The Indian stock market ended another session in the red, dragged down by a sharp sell-off in large-cap private banking stocks. Axis Bank led the decline after posting weaker-than-expected Q1 results, triggering a broader sell-off across the sector.

The pressure on banking heavyweights, coupled with continued weakness among PSU stocks, led the Nifty 50 to lose 0.56%, settling below 25,000 at 24,968 points, while the S&P BSE Sensex closed the session with a drop of 0.61% at 81,757. Both indices finished the week lower, losing up to 0.90%, which is a third losing week for the indices.

Investors had hoped for a turnaround in earnings by Indian Inc. in Q1FY26, but the initial set of results has been largely muted, leaving little hope for a strong performance in the ongoing earnings season, turning investors to take a selective approach.

In addition, the lack of fresh triggers and ongoing uncertainty around a potential India–US trade deal are also weighing on investor sentiment, which is also clearly reflected in the continued sell-off by foreign portfolio investors (FPIs), who have remained net sellers in most sessions so far in July.

Although optimism emerged earlier this week after domestic inflation fell to a six-year low, raising expectations of another rate cut by the RBI, the softness in credit demand has raised concerns about urban consumption.

Stock that underperformed Indian stock market today

Among the top losers today, Clean Science & Technology emerged as the worst performer, falling 9% to ₹1,318 apiece after the company reported a weaker set of numbers for the June quarter. The disappointing results also prompted target price downgrades by analysts, further weighing on the stock. ICICI Securities downgraded the rating on the stock to ‘Reduce’ from ‘Hold’ and trimmed the target price to ₹1,330 from ₹1,360.

Similarly, shares of Newgen Software Technologies tumbled 6.1% to ₹962.6 apiece after its Q1FY26 results missed analysts’ estimates. Jefferies downgraded the stock to ‘Underperform’ from ‘Hold’ and revised the price target to ₹835 from ₹965.

Alok Industries slipped 5.5% to ₹20.8, marking its biggest single-day percentage loss since April 25, after the company’s losses widened to ₹172 crore in the June quarter from ₹74 crore in the March quarter.

Axis Bank was the top laggard among Nifty 50 stocks, falling 5.2% to ₹ ₹1,099—its largest single-day drop in recent times.

The decline came after the lender’s June quarter results missed market expectations. The bank reported a 3% year-on-year decline in consolidated net profit to ₹6,243.72 crore for Q1FY26, mainly due to changes in norms related to non-performing assets and loan upgrade policies.

Overall, 100 Nifty 500 stocks have ended Friday’s session lower, with losses ranging between 1.5% and 9%, respectively.

Stock that outperformed Indian stock market today

Even as the Indian stock market continued to remain under pressure, some stocks managed to buck the trend. Gujarat Mineral Development Corporation (GMDC) emerged as the top gainer, rallying 14% to ₹435.30, its fresh 52-week high—after reports surfaced that the Prime Minister’s Office (PMO) is likely to hold a key meeting today to address the intensifying rare-earth magnet crisis.

Saregama India shares also ended 4.6% higher at ₹509.3 apiece after the company announced a significant acquisition of the music catalogue and YouTube assets of NAV Records Pvt. Ltd., the largest and most influential player in the Haryanvi music industry.

The deal marks a strategic expansion of Saregama’s regional music portfolio. With this acquisition, the company will take ownership of over 6,500 tracks across genres, including Haryanvi, Punjabi, Ghazals, Devotional, and Indie Pop.

Chennai Petroleum was the third-biggest gainer in the Nifty 500 pack, rising 4.3% to ₹779.4. Meanwhile, shares of Sammaan Capital, PVR INOX, Welspun Living, Dalmia Bharat, Jubilant Pharmova, NMDC, and 20 other Nifty 500 constituents ended with gains of over 1.5%.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.