Overnight Digest: Top 5 Mid and Small-Cap Stocks to Watch for July 3

On Tuesday, the market saw a sharp decline after reaching record highs in the opening hour. The Sensex fell by 0.04%, closing at 79,441.46, while the Nifty declined by 0.07%, ending at 24,123.85.

Within the sectoral landscape, Nifty IT, Nifty Media, and Nifty Realty were among the top gainers, while Nifty PSU Bank, Nifty FMCG, and Nifty Bank were among the top losers.

L&T, Wipro, and Infosys led the gains, whereas Shriram Finance, Bharti Airtel, and Kotak Bank were the top losers.

The broader market also experienced losses, with the Nifty Midcap closing lower by 0.78% and the Nifty Smallcap falling by 0.45%. Approximately 1,110 stocks advanced compared to 1,179 that declined, indicating a slight negative sentiment in the broader market.

Here is the list of the top 5 mid and small-cap stocks to watch:

1. Pondy Oxides and Chemicals Ltd (Rs 951.90)
   

   Pondy Oxides and Chemicals Ltd’s shares hit a new high at Rs 1,022, indicating strong upward momentum. The company manufactures lead metal and alloys and other non-ferrous metals. Additionally, the stock has provided returns of 42.87% in the past month. Therefore, it is recommended to add this stock to your watchlist.

2. IOL Chemicals & Pharmaceuticals Ltd (Rs 428.60)
   

   IOL Chemicals & Pharmaceuticals Ltd is a leading pharmaceutical (APIs) company and is a significant player in the specialty chemicals space. The company’s shares closed up by 4.69% today and experienced a significant surge in trading volume, surpassing the weekly average by almost 18.3 times. Considering this positive signal, it’s advisable to add this stock to your watchlist.

3. V2 Retail Ltd (Rs 777)
   

   V2 Retail Ltd, operating primarily in Tier-II and Tier-III cities, reported standalone revenue of Rs 414.17 crores for Q1FY25, marking a 57% YoY growth from Rs 263.61 crores in Q1FY24. Same Store Sales Growth (SSG) was 37% compared to Q1FY24. Sales per square foot for Q1FY25 increased to Rs 1,059 from Rs 798 in Q1FY24. These metrics make V2 Retail a stock to be kept on the watchlist.

4. G M Breweries Ltd (Rs 796.40)
   

   G M Breweries Ltd manufactures and markets Alcoholic Beverages such as Country Liquor and Indian-made Foreign Liquor Shares of the company were locked in an upper circuit of 20% for the day. Over the past week, the stock has delivered impressive returns of 18.87%. Given this momentum, keep this stock on your radar.

5. Dredging Corporation of India Ltd (Rs 1,215.5)
   

   Dredging Corporation of India Ltd is engaged in providing integrated dredging services to ports, Indian Navy and other maritime organizations in India. Shares of the company were again, for the second day, locked in 5% upper circuit today and reached its 52-week high price of Rs 1,215.50 Over the past month, the stock has delivered a 32% return, making it advisable to keep this stock on your watchlist.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. The information is based on various secondary sources on the internet and is subject to change. Please consult with a financial expert before making investment decisions.