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FIIs and DIIs are boosting stakes in Marathon NextGen Realty and Vishal Mega Mart, signalling strong growth potential as both firms report rising profits and expanding presence
Both companies have reported rising profits and expanding presence in the market.
In the world of equity markets, two sets of investors have the power to move prices in either direction, foreign institutional investors (FIIs) and domestic institutional investors (DIIs). Typically, their strategies rarely align. When one side turns buyer, the other often chooses to book profits. But on rare occasions, when both begin investing heavily in the same companies, it sends a strong signal to the market about the growth potential ahead.
Currently, both FIIs and DIIs are showing unusual unanimity. They are steadily increasing their stakes in two listed firms, Marathon NextGen Realty Ltd and Vishal Mega Mart, a development that has caught the attention of market watchers. Analysts say such synchronised buying often indicates a strong long-term bet, given that both sets of investors carry out deep evaluations before committing funds.
Marathon NextGen Realty
Marathon NextGen Realty, a Mumbai-based developer, has projects ranging from affordable housing to luxury apartments and commercial office spaces across Maharashtra. The company’s land bank exceeds 400 acres, giving it ample scope for future developments.
The June 2025 shareholding pattern reveals a sharp rise in institutional interest. DIIs, who held just 2.31% in March 2025, have now raised their stake to 16.66%. FIIs have also gone from less than 1% earlier this year to 9.9% by June. This combined buying spree has helped lift market sentiment around the stock.
On August 26, shares of Marathon NextGen closed at Rs 630.35. The company’s latest quarterly results showed a sharp improvement in profitability. Net profit jumped from Rs 38 crore to Rs 62 crore year-on-year, even though revenue from sales dipped slightly. Higher property bookings and improved margins are being viewed as signs of strong operational efficiency. Analysts suggest these factors are prompting large investors to consider the stock a long-term growth story.
Vishal Mega Mart
The other company attracting equal attention is Vishal Mega Mart, one of India’s largest retail chains catering primarily to middle and lower-middle-income consumers. With over 700 stores across the country, the retailer sells everything from groceries and household items to clothing and electronics.
Like Marathon NextGen, Vishal Mega Mart has also seen a significant rise in institutional ownership. DIIs have nearly doubled their stake, from 12.22% in March 2025 to 27.31% by June. FIIs, too, increased their holdings, moving from 7.03% to 12.85% over the same period.
On August 26, Vishal Mega Mart shares ended at Rs 153.14. A major driver of profitability has been the company’s focus on private-label products, which now contribute 76% of total sales. This strategy has helped cut costs and improve margins. Additionally, the retailer has been aggressively expanding into smaller towns with compact-format stores, further boosting revenue growth.
In the June quarter, Vishal Mega Mart reported more than 20% growth in sales, while net profit surged 37%. Analysts believe its ability to capture rural and semi-urban demand will be a key advantage in the years ahead.
What It Means For Investors
Market experts say that when both FIIs and DIIs converge on the same stocks, retail investors take notice. Such moves are often interpreted as a sign of strong fundamentals and growth potential. However, analysts also caution that retail investors should not blindly follow institutional strategies, since risk factors remain in every sector.
Disclaimer: This article is for informational purposes only. Investors are advised to consult a certified financial advisor before making any investment decisions. News18 will not be responsible for any financial gains or losses arising from investments in these stocks.
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