Sensex falls 1,283 points as Q4 results hit tape

Markets extend losses to a fourth session

Indian equities stayed under pressure, extending the selloff to a fourth straight session. The BSE Sensex dropped 1,283 points, or 1.69%, to close at 74,732. The Nifty 50 slid 436 points to end at 23,379, as per NSE data and Trading Economics. The move kept the focus firmly on earnings and stock-specific reactions rather than broad-based buying.

What set the tone during the selloff

The session reflected weak risk appetite, with investors tracking quarterly results and sector-specific cues. Banking stocks were flagged as the primary drag in the broader narrative around the week’s volatility. In contrast, pockets of buying in select counters were noted as providing partial support in earlier sessions, even as the overall trend remained negative.

Five stocks in sharp focus as Q4 updates land

Airtel, Tata Motors, Dr. Reddy’s, NTPC, and Dixon Technologies were highlighted as key names in focus. For Airtel and Tata Motors, attention centred on Q4 FY26 results slated for the day, with boards meeting on May 13. For Dr. Reddy’s and Dixon, results had already been declared on May 12, shifting the focus to how the numbers compared with expectations. NTPC stood out as a “defensive play” amid the selloff, backed by relative outperformance versus the Nifty on May 12.

Dr. Reddy’s Q4 FY26: sharp profit miss, margin compression

Dr. Reddy’s declared Q4 FY26 results on May 12, showing a steep year-on-year drop in profitability. Consolidated PAT fell 86% year-on-year to ₹221 crore versus ₹1,587 crore in Q4 FY25. Analysts had estimated ₹1,035 crore, making the miss significant versus expectations cited in the report. Revenue fell 11.5% to ₹7,546 crore.

EBITDA declined 60% to ₹980 crore and the EBITDA margin dropped to 13% from 29.1%. North America revenue fell 51% to ₹1,756 crore, with the article noting that lenalidomide exclusivity ended on January 31, 2026. The combination of a revenue drop, lower EBITDA, and the margin reset put the stock’s earnings quality in focus for the market.

Airtel and Tata Motors: key estimates ahead of results

For Bharti Airtel, the market’s attention was on operational metrics and India revenue expectations. The estimates cited included ARPU of ₹256, up 4.4% year-on-year, and India revenue of ₹39,751 crore. For Tata Motors, the focus was on profitability and the JLR margin band. The cited estimates pegged PAT at ₹7,500–8,500 crore and JLR EBIT margin at 8.5–10%.

NTPC and Dixon: defensives and margin watch

NTPC was framed as a defensive name during the drawdown, with intraday trading cited at ₹391–₹399 on May 12. The stock was also described as up 0.60% versus the Nifty’s -1.86% on the same day, based on NSE intraday data. Dixon Technologies’ Q4 FY26 numbers were already out, with attention on operating profitability. The cited datapoint was an EBITDA margin of 4.0%, down 40 basis points year-on-year.

Weekly sector snapshot: SBI-led volatility in financials

The article also pointed to Friday, May 8 as the most volatile session of the week. Banking stocks sold off after SBI’s Q4 results, with Axis Bank down 1.8%, HDFC Bank down 1.8%, and ICICI Bank down 1.0% in that session’s snapshot. Titan’s 4.8% surge was described as partially offsetting the financial-sector drag. By that Friday’s close, the Sensex was reported at approximately 77,328, down 0.7% on the day but still positive for the week.

Another reference point: May 8 close and SBI stock reaction

In a separate market wrap included in the text, benchmark indices closed lower on Thursday with banks as the biggest drag. The Sensex closed at 77,328.19, down 516.33 points or 0.66%, and the Nifty50 settled at 24,176.15, down 150.50 points or 0.62%. SBI fell 6.74% to close at ₹1,018.40 after weaker-than-expected Q4 earnings, with pressure on treasury income cited as a key factor. The report also cited SBI net profit of ₹19,684 crore (+5.6% YoY) and record FY26 PAT of ₹80,032 crore, while noting a stock decline linked to a sharp fall in non-interest income.

Key numbers at a glance

Market impact and what investors tracked

The selloff left investors balancing two competing forces: index-level risk-off sentiment and stock-specific earnings swings. Banking and financials were repeatedly cited as the key source of downside pressure, especially around SBI’s results and the spillover into other lenders. At the same time, earnings season kept attention tightly focused on company-level metrics such as Airtel’s ARPU, Tata Motors’ JLR margins, and Dixon’s margin trend. In pharma, Dr. Reddy’s sharp earnings miss and the North America revenue drop were central to the day’s scrutiny.

Conclusion

Indian markets remained weak, with the Sensex and Nifty ending sharply lower as the losing streak extended. With multiple Q4 FY26 results and updates landing, trading focus stayed on how reported numbers and key operating metrics compare with estimates over the next set of earnings releases.