Wardwizard Innovations, Mobility and JTL lead small-cap rally with gains up to 62%

Indian equity markets stayed largely flat during a volatile week, but select small-cap stocks delivered sharp gains of up to 62%, even as foreign selling, sectoral divergence and global uncertainties kept benchmark indices in consolidation mode.

Indian equity markets navigated a choppy and directionless week, with benchmark indices ending largely unchanged while a pocket of small-cap stocks delivered outsized gains, defying the broader market trend.

The Nifty 50 inched up just 0.04 per cent for the week, while the BSE Sensex closed marginally lower, reflecting subdued sentiment amid mixed global cues. Despite the consolidation, as many as 27 small-cap stocks posted sharp rallies, with some surging as much as 62 per cent on strong stock-specific triggers.

Sectoral performance remained uneven. PSU bank and metal stocks outperformed, with their respective indices rising nearly 4.5 per cent each during the week. The IT sector also saw healthy buying interest, with the Nifty IT index gaining around 2.8 per cent. In contrast, sectors such as consumer durables, realty, pharma and healthcare declined close to 2 per cent, highlighting persistent pressure in rate-sensitive and defensive segments.

Investor flows continued to shape market dynamics. Foreign Institutional Investors (FIIs) remained net sellers, offloading equities worth ₹14,265.58 crore during the week. This selling pressure was largely offset by strong Domestic Institutional Investor (DII) participation, which saw net inflows of ₹16,173.69 crore, providing stability to the markets.

Market experts described the current phase as one of consolidation marked by heightened volatility. Analysts noted that the Nifty is oscillating within key moving averages, with immediate support seen around the 25,500 level. A decisive move above 25,900 could open the door for further upside, they said.

Despite the broader weakness, small-cap stocks such as Wardwizard Innovations and Mobility and JTL Industries recorded gains ranging between 15 and 62 per cent. However, losses in names like Genesys International Corporation and Nectar Lifesciences underscored the risks in the segment.

With major earnings announcements from companies such as Reliance Industries, HDFC Bank and ICICI Bank due next, market participants are expected to remain cautious and increasingly selective, focusing on stock-specific opportunities rather than broad-based rallies.