- Published at
- by economictimes.indiatimes.com
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Smallcap mania is back. But do Q4 earnings really justify the multibagger hype?
A smallcap rally is exciting investors, with the BSE Smallcap Index rising nearly 10% in a month and many stocks delivering over 30% returns. However, earnings growth lags behind, with smallcaps showing lower profit growth compared to largecaps. Experts advise caution, suggesting a focus on fundamentals and a potential shift towards largecaps due to stretched valuations in the smallcap segment.