Only 30 smallcap stocks offer double-digit weekly returns in a week marred by uncertainty
Indian markets experienced a marginal recovery from the uncertainties arising from concerns about the unwinding of carry trades, driven by the Yen's rapid appreciation and weak macroeconomic data that fuelled recession fears in the US. However, indices closed the week in red, losing over 1% each.
During the week, only 30 smallcap companies offered double-digit returns with Century Enka the top gainer (35%), followed by Authum Investment (34.19%), Symphony (33.53%), and Garware Hi-Tech (26%).
About 5 stocks including Edelweiss Financial Services, BASF India, Venky's, Oswal Greentech among others have offered returns between 20-25%.
In the midcap segment, only one stock Trent rose in double digits with a gain of 13.37%.
Among the Sensex pack, Hindustan Unilever (HUL) topped the charts with 2.05% returns, followed by ITC at 1.32% and Tech Mahindra at -0.26%.
What should investors do?
Analysts said the domestic valuations are not cheap, while first quarter results are painting a moderation in growth. Over the past few days, Nifty has been volatile although some recovery was seen towards the later days.
«So far, 46 companies in Nifty50 index which have published their results have reported PAT growth of 6.12% YoY, which is marginally better than 5.78% expectations. However overall, it seems moderating compared to previous quarters,» said Vinod Nair, Head of Research, Geojit Financial Services
In the coming week, investors will closely monitor domestic CPI data for July, which is expected to show some
