Despite market crash, these smallcap stocks rallied over 1000% in the last 6 months

Updated: 20 Jun 2022, 02:21 PM IST
TL;DR.

Smallcap stocks suffered a steep decline in the the recent market correction with the smallcap index down around 20 percent in the past 6 months as against an 11 percent fall in benchmarks on the back of overall weak market sentiment, consistent FII selling, rising inflation and monetary tightening. However, despite this, 7 stocks have witnesses stellar returns, rising between 1,000-4,000 percent in this time. But it is important to note that most experts advise staying away from smallcap stocks amid thos ongoing volatility. These stocks are highly risky and are not only advised for risk-averse investors. One must contact their investment managers before investing in such stocks. Let's take a look at the 7 stocks that rallied over 10 times in the past 6 months.

SEL Manufacturing: The stock jumped from 27.5 on December 20, 2021 to currently trade around 1,025, rallying as much as 3,628 percent in this time. Founded in 1969, the firm engages in the spinning, knitting, and processing of yarns and fabrics in India and internationally. It also offers knitted garments, terry towels, knitted and processed fabrics, and various kinds of yarn. Most brokerages continue to have a buy call on the stock. However, in the past 1 year, the stock has lost around 24 percent.

Kaiser Corporation: The stock surged 3,600 percent from 2 on December 20, 2021, to currently trade around 74. Incorporated in November 2013, the firm provides turnkey project management and engineering services in India. It also engages in printing labels and cartons, packaging materials, magazines, and articles of stationery. Most brokerages continue to have a buy call on the stock. In the past 1 year, the stock has risen over 20,500 percent.

Raj Rayon Industries: The stock has advanced over 2,600 percent in the past 6 months to around 10 currently but has lost nearly 80 percent in the last 1 year. Most brokerages remain neutral on the stock. Incorporated in 1993, the firm engages in the manufacturing and trading of polyester chips, and polyester and processed yarns in India. It offers round, trilobal, and octalobal yarns, as well as full dull, semi dull, bright, cationic, doped dyed, fire retardant, and anti-microbial yarns.

Gallops Enterprise: The stock jumped from around 5 in December 2021 to currently trade around 97, rising over 1,800 percent in this time. In the last 1 year as well, the stock has advanced over 2,000 percent, making it a 'strong buy' for the investors. The firm is engaged in the building construction business; and operated as a property developer, and building and erection engineer, as well as civil, mechanical, and labour contractor in India.

Hemang Resources: The scrip climbed from around Ra 3.3 in December 2021 to currently trade around 57, surging over 1,600 percent in this time. It has also gained nearly 1,100 percent in the last 1 year and most brokerages have a buy call on the stock. Founded in 1993, the company engages in the coal trading business in India. It operates through two segments, Coal Trading and Infrastructure and sells imported and indigenous coal.

Alliance Intergrated Metaliks: The stock has advanced 1,218 percent in the last 1 year, jumping from 2.2 in December last year to currently trade around 29. In the last 1 year, it has added nearly 1,400 percent and most brokerages have a buy call on the stock. The firm is is engaged in manufacturing of Structural Metal Products/Trading of Parts. It focuses on business areas, including manufacturing of welded or riveted steel girders; manufacturing of sugar plant components or fabrication solutions for sugar or cement or petrochemical plants; manufacturing of composite deck columns and beam solutions in steel or composite construction, for multistory building, etc.

Sejal Glass: The stock rose over 1,100 percent from 20 in December 2021 to 254 currently. In the last 1 year, it has skyrocketed nearly 5,000 percent. Most analysts have a 'strong buy' call on the stock. The firm is engaged in manufacturing value-added glass in various forms, such as tempering, designing, insulating and laminated glass. The Company operates glass processing division and retail trading division.

First Published: 20 Jun 2022, 02:21 PM IST