Small Caps are a set of companies with market capitalisation less than Rs. 5,000 Cr. These are small-sized emerging companies, and a few are likely to grow on to become Mid Cap or Large Cap companies. However, their survival rate is very low, and quite a few tend to go bust in an economic down-cycle. Because of the high volatility of Small Caps, we recommend you to consult a Fiduciary Investment Advisor before investing in them. Bookmark this page for your easy reference in future.
In the table below you will find important data on Small Cap Companies Share prices, 52-week High and Low, PE ratio etc. Look for Green and Orange companies for investing. Bookmark this page for your easy reference in future.
The NIFTY Small Cap 100 Index represents about 3.3% of the free-float market capitalisation of the stocks listed on the NSE as on March 29, 2019.
Based on the past 5 year sales growth, the best small cap stocks in India are:
It does, however, warrant extra caution (like a higher margin of safety) due to the higher risk you take by investing in small cap companies.
That said, small-cap stocks in India can also give you lucrative returns. So, if you do decide to invest in the stocks of small-cap companies, make sure to do your due research about the company before making your investment. You should also diversify your investments to reduce risk.