Here the unbridled desire of media companies to capture eyeballs and readership is the cause, said Satish Ramanathan, head of equities, Sundaram BNP Paribas Mutual Fund. “The competition for more readers and viewers has led companies to over-expand without consolidating. A lot of mid-cap stocks have fallen by 60-70 per cent. One reason for the fall is the asset class they belong to. Further, their profitability has regularly disappointed investors.”

The near- to medium-term outlook for the sector doesn't look bright either. As the slowdown continues and Indian corporates cut costs, among the first expenditures to be axed will be advertising, which will clearly hit the revenue growth of media companies. “In future, corporates will also get more choosy about whom they advertise with,” said Ramanathan.