Fall from grace! 22 Multibagger Little Capitalization

Multibagger little capitalization: Once not very important actions that seemed to have no restrictions on their rally, now they are trying to find shelter from the continuation of the sale. The concerns about the valuation and poor results in December in December pushed many of these actions to months of minima, and some even reached an annual minima.

The collapse of a small capitalization campaign, which began as a profit reservation in October, deepened over the following months, because profit reports were not achieved from street estimates, increasing the fears of valuations. In addition, the escalational tariff tensions between global superpowers have restless investors, pushing them away from risky assets and safe investments.

Investors of foreign portfolios (FPI) discharge shares at an accelerated pace at 2025, based on fears of high valuations, global economic uncertainty and signs of slowdown in the Indian economy.

As a result, the supplies, which were once the favorites of Dalal Street, brought the burden of recent correction, which leads to violent losses in the portfolios of retail investors. Over the past month, 22 shares from NIFTA SmallCap 250 have dropped between 20% and 43%.

Newgen software appeared as the biggest delay, falling by 43.40% with ₹1626 to ₹1020. Actions recorded most of their decline after the company reported a weak set of numbers for the December quarter, which prompted many brokerage companies to cut target multiple.

Despite the delivery of multibagger profits of 118% in 2024 and 333% in 2023, the shares fought for the maintenance of the shoot, so far falling by 40% in 2025. Other IT actions, such as Netweb Technologies and Sonata Software, also fell 36% and 23% in a month respectively.

Kaynes technology was witnessed by a violent fall after the earnings from Q3 did not have street estimates. In addition, the company’s management has reduced the guidelines for revenues from FY25 ₹2800 CRERE from earlier projection ₹3000 Crore, causing further sales pressure. Over the past month, the shares were improved by 39%. In recent years, the actions have brought star returns, pushing their valuations to extreme levels.

Another Multibagger, came Industries, fell by 37% per month after the poor profits from the quarter prompted the Japanese brokerage company to reduce the target price of the action ₹10 300 Z ₹11,700, maintaining the “buy” rating. The actions increased by an impressive 2900% between 2021 and 2024, but the last winds led to sharp correction.

Railway stocks, including Jupiter’s wagons, Ramkrishny and Titarh Rail Systems, dropped by up to 36%. Investment goods, such as Beml, Triveni Turbine and Elecon Engineering, were also witnessed by high sales pressure.

In addition to the fears of the valuation and poor profits of December, the quarter, lower assignments of investment outlays in the budget of the Union 2025. They further deepened the mood of investors towards investment goods, which caused most shares in this trade in the area of ​​many months.

Other Multibagger actions, such as Sterling and Wilson, Motilal Oswal Financial Services, India Cements, Techno Electric & Engineering, Swan Energy, Praj Industries, Vedant, CDSL, NCC mods, Date India and Welspun Living, also met with significant declines.

In particular, all 22 of these actions have brought phrases from Multibagger in recent years, and despite the sharp correction, some still trade with significant profits.

Medium and small capitalization are still seeming

Dr. VK Vijayakumar, the main investment strategist, Geojit Financial Services, said: “A significant trend in the ongoing phase of the bear market is better results of large hats on a wider market. While MiteCapeu and small sewage indicators dropped by 8.6%and 11.3%respectively, Nifty fell by only 1.52%.

“Fii’s relentless sales in large hats meant that their valuations were fair, while the valuations of the average and small hat are excessive. FII will certainly change buyers in India, but this will only happen when the dollar index becomes weak. We know that this will happen, but I don’t know when. What investors must do now is buying high -quality large hats in banking, IT, car, pharmacists and capital goods and patiently waiting. When FII kicks buyers in India, which is inevitable, they will buy large hats that they now sell. For patient investors, this is a good opportunity, “added Vijayakumar.

Reservation: The views and recommendations given in this article come from individual analysts. They do not represent mint views. We advise investors to contact certified experts before making any investment decisions.