Mid-cap & small-cap under perform, but these 40 stocks gain 10-40% in last week

After showing V-shape recovery in the post Budget week, the Indian indices witnessed consolidation in the week ended February 14 amid mixed global cues due to coronavirus (COVID-19) fears.

Benchmark indices finished with little change in the volatile week as the Sensex added 115.89 points to end at 41,257.74 and the Nifty50 rose 15.15 points to close at 12,113.5.

The S&P BSE Mid-cap index shed 1.53 percent, while the S&P BSE Small-cap index fell 1 percent for the week ended February 14.

The market is expected trade sideways with a negative bias on account of continued impact of China issue and lack fresh triggers, experts say.

"Markets are facing headwinds from both the domestic and global front, however, the benchmark still looks comparatively stable. Stocks, on the other hand, are witnessing volatile swings and we expect this trend to continue, at least in the near future," said Ajit Mishra, VP - Research, Religare Broking.

"In the absence of any major local event, we feel global cues will largely dictate the market trend," he added.

As many as 40 stocks in the S&P Small-cap index rallied 10-40 percent. These include Tasty Bite Eatables, RSWM, Shankara Building Products, Shilpa Medicare, Akzo Nobel India, Lakshmi Vilas Bank, Punj Lloyd, Asian Oilfield Services, and Ipca Laboratories among others.

As the domestic earnings season comes to an end and with no major local or global event lined in the next week, all eyes will remain on COVID-19 and its impact on the global markets.

On the domestic front, India's retail inflation for January stood at 7.59 percent versus 7.35 percent seen in December 2019. While, wholesale price inflation (WPI) for January stood at 3.1 percent.

S&P retained India’s rating with a stable outlook and expects a gradual recovery in the economy with GDP growth reaching 7 percent in two years.

"Technically, Nifty formed a Doji candle on a weekly scale while a Bearish candle on the daily scale which indicates tug of war between Bull and Bears with some supply at higher zones. At the current juncture, the index has got stuck in range and till the time, it holds above 12,000 levels, we may see ongoing optimism with a consolidative move towards 12,250 zones,” said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services.