'Strong buy' micro-cap multibagger stocks picked by mutual funds in May
Micro-cap stocks carry very high risk, but also have the potential to deliver high returns. Fund managers apply various parameters to choose micro-cap stocks that have the potential to outperform over the long term
Quality micro-cap stocks have continued their upward journey despite short-term blips. Though the Nifty Microcap 250 Total Return Index (TRI) plummeted 7 percent on June 4, the day of election results, it recovered fast and has outperformed all the other major market capitalisation indices since then. The Nifty Microcap 250 TRI gained 14 percent over the last 10 days while Nifty 50 TRI, Nifty Midcap 150 TRI, Nifty Smallcap 250 TRI rose 7 percent, 10 percent and 12 percent, respectively.
Micro-cap stocks are quite risky but have the potential to deliver high returns. Fund managers apply various parameters to choose micro-cap stocks that have the potential to outperform over the long term. Here are the top micro-cap stocks that were added by actively managed equity-oriented mutual funds (653 schemes) in May 2024 (data as of May 30). Stocks that are ranked below the 500th spot as per the Association of Mutual Funds in India’s market capitalisation list are considered micro-caps. Source: ACEMF.
Awfis Space Solutions No. of actively managed equity schemes that newly added the stock: 27 Total no. of active schemes holding the stock: 27 AMFI market-cap rank: Newly listed.
AMI Organics No. of actively managed equity schemes that newly added the stock: 7 Total no. of active schemes holding the stock: 20 AMFI market-cap rank: 658
Savita Oil Technologies No. of actively managed equity schemes that newly added the stock: 5 Total no. of active schemes holding the stock: 7 AMFI market-cap rank: 883
5/16
Bharat Bijlee No. of actively managed equity schemes that newly added the stock: 5 Total no. of active schemes holding the stock: 23 AMFI market-cap rank: 903
6/16
Varroc Engineering No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 15 AMFI market-cap rank: 527
Shipping Corporation of India No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 5 AMFI market-cap rank: 560
8/16
Techno Electric & Engineering Company No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 24 AMFI market-cap rank: 573
9/16
Surya Roshni No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 4 AMFI market-cap rank: 605
Netweb Technologies India No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 16 AMFI market-cap rank: 615
11/16
Prudent Corporate Advisory Services No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 30 AMFI market-cap rank: 619
12/16
MSTC No. of actively managed equity schemes that newly added the stock: 4 Total no. of active schemes holding the stock: 4 AMFI market-cap rank: 778
Nazara Technologies No. of actively managed equity schemes that newly added the stock: 3 Total no. of active schemes holding the stock: 18 AMFI market-cap rank: 604
14/16
La Opala RG No. of actively managed equity schemes that newly added the stock: 2 Total no. of active schemes holding the stock: 14 AMFI market-cap rank: 634
15/16
Sudarshan Chemical Industries No. of actively managed equity schemes that newly added the stock: 3 Total no. of active schemes holding the stock: 18 AMFI market-cap rank: 743
16/16
Manorama Industries No. of actively managed equity schemes that newly added the stock: 3 Total no. of active schemes holding the stock: 4 AMFI market-cap rank: 875
