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Premier Energies to Tega Industries: Capital goods stocks surge on August 20; what do analysts predict next?
3 min read | Updated on August 20, 2026, 15:19 IST
SUMMARY
Capital goods stocks surged on Thursday, August 20, as investors focused on the growth potential amid the US Treasury’s latest buyback move, which eased global bond yields.
BSE Capital Goods index rose 0.60% or 478 points to their intraday high of 79,565.23 points on Thursday, August 20. | Image: Shutterstock
Capital goods stocks like Premier Energies, Tega Industries, HBL Engineering, among others surged during the trading session on Thursday, August 20, as investors focused on the positive growth potential in the upcoming period amid an overall recovery of the broader indices.
On Thursday’s market, the benchmark indices ended its seven day losing streak trading higher, mirroring the gains from the Asian markets as heavyweight and sector-specific stocks remained in focus of investors.
BSE data showed that the Sectoral benchmark capital goods index rose 0.60% or 478 points to their intraday high of 79,565.23 points during Thursday’s market, in comparison to 79,087.29 points in the previous equity market close.
Investors were also focused on the US Treasury’s latest announcement of at least doubling the bond buybacks of 10 to 30-year notes at a time when the yields surged to their highest levels since 2007.
This move in turn cooled down the global bond yields on Thursday’s market benefitting capital intensive sectors and companies lowering their borrowing costs in the market.
Top capital goods stocks today
| Company Name | Current market price | Intraday returns | 5-day returns | 1-month returns |
|---|---|---|---|---|
| Tega Industries | ₹1,777 | +6.3% | 6.4% | 9.7% |
| Emmvee Photovoltaic Power | ₹327 | +7.15 | 1% | -2.6% |
| HBL Engineering | ₹712 | +5.9% | 2.5% | -2.75 |
| Carborundum Universal | ₹1,138 | +5% | -3.95 | 4.75 |
| Premier Energies | ₹1,045 | +4.7% | 0.8% | -3.8% |
| Kirloskar Oil Engines | ₹2,150 | +4.6% | 4.3% | -3.2% |
| CG Power | ₹872 | +1.4% | -1.6% | -4.4% |
| Kaynes Technology India | ₹3,855 | +2% | 2.6% | 16% |
What are key things analysts predict?
Analysts from leading Sydney-based investment company, Macquarie Group, said that the capital goods companies recorded strong revenue growth in the April to June quarter (Q1) returns for the financial year 2026-27, despite margin pressures.
“Q1 saw strong revenue growth and robust backlog accretion, though margin pressure persisted with mixed order intake,” said Macquarie analysts.
Looking ahead, the experts predict that the public capital expenditure (capex) outlook, although slowing, remains supportive, while the broad-based private capex momentum strengthens in the market.
The companies will also be benefiting from the rising exports adding another dimension given the long-term visibility outlook. The analysts also expect the grid equipment and defence product makers to stand out as key areas in focus of investors.
However, key risks due to the geopolitical conflict in West Asia and higher commodity prices in the market remain which can potentially impact the company’s raw material cost, in turn increasing the overall expenses in the period.
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