Overnight Digest: Top 5 mid and small-cap stocks to watch out for December 21, 2023

Today, Nifty50 faced one of its most challenging days in the past nine months, marking a 1.49% drop on March 13, 2023. Fast forward to December 20, 2023, after nine months of achieving Higher Highs and a substantial gain of approximately 3,700 points, Nifty witnessed a severe sell-off.

In the first half, Nifty50 sustained levels above 21,500, reaching a new all-time high of 21,593. However, in the second half, the market dynamics shifted, and bears took control, causing Nifty to plunge by over 400 points. It closed at 21,150.15, reflecting a decline of 1.41% or -302.95 points from the previous day’s close.

All sectors in the NSE sectoral index experienced bearish pressure, closing in the red. Notably, Nifty Media and Nifty PSU Bank were the most affected sectors by the sell-off. On a relatively positive note, Nifty FMCG displayed resilience, indicating strength in consumer goods stocks.

The broader market indices also succumbed to the sell-off, witnessing profit booking. Nifty Smallcap 100 saw a decline of 3.63% and Nifty Midcap 100 recorded a drop of 3.27% posting the biggest single-day fall since December 23, 2022.

Let’s find the mid and small-cap stocks which performed better in such tough market conditions

Here are the top 5 mid and small-cap stocks to watch on Thursday:

Tribhovandas Bhimji Zaveri Ltd (CMP Rs 128.10)

Tribhovandas Bhimji Zaveri Limited (TBZ) is engaged in the business of retail sales of ornaments made of gold, diamond, silver, platinum and precious stones through its showrooms and franchisee stores. Today the stock witnessed a substantial increase in volume by more than 18 times its weekly average. The stock closed up by 2.4% for the day in such tough markets, So Investors should add this stock to the watchlist.

CL Educate Limited (CMP Rs 102.15)

CL Educate Limited is engaged in the business of providing education and test preparation training programmes which include tuition to school students and coaching to aspirants for a variety of entrance examinations both at the school and graduate/postgraduate levels. Today the shares of the company achieved a new 52-week high price of Rs 108.25 and gained more than 12.4% for the day. With increasing promoter holding on a QoQ basis, it makes this stock a must add to the watchlist.

Shriram Pistons & Rings Ltd (CMP Rs 1,158.75)

Today, Shares of the company Shriram Pistons & Rings Ltd were locked in an upper circuit of 5% in such market turmoil signifying resilience. The stock is up by 13.5% over past 5 days showing good performance. The company is primarily engaged in the manufacturing of pistons, piston pins, piston rings and engine valves for various automotive companies in the domestic and export markets. Add the stock to the watchlist.

Cochin Shipyard Ltd (CMP Rs 1,223.95)

Cochin Shipyard Limited is a leading player in the construction of all kinds of vessels, repairs and refits of all types of vessels including periodic upgradation and life extension of ships. Today, in a press release the company disclosed that a contract with MoD has been signed on December 19, 2023 for a value of Rs. 488.25 Crores. The work package includes repair and maintenance of the equipment and systems onboard the naval vessel.

Raymond Ltd (CMP Rs 1700)

Raymond Limited incorporated in 1925 is a diversified group with interests in the Textile & Apparel sectors as well as a presence across diverse segments such as Real Estate, FMCG, and Engineering in national and international markets in 55+ Countries including the USA, Europe, Japan & Middle East. The company incorporated a wholly-owned subsidiary company by the name ‘Ten X Realty East Limited’ on December 20, 2023, to undertake a redevelopment project.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.