- Date : 03/08/2023
- Read: 4 mins
Discover the top-performing small-cap stocks of 2023, with up to 176.32% growth, fuelled by their inherent potential. Invest wisely for potential gains!
In 2023, small-cap stocks captured investors' attention with an impressive resurgence in the Indian stock market. The BSE Small-cap Index has surged by approximately 29% as of July 17th, 2023, outperforming the BSE Large-cap Index's growth of 16% during the same period.
- Small caps carry higher risk and the potential for higher returns.
- The automobile and energy sectors stand out in 2023.
- Top small-cap performers include PRECAM, MAZDOCK, FACT, JINDALSAW, and AURIONPRO, among others
- Diversify your portfolio and seize opportunities in emerging companies.
Top small-cap performers to invest in 2023
Here are the top small-cap stocks which displayed remarkable growth and potential -
Precision Camshafts Limited (PRECAM) - A leading global camshaft manufacturer, with growth of 176.32% since April 2023.
Mazagon Dock Shipbuilders Limited (MAZDOCK) - India's premier defence shipbuilding company, with returns of 160.52% in April 2023.
Fertilisers and Chemicals Travancore Limited (FACT) - A leading fertiliser and chemical manufacturer rebounding with 138.33% returns post-April 2023.
Jindal SAW Limited (JINDALSAW) - A global iron and steel pipe manufacturer with consistent returns of 233.25% in 2023.
Aurionpro Solutions Limited (AURIONPRO) - A technology firm offering innovative digital solutions with returns of 133.50% since April 2023.
Force Motors Limited (FORCEMOT) - An Indian automotive manufacturer displaying steady growth with 132.99% returns since April 2023.
Suzlon Energy Limited (SUZLON) - A prominent renewable energy solutions provider with a post-April 2023 return of 130.38%.
JBM Auto Limited (JBMA) - A global auto parts manufacturer delivering strong returns of 129.89% since April 2023.
Shriram Pistons & Rings Limited (SHRIPISTON) - A leading provider of pistons and engine components with soaring returns of 121.80% since April 2023.
Genus Power Infrastructures Limited (GENUSPOWER) - An advanced metering solutions provider with consistent returns of 119.91% in 2023.
Here are the best small-cap stocks you can invest -
- Arman Financial Services - 52.72% YTD
- Maharashtra Seamless - 45.78% YTD
- Bajaj Consumer Care - 16.47% YTD
- Mold-Tek Packaging - 9.38% YTD
- VST Industries - 16.10% over 6 months
Top small-cap stocks: sectors and performance
Certain sectors and industries have been standout performers in 2023:
- Automobile Sector: YTD growth of 25.72%, 43.44% since April 2023.
- Energy Sector: YTD growth of 19.62%, 40.73% since April 2023.
- Electric Equipment Industry: 363.07% increase since April 2023.
Why should you consider small-cap stocks?
Small-cap stocks offer enticing advantages for investors, including inherent growth potential as emerging companies have room for future appreciation. Historically, small-caps outperform larger companies with higher returns, benefiting from agility in adapting to market cycles. Additionally, less competition from institutional investors provides opportunities for individual investors to witness the growth of small companies.
Risk factors to consider
Small-cap stocks also come with higher market risk, liquidity risk, and information risk. Diversification and careful consideration of individual risk tolerance are essential.
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Disclaimer: This article is intended for general information purposes only and should not be construed as insurance or investment or tax or legal advice. You should separately obtain independent advice when making decisions in these areas.