There are lots of questions in persons mind when we talk about small cap stocks. Firstly people ask for what is small cap stocks meaning and then they jump with questions like which is the best small cap stocks to buy and hold or best small cap stocks to buy in India for long term 2024. As mostly everyone is only aware of it that small cap stocks are high risky and they gives you the higher returns as well.
In this article we have focused to guide you towards top small cap stocks with highest upside potential in India 2024, what time frame one should consider when you invest for long term along with top 10 best small cap stocks in India for 2024. After reading this article you will be in position to understand which are the Indian small cap stocks with big potential and then, take your own decision towards best small cap stocks for 2024 to buy, sell, hold or invest in small cap stocks for long term.
Small Cap Stocks Definition
What are Small Cap stocks? Small cap stocks are stocks that move very rapidly up as well as down. Their market cap is much lower than the large or mid cap. They have a tendency to be extremely unpredictable. If you have a strong likes towards playing with higher risk, then these small cap stocks is the place where you would like to be in. In Indian stock market, best small cap stocks in 2024 like Dixon Technologies, Nilkamal, Venkys India, Birlasoft, Welspun India, Raymond, GE Shipping, etc. are few of the examples of small cap stocks. Of course, there are a large list of small cap companies, you can visit the BSE (Bombay Stock Exchange) or NSE (National Stock Exchange) website and check for the same.
It means, lying at the lowest end of market capitalization. Small-cap companies have smaller income, client or customer bases, and usually include the start-ups or companies in the early stage of development. small cap stocks with big potential have high returns as they are yet to be discovered within the sector and can show growth potential. Such list of companies stock is known as small cap stocks.
However, as these companies are doing businesses at small scale, its advised to do research for these best small companies to invest in 2024 India very carefully. After research, you may have shortlisted some of the top small cap stocks with highest upside potential in India 2024. Also it should be considered that small companies don’t have enough finance or quality to survive during bearish market or in bad times. It is essential that one should completely research with respect to the certifications, promoters, administration and reputation before you decide to invest in small cap stocks.
Top 10 – Top Small Cap Stocks to Buy for Long Term 2024
Small caps are frequently expressed as Indian small cap stocks with big potential to make huge returns. We would state that small caps can turn out to be an exceptionally good stock for long term investment if the small cap stock pick or small company are doing really a great and well-managed business. You can also analyze good stocks from best cheap stocks list of India for 2024.
When we say best small cap stocks for long term investment, it is advised to consider that one should select best small cap stocks to buy and hold for not more than 1 to 2 years. The list of small cap stocks provided below is based on EPS Ratio (Earnings Per Share Ratio) from highest to lowest also you can view Profit-Earning Ratio (P/E Ratio) and P/BV (Price to Book Value) for your analysis. Read what is EPS ratio with examples and what is P/E ratio with examples to understand better.
Observe the top small cap stocks with highest upside potential in India 2024 for long term investment from below table to get better idea. Your should perform more research and gain knowledge about these stocks before making any decision. On top of this, you should analyze stock based on technical analysis, fundamental analysis and charting skills to guide you in selecting Indian small cap stocks with big potential.
Sr. | Name Of Company | Intrinsic Value (IV) | Price to Earning (P/E) | Earning Per Share (EPS) | Book Value (BV) | 1-Year Return (%) |
1 | Great Eastern Shipping Co.Ltd. | 1120 | 4.44 | 176.52 | 780.93 | 27.63 |
2 | Godfrey Phillips India Ltd. | 1666.67 | 13.52 | 154.42 | 729.11 | 12.22 |
3 | Procter & Gamble Health Ltd | 2335.42 | 36.72 | 139.39 | 452.36 | 20.7 |
4 | Ceat Ltd. | 1717.16 | 16.31 | 128.97 | 926.02 | 22.56 |
5 | Mahanagar Gas Ltd | 2785.4 | 9.07 | 116.2 | 473.73 | 19.88 |
6 | Heg Ltd. | 3083 | 13.91 | 113.88 | 1126.83 | 58.85 |
7 | Eclerx Services Ltd. | 1379.97 | 22.96 | 102.31 | 402.53 | 66.31 |
8 | Motilal Oswal Financial Services Ltd. | 857.16 | 12.64 | 97.9 | 503.66 | 80.77 |
9 | Ratnamani Metals & Tubes Ltd. | 2378.99 | 38.77 | 88.83 | 402.14 | 77.79 |
10 | Mastek Ltd. | 2446.83 | 26.5 | 88.52 | 584.99 | 44.54 |
Note: Above ratios and values are established from January 2024 data. This list will assist you in your research like: stocks with low P/E ratio, stocks with high EPS ratio, stocks with high EPS and low PE ratio in 2024.
Top 50 – Best Small Cap Shares for 2024 with Big Potential:
We are presenting here small cap companies list which will assist you in your deep research. From the list of Indian small cap stocks with big potential companies you can choose which is best suitable for your portfolio. Below mentioned Top 50 – List of best small cap shares to buy in India for long term 2024. This list does not includes “Top Small Cap Stocks to Buy” which is mentioned above.
Sr. | Name Of Company | Intrinsic Value (IV) | Price to Earning (P/E) | Earning Per Share (EPS) | Book Value (BV) | 1-Year Return (%) |
1 | Basf India Ltd. | 2118.45 | 36.98 | 81.97 | 676.55 | 12.78 |
2 | Cholamandalam Financial Holdings Ltd | 1188.76 | 13.54 | 81.6 | 451.35 | 83.87 |
3 | Creditaccess Grameen Ltd | 1354.54 | 22.38 | 75.74 | 364.45 | 71.57 |
4 | Mazagon Dock Shipbuilders Ltd | 733.26 | 31.85 | 62.22 | 236.76 | 127.26 |
5 | Cyient Limited | 875.79 | 27.24 | 60.18 | 364.62 | 107.86 |
6 | Gujarat Narmada Valley Fertilizers & Chemicals Ltd. | 799.95 | 11.95 | 59.26 | 561.26 | 24.51 |
7 | Route Mobile Ltd | 2066.14 | 26.8 | 58.49 | 319.57 | 17.43 |
8 | Caplin Point Laboratories Ltd. | 1349.21 | 23.4 | 55.04 | 273.06 | 76.16 |
9 | Pnb Housing Finance Ltd | 500 | 15.59 | 49.79 | 545.3 | 123.63 |
10 | Can Fin Homes Ltd. | 572.27 | 15.15 | 49.48 | 297.5 | 44.45 |
11 | Nesco Ltd. | 967.47 | 18.05 | 45.26 | 297.59 | 33 |
12 | Iifl Finance Ltd | 628.22 | 14.48 | 44.43 | 260.03 | 53.04 |
13 | Uti Asset Management Company Ltd | 496.32 | 17.5 | 44.36 | 313.01 | 13.62 |
14 | Dcm Shriram Limited | 894.67 | 22.9 | 39.6 | 399.14 | 2.94 |
15 | Tanla Platforms Ltd | 798.58 | 24.28 | 38.21 | 130.05 | 24.26 |
16 | Jindal Stainless Ltd. | 460.3 | 14.9 | 37.23 | 160.84 | 178.36 |
17 | Just Dial Ltd. | 562.16 | 19 | 37.12 | 448.89 | 15.92 |
18 | Finolex Cables Ltd. | 553.12 | 24.68 | 37.08 | 256.47 | 73.74 |
19 | Narayana Hrudayalaya Ltd | 545.89 | 31.72 | 36.09 | 122.42 | 52.79 |
20 | Cochin Shipyard Ltd | 769.87 | 33.95 | 35.44 | 358.44 | 59.82 |
21 | Sonata Software Ltd. | 871.11 | 39.5 | 33.93 | 102.7 | 148.03 |
22 | Csb Bank Ltd | 333.38 | 10.82 | 33.3 | 184.66 | 62.22 |
23 | Welspun Corp Limited | 449.47 | 17.71 | 30.94 | 193.07 | 131.27 |
24 | Jk Lakshmi Cement Ltd. | 561.29 | 26.25 | 30.39 | 247.35 | 23.3 |
25 | Eris Lifesciences Ltd | 538.69 | 32.67 | 28.35 | 177.29 | 32.2 |
26 | Chambal Fertilisers & Chemicals Ltd. | 654.91 | 11.31 | 27.34 | 185.14 | 7.83 |
27 | Balrampur Chini Mills Ltd. | 255.98 | 16.24 | 26.76 | 156.03 | 25.36 |
28 | Gujarat State Fertilizers & Chemicals Ltd. | 510.59 | 6.93 | 26.08 | 307.1 | 49.67 |
29 | Idfc Limited | 125.37 | 30.44 | 25.92 | 75.79 | 57.18 |
30 | Security And Intelligence Services (India) Ltd | 419.36 | 17.56 | 24.72 | 169.88 | 9.52 |
31 | Indiabulls Housing Finance Ltd | 309.02 | 7.81 | 24.19 | 384.3 | 48.19 |
32 | Pnc Infratech Ltd | 576.31 | 13.2 | 23.94 | 179.78 | 18.23 |
33 | Intellect Design Arena Ltd | 469.23 | 29.96 | 23.28 | 163.88 | 54.91 |
34 | Zensar Technologies Ltd. | 385.11 | 22.2 | 23.22 | 143.56 | 138.49 |
35 | K.P.R. Mill Limited | 383.51 | 34.18 | 23.08 | 118.28 | 45.76 |
36 | Mangalore Refinery & Petrochemicals Ltd. | 248.87 | 5.42 | 21.64 | 67.94 | 117.63 |
37 | Ccl Products (India) Ltd. | 269.42 | 30.43 | 21.04 | 119.18 | 23.62 |
38 | Rites Ltd | 493.97 | 22.46 | 20.03 | 107.43 | 16.71 |
39 | Prince Pipes And Fittings Ltd | 458.45 | 36.95 | 19.88 | 131.02 | 19.49 |
40 | Triveni Engineering & Industries Ltd. | 205.9 | 18.1 | 19.2 | 122.95 | 27.86 |
41 | Knr Constructions Ltd. | 316.01 | 16.2 | 19.11 | 108.7 | 14.73 |
42 | Shipping Corporation Of India Ltd. | 249.1 | 7.17 | 18.98 | 152.77 | 36.94 |
43 | Godrej Agrovet Ltd | 299.77 | 26.43 | 18.63 | 123.07 | 2.74 |
44 | Vardhman Textiles Ltd. | 273.14 | 20.21 | 18.4 | 305.57 | 10.85 |
45 | Aarti Drugs Ltd. | 381.89 | 26.74 | 17.71 | 120.44 | 3.45 |
46 | Rbl Bank Ltd | 264.89 | 14.42 | 17.7 | 226.44 | 75.31 |
47 | Century Plyboards (I) Ltd. | 286.82 | 37.14 | 17.13 | 93.32 | 9.71 |
48 | Karur Vysya Bank Ltd. | 120.68 | 9.29 | 17.01 | 107.03 | 53.97 |
49 | Suven Pharmaceuticals Ltd | 457.44 | 33.63 | 16.96 | 76.03 | 19.98 |
50 | Granules India Ltd. | 373.55 | 22.57 | 16.27 | 122.43 | 0.59 |
Note: This would be ideal for research and analysis purpose. Stock Price and Financial Ratios are based on January 2024 data.
If you are new to technical indicators then you should prefer reading what are technical indicators, different types of technical indicators, what is support, what is volume, what is moving average and more about basics of technical analysis while researching best small cap stocks to buy and hold with big potential.
You can also grab more knowledge on other analysis for example: what is fundamental analysis, what are qualitative factors, what are qualitative data analysis, how to analyze annual report of a company, what are financial ratios of the companies. You can go through our free tutorial course on basics of fundamental analysis to gain education as a first step. This will provide you deep understanding when picking best small cap stocks for 2024 and then you can decide on whether these small cap stocks to buy and hold for long term or for short term.
Conclusion
Here we have seen top 10 best small cap stocks to buy for long term investment in India 2024-2025. This article should be considered purely be an informational purpose for best small companies to invest in 2024 rather than small cap stock recommendations. Our motto here is to provide you the list of top small cap stocks with highest upside potential in India 2024 to watch on. Take a look at it, you will get better ideas when picking best Indian small cap stocks to buy and hold with big potential. Hope you find this interesting and you are welcomed to share your feedback.
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Top 10 - Best Investment Options in India
- Chapter 1: Top 10 - Best Stocks for Long Term Investment in India
- Chapter 2: Top 10 – Best Dividend Paying Stocks for Long Term in India
- Chapter 3: Top 10 – Best Stocks to Buy for Long Term Investment in India
- Chapter 4: Top 10 – Best Large Cap Stocks to Buy for Long Term Investment in India
- Chapter 5: Top 10 – Best Mid Cap Stocks to Buy for Long Term Investment in India
- Currently Reading: Top 10 – Best Small Cap Stocks to Buy for Long Term Investment in India
- Chapter 7: Top 10 – Best Mutual Funds to Invest in for Long Term in India
- Chapter 8: Top 10 – Best Mutual Funds for SIP to Invest in India