In investing, few signals are as powerful as the united conviction of promoters, foreign institutional investors (FIIs), and domestic institutional investors (DIIs). In the June quarter, 21 companies earned this vote of confidence from the ‘holy trinity’ — even though their recent price performance has been subdued.

When all three increase their stakes in a company, it usually means they believe in its business, growth story, and long-term value. According to experts, this indicates that investors are quietly buying more shares, drawn by attractive prices.

In Autoline Industries, promoter shareholding increased by 343 basis points in Q1, while DIIs significantly increased their stake by 500 basis points. FIIs also inched up their holding, though by a modest 5 bps. The stock, however, has fallen 35% in 2025 so far.

In Zee Media Corporation (30% YTD fall), promoters boosted their stake by 228 bps, accompanied by a 50 bps rise in DII holdings and a notable 232 bps increase from FIIs.

Meanwhile, in Nahar Poly Films, which has gained 15% this year, promoters rose 2 bps of stake, while FIIs and DIIs increased 7 bps and 30 bps stake respectively.

Promoters rose 94 bps stake in Bandhan Bank (4% YTD gain); meanwhile, FII and DII increased stake in the banking stock by 161 bps and 2 bps, respectively. Other stocks that attracted the trio’s interest in the June quarter included Jindal Steel & Power, Rain Industries, Dhampur Sugar Mills, Ambika Cotton Mills, and Aavas Financiers.

Why This Matters

According to Kranthi Bathini, Director-Equity Strategy at WealthMills Securities, promoters buying their company shares is always a positive indicator. It shows their confidence in the medium-to-long-term business prospects. When FIIs and DIIs — the key investment channels — also participate, it reinforces the belief in the company’s potential. This combination further gives investors a clear signal of underlying strength.

Market-Wide Trends

However, in stark contrast to the above data, the private promoter shareholding in Indian markets fell to an 8-year low of 40.58% in June 2025 from 40.81% in March, with net sales of Rs 54,732 crore, per PRIME Database.

While promoter buying signals confidence, selling can stem from reasons like profit-taking, debt reduction, or meeting regulatory norms, according to Pranav Haldea, Managing Director, PRIME Database Group

FII shareholding also slipped to a 13-year low of 17.04% despite net inflows of Rs 38,674 crore, while DII holdings hit a record 17.82% after Rs 1.68 lakh crore in net investments. This rare alignment of promoter, FII, and DII buying suggests strong underlying confidence and potential long-term opportunities.