In a steep fall from 400, only 25 smallcaps offer double-digit weekly returns
smallcap stocks that offered double-digit returns this week were only 24. Last week, as many as 400 smallcaps rose in double-digits.
The market sentiments worsened as the week went on as investors' hopes for a June rate cut were dashed by higher-than-expected inflation in the US.
Ramco Systems was the top gainer in the smallcap pack with nearly 36% return, followed by Puravankara (33%), Abans Holdings (26%), and Transformers (17%).
About 22 stocks, including HMA Agro Industries, Mangalam Cement, HEG, Hindustan Copper, Motilal Oswal, Hariom Pipe have offered returns between 10-20% during the week.
In the midcap segment, three stocks including Exide Industries, Gujarat Fluorochemicals, Petronet LNG have risen in double digits. While Exide gained 24%, Gujarat Fluorochemicals and Petronet LNG were up over 23% and 12.6%, respectively.
From the Sensex pack, Bharti Airtel topped the charts with 2.8% returns, followed by M&M at 2.7% and NTPC at 2%.
During the week, foreign investors were cautious given the subdued expectations for Q4 corporate earnings and the premium valuations of mid- and small-cap stocks.
Analysts said profit-taking is also evident in banking stocks, particularly in PSU banks, as the banking sector’s loan growth is moderating, and valuation has surpassed long-term averages. Conversely, the auto and realty sectors are showing resilience, driven by expectations of strong earnings momentum.
What should investors do?
With the start of fourth quarter earnings season, investors will closely monitor
Read more on economictimes.indiatimes.com
