Overnight Digest: Top 5 mid and small-cap stocks to watch out for May 31

On Thursday, the market experienced its fifth consecutive day of decline, marking the longest losing streak in seven months.

The Sensex fell by 0.83%, closing at 73,885.6, while the Nifty dropped by 0.95%, ending at 22,488.65.

Despite the overall downturn, the Media and Banking sector saw gains, whereas the Metal, Healthcare, and IT sector underperformed.

Among the top gainers were mainly banking stocks, including ICICI Bank, Axis Bank, SBI, HDFC Bank, and Bharti Airtel. On the other hand, Tata Steel, Tech Mahindra, and Grasim were among the top losers.

Market sentiment was negative, with 703 stocks advancing and 1816 stocks declining. Notably, the Nifty Midcap index fell by 1.34%, while the Nifty Smallcap index rose by 1.62%.

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

1. KNR Constructions Ltd (Rs 302.90)
   

   KNR Constructions Ltd’s shares hit a new high at Rs 309.80, indicating strong upward momentum. With a 12.90% return in the past month, the company is a Hyderabad-based infrastructure project development company providing EPC services in segments such as roads and highways, irrigation and urban water infrastructure management. Add this stock to the watchlist.

2. Hindustan Motors Ltd (Rs 35.80)
   

   Hindustan Motors Ltd manufactures and sells vehicles, spare parts of vehicles, steel products and components. it also does trade of spare parts of vehicles. Shares of the company were locked in an upper circuit of 5% for the day indicating increased buyer interest. The stock has delivered year till date returns of whopping 107.54%. Hence given such momentum, keep this stock in your radar.

3. Suprajit Engineering Ltd (Rs 439.90)
   

   Suprajit Engineering Ltd is India’s largest automotive cable and halogen bulb maker with an annual global capacity of 400 million cables and 110 million halogen bulbs. Suprajit’s customers list includes a large number of global automotive majors. Suprajit group has footprints in four continents with multiple plants, tech centres and warehouses. Shares of the company experienced a significant surge in trading volume today, surpassing its weekly average by 25 times. Considering this positive signal, it’s advisable to consider adding this stock to your watchlist.

4. Exicom Tele-Systems Ltd (Rs 314.90)
   

   Shares of the recently listed IPO Exicom Tele-Systems Ltd closed up by 16.85% today, indicating heightened investor activity. The stock has delivered a year-to-date return of 18.91% and reached a new 52-week high of Rs 322. The company specializes in power systems, electric vehicle (EV) charging, and related solutions. It is advisable to keep this stock on your watchlist.

5. Welspun Corp Ltd (Rs 603.90)
   

   Welspun Corp Ltd, one of the world’s largest manufacturers of large diameter pipes, announced in its board meeting today that it has recommended a dividend of 6% per share. The company has set Friday, June 28, 2024, as the “Record Date” to determine the shareholders eligible for the dividend. Given this positive development, it is prudent to closely monitor the stock.

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.