Know about the Small Cap Stocks List in NSE (50 Stocks)

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Small Cap Stocks List of NSE

Are you searching for the small cap stocks list in NSE? In the present blog post, I am going to discuss the small cap stocks list in NSE.

Small-cap stocks are highly volatile and a rapid movement in their price action is quite noticeable.

The 50 small-cap stocks list in NSE is also known as the Nifty small-cap 50 index. The Nifty small-cap 50 index represents about 2% of the free-float market capitalization of the stocks listed on NSE, as on 29th March 2019.

What is a small-cap stock?

Companies with a market capitalization of less than 500 crore rupees are considered small-cap stocks. More than 90% of Indian companies are considered small-cap companies.

However, the definition of small-cap stocks can vary from broker to broker. A company’s market capitalization is the multiplication of its current share price by the number of its shares outstanding. The number of shares outstanding is the number of shares that a company has issued to the market.

Now consider one example to calculate the market capitalization of a stock. Suppose, the number of shares outstanding is 2 crore shares, and the current share price is Rs. 50, the market capitalization of the stock is Rs. 100 crore (2 crore x Rs. 50). Therefore, the stock is a small-cap stock.

Features of small-cap stocks

The followings are the features of small-cap stocks.

  • Volatility

Small-cap stocks are highly volatile. These are subjected to rapid movements in their price during the day.

  • Risks

Investing in small-cap stocks involves a lot of risks. Thus, investing in small-cap stocks is considered a risky investment. Once in a downtrend, it takes much time to recover. And you may lose much of your money.

  • Liquidity

Small-cap stocks have less liquidity. This is due to the participation of fewer investors.

  • Returns

Small-cap stocks provide higher returns if the investment is done properly. These stocks have the potential to earn more than 100% return in few years.

Features of small cap stocks

Small cap stocks list in NSE

The followings are the small cap stocks list in NSE (50 stocks).

S. No.Company NameIndustrySymbolISIN Code
1APL Apollo Tubes Ltd.METALSAPLAPOLLOINE702C01027
2Aarti Drugs Ltd.PHARMAAARTIDRUGSINE767A01016
3Affle (India) Ltd.ITAFFLEINE00WC01019
4Alkyl Amines Chemicals Ltd.CHEMICALSALKYLAMINEINE150B01039
5Alok Industries Ltd.TEXTILESALOKINDSINE270A01029
6Amber Enterprises India Ltd.CONSUMER GOODSAMBERINE371P01015
7Avanti Feeds Ltd.CONSUMER GOODSAVANTIFEEDINE871C01038
8Bajaj Electricals LtdCONSUMER GOODSBAJAJELECINE193E01025
9Bharat Dynamics Ltd.INDUSTRIAL MANUFACTURINGBDLINE171Z01018
10Birla Corporation Ltd.CEMENT & CEMENT PRODUCTSBIRLACORPNINE340A01012
11Birlasoft Ltd.ITBSOFTINE836A01035
12Can Fin Homes Ltd.FINANCIAL SERVICESCANFINHOMEINE477A01020
13Ceat Ltd.AUTOMOBILECEATLTDINE482A01020
14Central Depository Services (India) Ltd.FINANCIAL SERVICESCDSLINE736A01011
15Chambal Fertilizers & Chemicals Ltd.FERTILISERS & PESTICIDESCHAMBLFERTINE085A01013
16Cochin Shipyard Ltd.INDUSTRIAL MANUFACTURINGCOCHINSHIPINE704P01017
17Computer Age Management Services Ltd.FINANCIAL SERVICESCAMSINE596I01012
18Cyient Ltd.ITCYIENTINE136B01020
19Dilip Buildcon Ltd.CONSTRUCTIONDBLINE917M01012
20Firstsource Solutions Ltd.ITFSLINE684F01012
21Future Retail Ltd.CONSUMER SERVICESFRETAILINE752P01024
22GMM Pfaudler Ltd.INDUSTRIAL MANUFACTURINGGMMPFAUDLRINE541A01023
23Granules India Ltd.PHARMAGRANULESINE101D01020
24Graphite India Ltd.INDUSTRIAL MANUFACTURINGGRAPHITEINE371A01025
25Happiest Minds Technologies Ltd.ITHAPPSTMNDSINE419U01012
26IDFC Ltd.FINANCIAL SERVICESIDFCINE043D01016
27Indian BankFINANCIAL SERVICESINDIANBINE562A01011
28J.B. Chemicals & Pharmaceuticals Ltd.PHARMAJBCHEPHARMINE572A01028
29Kajaria Ceramics Ltd.CONSUMER GOODSKAJARIACERINE217B01036
30Kec International Ltd.POWERKECINE389H01022
31Multi Commodity Exchange of India Ltd.FINANCIAL SERVICESMCXINE745G01035
32NBCC (India) Ltd.CONSTRUCTIONNBCCINE095N01031
33National Aluminium Co. Ltd.METALSNATIONALUMINE139A01034
34PNB Housing Finance Ltd.FINANCIAL SERVICESPNBHOUSINGINE572E01012
35PVR Ltd.MEDIA ENTERTAINMENT & PUBLICATIONPVRINE191H01014
36RITES Ltd.SERVICESRITESINE320J01015
37Radico Khaitan LtdCONSUMER GOODSRADICOINE944F01028
38Rail Vikas Nigam Ltd.CONSTRUCTIONRVNLINE415G01027
39Rallis India Ltd.FERTILISERS & PESTICIDESRALLISINE613A01020
40Route Mobile Ltd.ITROUTEINE450U01017
41Sterlite Technologies Ltd.TELECOMSTLTECHINE089C01029
42Strides Pharma Science Ltd.PHARMASTARINE939A01011
43Sun Pharma Advanced Research Company Ltd.PHARMASPARCINE232I01014
44Sunteck Realty Ltd.CONSTRUCTIONSUNTECKINE805D01034
45TV18 Broadcast Ltd.MEDIA ENTERTAINMENT & PUBLICATIONTV18BRDCSTINE886H01027
46Thyrocare Technologies Ltd.HEALTHCARE SERVICESTHYROCAREINE594H01019
47UTI Asset Management Company Ltd.FINANCIAL SERVICESUTIAMCINE094J01016
48V.I.P. Industries Ltd.CONSUMER GOODSVIPINDINE054A01027
49Vakrangee Ltd.ITVAKRANGEEINE051B01021
50Wockhardt Ltd.PHARMAWOCKPHARMAINE049B01025

Keep in mind that the small cap stocks list in NSE is an approximation that changes over time.

NSE small cap 50 stocks list

Is it advisable to invest in small cap stocks list?

If you are a beginner, you should avoid investing in the small cap stocks list. Because these stocks are highly volatile and are prone to high risks.

But if want to invest in these stocks, be sure that the true value is much higher than the current price. Again, the stock should be a quality one.

One major benefit of investing in the small cap stocks list is the higher growth.

It has been noticed that small-cap stocks have historically outperformed large-cap stocks. At the same time, they are highly volatile and highly riskier. During a market crash, the small-cap stocks lose about 70% to 80% of their value. So these are highly riskier investments.

The benefit of investing in small-cap stocks is the opportunity to beat institutional investors through growth prospects. During the market bull, these stocks yield unexpected returns.

Is it advisable to invest in small cap stocks list

If you are able to find out the correct true value of small-cap stocks, you may consider these stocks, subject to that the true value is much higher than the current price of the stock.

I generally prefer to invest in these stocks because of higher returns. First, I judge the stock quality. I also calculate their true value based on my developed model.

You can use this free tool.

True value calculator of a stock

Reasons to invest in small cap stocks list

The followings are the reasons to invest in small cap stocks list.

  • Higher growth potential
  • If they are fairly priced
  • If they are low priced but quality stocks

Final thoughts

Investing in the small cap stocks list involves a lot of risks, as these stocks are highly volatile. But these stocks have higher growth potential.

If you are able to identify the undervalued quality stocks from the small cap stocks list, these will yield higher returns.

If you like the post, please share it on Facebook, Twitter, etc. I also welcome your reasonable comments.

You may also be interested to read:

How to Start Investing with Rs. 5000

Retirement crorepati by just investing Rs. 100 per month

Top 3 Ways to Start Investing in Nifty 50 Company List

How to Open Demat and Trading Account in Zerodha

 


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