45 smallcap stocks buck the trend to offer double-digit weekly returns amid sharp sell-off
Indian markets experienced selling pressure throughout the week amid muted global sentiments and profit taking in overheated segments at higher levels.
During the week, about 45 smallcap stocks have delivered double digit weekly returns with four of them offering over 25% returns.
Rama Steel Tubes was the top gainer in the smallcap pack with nearly 60% return, followed by Refex Industries (32.3%), Kitex Garments (27%), and 63 Moons Technologies (26%).
About four stocks including SP Apparels, Geojit Financial Services, Jai Balaji Industries and Global Surfaces have offered returns between 20-25% during the week.
In the midcap segment, only two stocks including Gujarat Fluorochemicals and Godrej Industries among others have risen in double digits. While Gujarat Fluorochemicals has gained 20%, Godrej Industries is up about 19%.
Among the Sensex pack, Asian Paints topped the charts with 4.7% returns, followed by Bajaj Finserv at 4.17% and Titan Company at 3.55%.
Sebi's deadline over FII's disclosure norm created panic among the market participants during the week, which also added to negative sentiments in the domestic market.
While this is not expected to impact FII's long-term stance on India, but due to lack of new market catalysts and elevated valuations, this muted trend is expected to remain in the short term.
What should investors do?
In the week gone by, analysts said the overvalued pockets of the market have seen some profit booking and may be an indicator that earnings would incrementally dictate
