Top 5 Small-Cap Stocks (FII/FPI Favourites)

Introduction

After covering top large and mid-cap stocks, there are various stocks in the small-cap segment in which the FIIs/FPIs have a shareholding and are their favourites.

So now let’s talk about which stocks are in the eye of these Foreign Investors:

1.PVR Limited:

• PVR Limited has a market capitalisation of around Rs. 7,905 crore.
• The Foreign Institutional Investors holding in this stock as of 31 March 2021 is around 42.60% which is the highest in all small-cap companies.
• In the last year same quarter, the FIIs holding was 38.35% which is a good signal for the investors, as the Foreign Institutional Investors are showing interest in the company by increasing stake.
• And the promoter holding in the company is around 17.10%.
• FIIs hold 51.39% of the Free-Float which sums up to an amount of around Rs. 3,366 crore.

2. Redington India:

• Redington India has a market capitalisation of around Rs. 8,554 crore.
• The Foreign Institutional Investors holding in this stock as of 31 March 2021 is around 42%. In last year same quarter, the FIIs holding almost same in this company.
• And the promoter holding in the company is nil.
• FIIs hold 42% of the Free-Float which sums up to an amount of around Rs. 3,593 crore.

3. Cyient:

• Cyient has a market capitalisation of around Rs. 8,889 crore.
• The Foreign Institutional Investors holding in this stock as of 31 March 2021 is around 38.47%.
• In the last year same quarter, the FIIs holding was 43.52% which is a red flag for the investors, as the Foreign Institutional Investors are losing interest in the company by selling a stake.
• And the promoter holding in the company is around 23.50%.

FIIs hold 50.29% of the Free-Float which sums up to an amount of around Rs. 3,458 crore

4. Teamlease Services:

• Teamlease Services has a market capitalisation of around Rs. 6,000 crore.
• The Foreign Institutional Investors holding in this stock as of 31 March 2021 is around 37.83%.
• In the last year same quarter, the FIIs holding was 40.78% which is again a red flag for the investors, as the Foreign Institutional Investors are losing interest in the company by reducing stake in the company.
• And the promoter holding in the company is around 34%.
• FIIs hold 57.32% of the Free-Float which sums up to an amount of around Rs. 2,299 crore.

5. Indian Energy Exchange (IEX):

• Indian Energy Exchange has a market capitalisation of around Rs. 10,821 crore.
• The Foreign Institutional Investors holding in this stock as of 31 March 2021 is around 36.81%.
• In the last year same quarter, the FIIs holding was 31.99% which shows a good sign to the investors, as the Foreign Institutional Investors are gaining interest in the company by increasing their stake in the past 1 year.
• And the promoter holding in the company is nil.
• Hence, FIIs hold 36.81% of the Free-Float which sums up to an amount of around Rs. 4,000 crore.

Conclusion:

In 2 out of the above 5 companies, the Foreign Institutional Investors are losing interest in the company as they are reducing their stake. Whereas in Redington India, the stake is almost at the same level and in IEX and PVR, the FIIs have increased their interest in the past 1 year. IEX looks more stable than others as an investment option. All the stocks discussed above are not a direct recommendation to purchase and one should consult his financial advisor before investing in any of them.