Top 10 small-cap performers of 2018

Calendar 2018 had been a heart wrenching year for investors holding stocks of small-cap and mid-cap companies. Close to 85 per cent of these stocks failed to beat the benchmark BSE Sensex, with small-caps on the forefront facing the heat during the year.

Post the 2018 budget in February, the market kept flashing in red throughout the year ahead. While going through the data of small-cap companies, we considered companies having market cap between Rs. 100 to Rs. 1,000 crore and came out with top 10 best performers in the last one year.

Out of the 10 companies, 30 per cent companies belong to the chemical sector. A penny stock like Vikas Proppant & Granite, which carries the highest risk topped the chart. Sadhana Nitrochem, manufacturer of Meta Amino Phenol (MAP) stood second in the chart. Mangalam Organics, one of the leading vendor of camphor tablets also became one of the top performers. The overall cable industry performed well in 2018 and Birla Cable proved its representative by giving returns of 208 per cent in just one year.

The BSE small-cap index stood at 19,602.95 on January 16, 2018 which dipped by ~25 per cent to 14,638.42 as on January 15, 2019. As 2019’s union budget is round the corner, it would be interesting to see how the market reacts and performs. Also, how the above small-caps would perform in 2019 would be a matter of interest for the investors.