Gujarat-based companies saw significant profit-booking in their stocks on Thursday, leading to up to 7% fall in shares on the Bombay Stock Exchange.

The shares of these companies had surged by around 10% in the last few trading sessions. While Adani Enterprises rose by 10% in the last five trading sessions (December 13-19), shares of Adani Power rose by 12 %, Arvind by 7% and Torrent Power by 8%.

The Sensex rose just 1% during the period. On Thursday, it fell by 22 points, or 0.1%, at 19,454.

“These stocks had risen in anticipation of Narendra Modi’s win,” said Sunil Jain, head, equity research, Nirmal Bang. “Today’s fall was a result of profit booking.”

“Movement in shares of Gujarat-based companies reflects the perception of investors who tend to associate companies with certain political parties,” said Rikesh Parikh, vice-president, markets, strategy and equities, Motilal Oswal Securities.

However, shares of Adani Enterprises also witnessed selling pressure on Thursday due to promoters’ plan to sell 23 million shares through an offer for sale on Friday, disappointing investors.