" /> Mid- & Small-caps Outsmart Blue Chips | Gold Silver Reports
Friday, October 28th, 2016 4:00 AM
Breaking News

Home / Stock Market / Mid- & Small-caps Outsmart Blue Chips

Mid- & Small-caps Outsmart Blue Chips

Mid- & Small-caps Outsmart Blue ChipsNeal Bhai Reports — Mid- & Small-caps Outsmart Blue Chips — Midand small-cap shares outperformed bluechips on Wednesday after staging a late rebound that helped them erase a portion of the losses they incurred in the previous two trading days.The mid-cap index rose 1.3% and the small-cap index gained 1.2% as investors continued to prefer smaller shares after the recent sell-off despite worries about rich valuations. 

Mid-cap index fell 2.5% on Friday and Monday. Fund managers said those mid-cap shares that have not moved in a big way or have strong prospects are the ones that rebounded on Wednesday .

Reliance Capital was among the best performing midcap stocks, rising over 8% on Wednesday . Gitanjali Gems was the biggest small cap gainer surging almost 20% on the same day .

“With the Indian economy growing, there will be some companies that grow faster,“ said Sunil Singhania, CIO for equity investment at Reliance Mutual Fund. “However, there is one category of mid and small cap companies that are overvalued. But if one has a 2-3 year horizon, one can have a good run.“

The midcap index has risen 2.35% in the last month and 15.07% in the last three months. The smallcap index on the other hand has risen 4.08% in the last month. “Look out for companies involved in niche financing like AMCs or NBFCs, specialised engineering companies like auto ancillaries and infrastructure players and those companies that will benefit from consumption growth,“.

The Sensex was flat on Wednesday, ending 0.07% up at 28,372 points while Nifty closed at 8,725, up 0.13%. This was on account of nervousness globally that sparked a strong sell-off. “Profit booking was seen in midcaps as risks of a rate hike in the US sent shockwaves in emerging markets,“ said Nitasha Shankar, vice-president, research, Yes Securities. “There are still pockets within the midcap space available at attractive valuations. This is visible in the recovery seen on Wednesday as investors are using dips as buying opportunities.“

Mid- & Small-caps Outsmart Blue Chips

About Anil Yadav

Check Also

Jubilant Food Sales Growth Can’t Mask Margin Woes

Neal Bhai Reports — Jubilant Food Sales Growth Can’t Mask Margin Woes — Shares of Jubilant FoodWorks fell the …

We Make Ideas


Our site is objectively in letter and spirit, based on pure Technical Analysis. All other content(s), viz., International News, Indian Business News, Investment Psychology, Cartoons, Caricatures, etc are all to give additional ambiance and make the reader more enlightening. As the markets are super dynamic by very nature, you are assumed to be exercising discretion and constraint as per your emotional, financial and other resources. This blog will never ever create rumors or have any intention for bad propaganda. We report rumors and hear-say but never create the same. This is for your information and assessment. For more information please read our Risk Disclaimer and Terms of Use.

Technically Yours,

Team GoldSilverReports.com, New Delhi, INDIA