The FY24 has been a turnaround year for smallcap stocks, witnessing a significant rally with many stocks turning multibaggers. However, concerns over valuations raised by Sebi might moderate returns in FY25. While equity bulls partied hard in most of FY24, the Securities and Exchange Board India (Sebi) turned a party spoiler towards the end.
Within largecaps, top gainers include Bharat Heavy Electricals (206%), REC (270%), Power Finance Corporation (191%), Trent (194%), Zomato (217%) and Adani Green Energy (199%).
Uday Kotak s statement comes days after the Securities and Exchange Board of India (Sebi) chairperson Madhabi Puri Buch raised concerns over frothiness in small- and mid-cap stocks.
Vijay Kedia highlights the disconnect between headline equity indices and smallcap portfolios. Retail investors, bluechip warriors, and midcap/smallcap indices experience a significant disconnect. Nifty Midsmall Cap 400 is suggested for a better overview. As the Indian market matures, broad indices will gain more relevance.