5 Energy Stocks Bought by FIIs in March 2026 Quarter

#2 Indian Oil Corporation (IOC)

Next on the list is Indian Oil Corporation Ltd.

IOC is India's largest commercial enterprise by revenue and the country's biggest oil refiner. It operates 11 refineries, owns an extensive pipeline network, and runs the IOCL petrol pump brand that is practically ubiquitous on Indian highways.

The company also has meaningful interests in petrochemicals, natural gas, and renewable energy.

In the March 2026 quarter, FII holding in IOC posted the highest absolute increase on this list.

IOC saw the highest absolute increase in holdings of FIIs on this list, with foreign institutions adding 1.27% over the quarter. That is a meaningful move, particularly for a company where institutional ownership was already being watched carefully.

IOC had gone through a period of earnings pressure in the recent past, partly from regulated fuel pricing dynamics and partly from the lag between the crude price and the retail price.

But with the operating environment stabilizing and the company investing meaningfully in expanding capacity and cleaner energy alternatives, the fundamental picture has improved.

For foreign investors, IOC's sheer scale makes it hard to ignore. It's the kind of company where even modest improvement in operating conditions translates into significant earnings move. The FII uptick suggests global investors believe that improvement is now underway.

#3 Oil and Natural Gas Corporation (ONGC)

Third on the list is Oil and Natural Gas Corporation Ltd.

ONGC is India's largest upstream oil and gas company, meaning it is in the business of exploring and producing oil and gas, rather than refining or distributing it.

It accounts for a significant portion of India's domestic crude oil and natural gas output and holds a major stake in HPCL, giving it downstream exposure as well.

In the March 2026 quarter, FII holding in ONGC moved upward.

ONGC is a stock that often divides opinion among investors. On one hand, it sits on enormous reserves, generates substantial cash flows, and pays a healthy dividend.

On the other hand, its performance is closely tied to global crude prices, which are inherently difficult to predict.

What has changed recently is geopolitical lens. With energy security becoming a priority conversation globally, the strategic value of a company like ONGC which directly controls India's domestic oil production has been re-evaluated.

FIIs increasing their stake here suggests they see the current valuation as attractive relative to what the company could deliver if oil prices remain supported, or if India's domestic gas pricing reforms continue to move in ONGC's favor.

#4 JSW Energy

Fourth on the list is JSW Energy Ltd.

JSW Energy is one of India's leading private sector power generation companies.

Unlike the others on this list, it has no exposure to oil or gas, its story is squarely in electricity, and increasingly in the clean energy transition.

The company generates power from thermal, hydro, and renewable sources, and has been aggressively expanding its renewables capacity as part of a long-term shift toward greener assets.

In the March 2026 quarter, FII holding in JSW Energy ticked upward.

The move is modest in absolute terms, but it comes against a backdrop where JSW Energy has been executing on an ambitious capacity addition plan.

India's power demand is growing faster than its grid can comfortably handle, and companies with the ability to add capacity at scale especially in renewables and they are sitting in the right place at the right time.

JSW Energy is also building out adjacent businesses in energy storage, which is becoming increasingly important as the grid absorbs more intermittent solar and wind power.

For FIIs who track the global energy transition, this is a familiar playbook and JSW Energy is one of the better-positioned Indian companies to benefit from it.

#5 NTPC Ltd

Last on the list is NTPC Ltd.

NTPC is India's largest power generation company and a Maharatna public sector undertaking under the Ministry of Power.

It's the backbone of India's electricity supply, operating coal-based, gas-based and increasing renewable power plants across the country. If India's energy story has a central character, NTPC is probably it.

In the March 2026 quarter, FII holding in NTPC moved up steadily.

NTPC's FII holding is already among the highest on this list and continues doing so. That tells you something about how global investors view the company not as a discovery but as a conviction holding that they keep adding to over time.

What NTPC offers is something the market rarely gives you freely, that is visibility. Its power purchase agreements with state utilities lock in revenues over long periods, its project pipeline is well-disclosed, and its capacity addition targets are backed by the full weight of the Indian government.

The transition story is real too, NTPC has set out a substantial renewables target, and progress has been consistent.

For institutions with long investment horizons, NTPC is one of those rare businesses where the risk-reward is relatively straightforward to articulate. The FII interest here reflects that simplicity.

Conclusion

Energy is not a glamorous sector. It doesn't generate IPO excitement or viral social media moments, but it is foundational and when FIIs begin adding positions in five very different energy companies at the same time, it's worth paying attention to the message.

The reasons differ by company. BPCL and IOC benefit from refining margins and scale. ONGC offers exposure to domestic crude production and energy security. JSW Energy is positioned for India's clean energy build-out and NTPC provides the kind of long-duration revenue visibility that institutional investors find genuinely rare.

What connects them is a broader backdrop: India's energy demand is growing, the government is investing in energy self-sufficiency, and global investors who understand commodity cycles and infrastructure businesses are finding value at current levels.

That said, buying by FII is a signal worth noting but not a substitute for your own analysis.

Valuations across parts of the energy sector have re-rated meaningfully over the past two years.

The question, as always, is not just whether these are good businesses, but whether the current price reflects that goodness fairly. That is the homework every investor must do for themselves.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. Learn more about our recommendation services here...