. At Wednesday's closing prices, this influx of shares is valued at an estimated ₹14,875 crore, introducing considerable liquidity that could influence trading dynamics for the depository firm.
### Mixed Earnings: Apollo Tyres Shines on Margins
Amidst a generally varied earnings season, Apollo Tyres emerged as a strong performer, reporting a 39.6% surge in net profit to ₹470.5 crore on an 11.8% revenue increase to ₹7,743 crore. The company's operational efficiency was evident in its EBITDA, which grew 25.3% to ₹1,185 crore, driving margins to 15.3% from 13.7% in the prior year. While this performance signals robust demand and execution, its current trailing twelve-month P/E ratio hovers around 40.7x. This valuation appears stretched when compared to industry peers like MRF (P/E ~31.3) and CEAT (P/E ~28.5), suggesting that much of its growth may already be priced in. The company's market capitalization stands at approximately ₹32,000 crore.
### Tata Power: Profit Resilience Masks Revenue Decline
Tata Power Company reported a marginal 0.6% rise in net profit to ₹1,194 crore for the third quarter, a performance that belies a significant 9.4% decline in revenue to ₹13,948 crore and a 9% drop in EBITDA to ₹3,055 crore. The operational impact of the non-operational Mundra plant continues to weigh on top-line figures. Despite robust renewable energy segment growth, the overall revenue contraction highlights challenges in core operations. The company's P/E ratio is approximately 29.36x, with a market capitalization around ₹1,18,723 crore.
### IndiGo Faces Regulatory Heat as Rivals Gain Share
IndiGo finds itself under investigation by the Competition Commission of India (CCI) for alleged unfair business practices, particularly concerning flight cancellations that caused widespread operational disruptions. DGCA data reveals a sharp decline in IndiGo's market share, falling to 59.6% in December from 63.6% in November, its lowest in two years. This period of instability allowed competitors to gain traction. The Air India Group bolstered its share to 29.6% from 26.7%, while Akasa Air increased its stake to 5.2% from 4.7%. IndiGo's current P/E is around 25.76x, with a market capitalization of INR 1.02 trillion.
### Tech Sector on Edge Amidst AI Uncertainty
Technology stocks are expected to remain under pressure following recent sell-offs driven by anxieties over rapid advancements in artificial intelligence. Fears that new AI tools could disrupt established software business models, impact pricing power, and fundamentally alter future earnings projections have unsettled investor sentiment, creating a cautious outlook for the sector.
### Other Corporate Developments
Tata Group retailer Trent reported a solid 14.8% revenue growth, with EBITDA rising 27.6% to ₹1,081.7 crore, exceeding analyst expectations and expanding margins to 20.2%. However, its P/E ratio remains exceptionally high at approximately 78.9x. Marico announced a strategic move into the wellness sector, acquiring 60% of Cosmix Wellness for ₹375 crore. Sterlite Technologies' board is scheduled to meet on February 7, 2026, to discuss potential fund-raising through share issuance or convertible securities. Meanwhile, NHPC faced significant operational setbacks, canceling a joint venture and withdrawing a director, accompanied by an 80% drop in EBITDA and a drastic margin contraction.