Helping You Build Wealth With Honest Research
Since 1996. Try Now


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Investment in securities market are subject to market risks. Read all the related documents carefully before investing

India's Third Giant Leap
Discover the Best Category of Stocks to Ride this Mega
Opportunity at Our Upcoming Special Event

**Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
**By submitting your email address, you also sign up for Profit Hunter, a daily newsletter from Equitymaster
covering exciting investing ideas and opportunities in India.


Best Smallcap Stocks in India

Smallcap stocks have a lower market capitalisation in comparison to largecap stocks. As per market regulator's categorization, companies which have a market capitalisation below Rs 50 bn are considered as smallcap stocks.

Smallcap companies tend to offer higher growth potential as compared to larger companies, but they also tend to be more volatile.

Historically, smallcap stocks have outperformed during times of economic recovery.

Investors with an appetite to take on some high risk and looking to make multibagger returns may consider investing in undervalued smallcap stocks.

Here are some factors you should consider while investing in smallcap stocks:

  • Earnings Growth - Only companies with long-term growth potential will succeed over time.
  • Investment Horizon - Investing in smallcap companies are usually a long-term bet. Don't expect overnight gains.
  • Risk and volatility - Smallcap companies are usually risky investments as compared to larger/well-known companies and their share price can change dramatically over short periods of time.
  • Returns - Smallcaps can provide higher returns than largecap stocks. However, returns are usually inconsistent.

Take a look at some of the best smallcap stocks to buy.

Alternatively, you can browse through the Equitymaster stock screener to access an exhaustive list of smallcap stocks using a variety of filters like low debt to equity, high growth, high ROE, low PE ratio.

Happy smallcap investing!

Ace Investor Saurabh Mukherjea Adds Stake in Multibagger Tata Group Stock

Sep 21, 2023

This Tata group company is seasoned investor Saurabh Mukherjea's latest bet. Take a look...

Nifty 20,000: What Happens Next?

Sep 13, 2023

How to trade and invest after Nifty 20,000.

Why MMTC Share Price is Rising

Sep 8, 2023

MMTC shares surge 46% in 5 days, hitting fresh 52-week high. What's driving the rally?

3 High Dividend Smallcap Stocks Up More Than 100% in 2023

Aug 14, 2023

How have the best smallcap dividend stocks in the market performed in 2023? Find out...

Top 5 Smallcap Stocks that Could Be Massive Long-Term Winners

Aug 10, 2023

From innovative disruptors to emerging industry leaders, these stocks have caught the attention of astute investors seeking to capitalize on the future's opportunities.

Top 5 Multibagger Smallcap Stocks of 2023 So Far. Take a Look...

Jul 22, 2023

These smallcaps stocks have delivered multibagger returns of over 170% so far in 2023. What's next?

Top 5 Cash-Rich Smallcap Stocks to Add to Your Watchlist

Jul 20, 2023

Smallcaps can hold tremendous growth potential, especially when backed by solid financial foundations.

Sumeet Nagar Portfolio: Malabar India Fund Hikes Stake in Multibagger Steel Stock

Jul 13, 2023

Sumeet Nagar's amazing track record in the smallcap space is no fluke. He has a solid decision-making process on which stocks to buy.

Ace Investor Ashish Kacholia Trims Stake in Smallcap Plastic Firm, Exits Smallcap Engineering Stock.

Jul 10, 2023

Find out why the seasoned investor turned bearish on these two smallcap stocks.

What Next for Smallcap Stocks After Lifetime Highs?

Jul 7, 2023

The smallcap to Sensex ratio is trading at a premium to the long-term median. Here's how you should approach smallcap space now...

Beware: Can the Midcap Space See a Repeat of the 2017 Crash?

Sep 14, 2023

Midcap and Smallcap Indices have had a massive run up. Is the re-rating justified?

5 Smallcap Stocks to Add to Your Watchlist Right Now

Sep 12, 2023

These smallcaps are looking good on the charts. Track them closely.

High Dividend Stocks: 5 Small-Cap Companies Most Investors Have Probably Never Heard Of

Sep 6, 2023

Dividend investing has proven to be a successful way to retire early. The key is to look for stocks which have stood out in tough times and made regular payouts.

My Contrarian View on Smallcap Stocks

Aug 11, 2023

Will junk stocks do better than fundamentally good stocks in this market?

5 Fundamentally Strong Smallcap Stocks Trading Near 52-Week Lows. Do they Have the Potential to Rebound?

Aug 3, 2023

Despite the booming markets, these five stocks are trading at 52-week lows.

5 Smallcap Stocks with Highest Return on Assets

Jul 21, 2023

These five companies have exceptionally high RoA indicating operational efficiency. Should you invest?

These 2 Smallcap Stocks Have Doubled in 3 Months. What's Next?

Jul 20, 2023

These smallcaps stocks have delivered multibagger returns of over 130% in three months. Will their dream run continue?

Dolly Khanna Trims Stake in Smallcap Cement Stock, FMCG Company

Jul 12, 2023

Find out why the seasoned investor took a bearish stance on these two stocks.

This Smallcap Stock Rallied 31% Last Month. More Details Inside

Jul 8, 2023

Here's why this smallcap company's share price is rallying after Nitin Gadkari's latest tweet.

Mukul Agarwal Doubles Down on this Smallcap Stock in Q1. More Details Inside...

Jul 5, 2023

Mukul Agrawal is a prominent investor in India, who is known for his microcap and smallcap stock picks.