Small caps positive in Apr-25; but risk perception remains high

2 May 2025 , 11:45 AM

SMALL CAPS – GAINS RELATIVELY TENTATIVE IN APRIL 2025

For the second month in a row, small caps gained, although just about 2.2% for the month. In March, small cap index had gained 9.49%. However, that had come after 2 successive months of deep losses of -10.81% and -11.13% in January and February respectively. However, the small cap index is still about -11.3% down in first 4 months of 2025. While oil prices may have stabilized, investors are tentative about small caps due to the reciprocal tariffs and the rupee dollar equation. Let us start with small cap stocks in April 2025 from the perspective of momentum?

SMALL CAP MOMENTUM MODESTLY POSITIVE IN APRIL

In terms of 1-month returns, the Nifty Small cap 100 gained 2.19% in April 2025. Out of the 90 eligible stocks in the index, 50 stocks gave positive returns, while 40 stocks gave negative returns in April 2025. Here are the top-15.

Stock Symbol	Market Price	1-Month Return	1-Year Return	52-week High	52-week Low	Bounce from Low	Distance to High
DATAPATTNS	2,462.00	47.14%	-16.27%	3,655.00	1,351.15	82.22%	32.64%
SONATSOFTW	417.00	21.94%	-39.01%	763.70	286.40	45.60%	45.40%
KAYNES	5,709.00	21.06%	115.70%	7,822.00	2,424.00	135.52%	27.01%
GODFRYPHLP	8,150.00	19.90%	142.64%	8,480.00	3,125.10	160.79%	3.89%
DEVYANI	178.00	19.79%	7.39%	222.74	134.00	32.84%	20.09%
DELHIVERY	305.40	19.78%	-31.95%	461.95	236.53	29.12%	33.89%
KFINTECH	1,184.00	16.32%	59.69%	1,641.35	621.75	90.43%	27.86%
NBCC	94.78	16.24%	-31.89%	139.83	70.80	33.87%	32.22%
MCX	6,117.50	15.37%	49.14%	7,048.60	2,917.85	109.66%	13.21%
PNBHOUSING	1,010.00	14.60%	26.94%	1,202.20	616.60	63.80%	15.99%
CREDITACC	1,078.80	14.35%	-27.84%	1,551.95	750.20	43.80%	30.49%
GRSE	1,913.00	13.72%	93.82%	2,833.80	881.00	117.14%	32.49%
LALPATHLAB	2,750.00	11.71%	16.72%	3,653.95	2,201.20	24.93%	24.74%
GSPL	319.90	11.57%	9.80%	469.70	260.05	23.01%	31.89%
INDIAMART	2,290.00	11.57%	-12.70%	3,198.40	1,900.10	20.52%	28.40%

Data Source: NSE

In April 2025, 16 stocks gave double digit returns. In terms of sectoral mix; the top-15 had 4 Financial Inclusion stocks; 2 defence stocks; 2 digital enablement stocks, and 2 FMCG plays. Others were bottom-up plays. The worst performers in April 2025 by monthly returns were RK Forge, PCBL, Amber, KEC International, Welspun Corp, and Anant Raj Industries.

DID SMALL CAPS DELIVER ON 1-YEAR RETURNS?

For the 90 small cap stocks with full data, the average 1-year return was -3.31%. A total of 41 stocks gave positive 1-year returns, while 49 stocks delivered negative returns for April 2025. Here are the top-15.

Stock Symbol	Market Price	1-Month Return	1-Year Return	52-week High	52-week Low	Bounce from Low	Distance to High
GODFRYPHLP	8,150.00	19.90%	142.64%	8,480.00	3,125.10	160.79%	3.89%
KAYNES	5,709.00	21.06%	115.70%	7,822.00	2,424.00	135.52%	27.01%
GRSE	1,913.00	13.72%	93.82%	2,833.80	881.00	117.14%	32.49%
CHAMBLFERT	689.85	10.74%	63.21%	707.55	333.40	106.91%	2.50%
FSL	338.00	0.13%	61.13%	422.30	176.25	91.77%	19.96%
AMBER	6,070.00	-14.64%	60.02%	8,177.00	3,310.00	83.38%	25.77%
KFINTECH	1,184.00	16.32%	59.69%	1,641.35	621.75	90.43%	27.86%
NEULANDLAB	11,965.00	-0.66%	57.93%	18,100.00	5,540.10	115.97%	33.90%
MCX	6,117.50	15.37%	49.14%	7,048.60	2,917.85	109.66%	13.21%
PPLPHARMA	211.03	-6.10%	46.92%	307.90	136.10	55.06%	31.46%
RPOWER	39.89	-6.96%	46.48%	53.64	23.30	71.20%	25.63%
ASTERDM	507.00	4.44%	45.04%	534.80	311.10	62.97%	5.20%
AFFLE	1,579.50	-1.53%	41.43%	1,884.00	1,050.00	50.43%	16.16%
RADICO	2,441.00	1.10%	39.76%	2,637.70	1,429.85	70.72%	7.46%
SHYAMMETL	856.30	0.88%	36.85%	956.90	524.20	63.35%	10.51%

Data Source: NSE

On a yoy basis, the leaders were dominated by a mix of 3 Healthcare plays (Neuland Labs, Piramal Pharma, Aster DM), 2 financial inclusion stocks (KFINTECH, MCX), 2 EMS companies (Kaynes, Amber), and 2 FMCG plays (Godfrey Philips, Radico Khaitan). The remaining stocks were largely spread out across different sectors. At the bottom are companies like Inox Wind, JBMA, Rites, Aarti Industries, and Hindustan Copper.

HOW RESILIENT WERE SMALL CAPS IN LAST ONE YEAR?

In terms of bounce from lows, small caps bounced 16.79%. Total of 15 stocks bounced over 70% from the lows, while 63 jumped over 20%. Top-15 average bounce was 114.18%.

Stock Symbol	Market Price	1-Month Return	1-Year Return	52-week High	52-week Low	Bounce from Low	Distance to High
PGEL	845.65	-7.89%	-59.96%	1,054.20	195.50	332.56%	19.78%
GODFRYPHLP	8,150.00	19.90%	142.64%	8,480.00	3,125.10	160.79%	3.89%
KAYNES	5,709.00	21.06%	115.70%	7,822.00	2,424.00	135.52%	27.01%
GRSE	1,913.00	13.72%	93.82%	2,833.80	881.00	117.14%	32.49%
NEULANDLAB	11,965.00	-0.66%	57.93%	18,100.00	5,540.10	115.97%	33.90%
MCX	6,117.50	15.37%	49.14%	7,048.60	2,917.85	109.66%	13.21%
CHAMBLFERT	689.85	10.74%	63.21%	707.55	333.40	106.91%	2.50%
FSL	338.00	0.13%	61.13%	422.30	176.25	91.77%	19.96%
KFINTECH	1,184.00	16.32%	59.69%	1,641.35	621.75	90.43%	27.86%
AMBER	6,070.00	-14.64%	60.02%	8,177.00	3,310.00	83.38%	25.77%
DATAPATTNS	2,462.00	47.14%	-16.27%	3,655.00	1,351.15	82.22%	32.64%
WELCORP	763.00	-11.76%	36.00%	900.00	440.15	73.35%	15.22%
RPOWER	39.89	-6.96%	46.48%	53.64	23.30	71.20%	25.63%
PCBL	357.60	-15.05%	32.88%	584.40	209.00	71.10%	38.81%
RADICO	2,441.00	1.10%	39.76%	2,637.70	1,429.85	70.72%	7.46%

Data Source: NSE

On resilience score, the list was once again dominated by stocks in the metals, chemicals, new age technology and the financial inclusion space. The remaining stocks were largely spread out and roughly mirrored the 1-year return rankings list. The list at the bottom included stocks like; RK Forge, Bata India, Tejas Networks, Cyient, GE Shipping, and HFCL.

HOW SMALL CAPS FARED ON THE SWING FACTOR?

In terms of proximity to the peak, the small cap index was 16.57% short of the peak. A total of 9 stocks are less than 10% to the peak while 51 stocks are over 30% off the peak. That shows a huge divergence in performance of the small caps.

Stock Symbol	Market Price	1-Month Return	1-Year Return	52-week High	52-week Low	Bounce from Low	Distance to High
NH	1,694.30	17.14%	31.80%	1,724.35	1,080.00	56.88%	1.74%
CHAMBLFERT	621.00	17.20%	82.89%	633.00	333.40	86.26%	1.90%
NAVINFLUOR	4,204.00	11.92%	35.21%	4,381.00	2,875.95	46.18%	4.04%
WELCORP	862.00	18.04%	68.76%	900.00	440.15	95.84%	4.22%
LAURUSLABS	611.50	16.35%	56.34%	646.20	385.45	58.65%	5.37%
MANAPPURAM	231.50	15.82%	34.42%	247.60	138.35	67.33%	6.50%
REDINGTON	243.45	8.31%	16.55%	263.89	158.61	53.49%	7.75%
RADICO	2,425.00	17.17%	40.58%	2,637.70	1,429.85	69.60%	8.06%
SHYAMMETL	857.00	19.96%	44.30%	956.90	524.20	63.49%	10.44%
AMBER	7,180.00	28.11%	97.14%	8,177.00	3,310.00	116.92%	12.19%
PGEL	910.00	15.32%	-44.85%	1,054.20	154.43	489.26%	13.68%
AFFLE	1,610.00	14.88%	54.42%	1,884.00	1,022.75	57.42%	14.54%
ASTERDM	476.00	19.99%	18.13%	558.00	311.10	53.01%	14.70%
KARURVYSYA	209.00	4.04%	14.53%	246.00	164.10	27.36%	15.04%
RAMCOCEM	892.75	8.17%	10.63%	1,060.00	700.00	27.54%	15.78%

Data Source: NSE

In terms of proximity to the peak, the list is dominated by Healthcare (Narayana Hrudayalaya, Laurus Labs, Aster DM); Chemicals (Chambal Fertilizers, Navin Fluorine); EMS Companies (PGEL, Amber); and financial inclusion (Manappuram Finance and Karur Vysya Bank). Companies farthest from the peak were a mixed bag of stocks like Titagarh Wagons, ITI Ltd, IRCON, IFCI Ltd, HFCL, and Tejas Networks. Despite the recovery in March and April 2025, the swing factor for small cap companies leaves a lot to be desired. The themes in small caps are gravitating towards specialty chemicals, healthcare, EMS outsourcing, and financial inclusion.