Retail investors have increased their holdings in 14 smallcap stocks that have seen multibagger returns of up to 412% in 2023 so far, for three consecutive quarters. The stocks include Anand Rathi Wealth, Control Print, Gravita India, IRCON International, Jupiter Wagons, KDDL Ltd, Kilburn Engineering, KSolves India, Saksoft, Shilchar Technologies, Sky Gold, Suzlon, KPIT Tech and Som Distilleries Breweries.
These stocks have been on a dream run this year, with the S&P BSE Smallcap index delivering 45% returns year-to-date, compared to the benchmark Sensex’s 16% returns. The 12 companies have consistently reported double-digit YoY growth in revenue and profits for the last three consecutive quarters, which could be the driving force behind retail investors’ interest.
Five of these stocks hit lifetime highs in December. IRCON International and Jupiter Wagons are among the most loved stocks in the railway sector, with both reporting over twofold growth in revenue and multifold growth in profits in the last two quarters.
Watch component maker KDDL has seen consistent growth and a rise in retail holding, while Shilchar Technologies, which manufactures electrical equipment for the power sector, has delivered staggering returns of 407% year-to-date, with retail investors increasing their holding by 364 basis points in three quarters.
Broker has also seen strong retail interest, with multibagger returns of 256% in 2023 and consistent growth in earnings in the past three quarters.