Over 50% Of NSE’s Stocks With Market Capitalization Exceeding Rs 1,000 Crore Decline In FY25; Small-Cap Stocks Suffer The Most

The financial year 2025 (FY25) recorded an investor dip in 55% of the National Stock Exchange (NSE) listed companies exceeding Rs 1,000 crore market capitalization.

The current market trends point to challenging conditions together with rising market volatility that causes Investors to become more uncertain.

Decline In Market Capitalization

Data from the National Stock Exchange indicates that more than half of companies that have Rs 1,000 crore in market capitalization have experienced stock market devaluation.

The market values of numerous organizations have decreased by double digits, causing particular enterprises to experience decreases of 71% or more. The decline in share prices affects primarily small-cap companies while both large-cap and mid-cap stocks experienced losses.

10 Small-Cap Stocks With The Sharpest Declines

Ten specific small-cap stocks endure substantial losses of 58-71 per cent as part of the major impacted companies. These include:

1. Spandana Sphoorty Financial

2 .Gensol Engineering

3. Fusion Finance

4. Jai Corp

5. Sun Pharma Advanced Research Company (SPARC)

6. Sanghvi Movers

7. Dish TV India

8. Veritas (India)

9. Salasar Techno Engineering

10. Sterling and Wilson Renewable Energy

These stocks experienced a steep fall because investors lost confidence probably because of poor financial results and regulatory hurdles along with economic conditions.

Factors Contributing To The Decline

Various elements have triggered this extensive market decrease:-

• Investor sentiment weakened because of global inflation threats together with geopolitical issues which created market uncertainties.
• Certain sectors have encountered elevated difficulties through sector-based challenges affecting the finance sector and renewable energy and infrastructure.
• The stock selling activities of investors pursuing profit gains caused market price drops through various market corrections.
• Earnings reports with weak results have prompted intense selling pressure across the affected companies.

Resilient Sectors Amidst Turbulence

Despite the challenges, some sectors have shown resilience during this period. Technology and healthcare stocks continue to attract investor interest due to their growth potential and adaptability to changing market dynamics.

Companies in these sectors with strong fundamentals and strategic positioning have managed to weather the storm better than others.