BSE Smallcap index hits over 3-year low, tanks 28% in a month

As many as 27 stocks from the index have seen their stock price more than halve in a month

The S&P BSE Smallcap index hit an over 3-year low on Wednesday as shares of smallcap companies continued to reel under pressure on concerns of economic growth slowdown amid the coronavirus pandemic.

At 12:00 pm, the S&P BSE Smallcap index was down 4.2 per cent at 10,384 points -- its lowest level since March 30, 2016. In comparison, the S&P BSE Sensex and S&P BSE Midcap index were down 2.7 per cent and 3.5 per cent, respectively. In the past one month, the smallcap index has slipped 28 per cent, against 27 per cent decline in the Sensex and midcap index.

As many as 29 stocks from the smallcap index, including SpiceJet, Delta Corp, Venky’s India, Shakti Pumps, Welspun Corp, Raymond, WPIL and Corporation Bank have seen their share price more than halved in the past month. Besides, a total of 209 stocks have fallen 40 per cent-50 per cent during this period.

As the coronavirus pandemic escalates and growth heads sharply lower against a backdrop of volatile markets and growing credit stress, S&P Global's economists forecast a global recession this year. The agency on Wednesday lowered India's economic growth forecast to 5.2 per cent from 5.7 per cent for 2020.

The impact on the Indian economy could be significant if the virus continues to penetrate the country, which will have a longer lasting effect.

According to CARE Ratings survey, hospitality and tourism will face an adverse effect of the outbreak of coronavirus followed by airlines and auto and auto ancillary. A total of 80 per cent of the respondents opined that the non-performing asset (NPA) levels in the banking sector are going to increase owing to adversities in the economic activities owing to outbreak of COVID-19 across various countries, the agency said in recent report.

“Concerns over the fast spreading coronavirus across the globe will most likely continue to weigh on the markets. Infact, its impact on the economy will be felt for a longer period though the exact nature and quantum of the same is difficult to estimate at current juncture. Thus volatility is likely to continue in near term with downward pressure on the markets,” Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services said.

COMPANY	LATEST	ONE-MONTH BEFORE	LOSS(%)
FUTURE SUPPLY	165.40	447.70	-63.1
OLECTRA GREENTEC	58.45	152.15	-61.6
WELSPUN CORP	81.50	207.35	-60.7
KAYA LTD	120.80	303.25	-60.2
MAGMA FINCORP	20.95	50.70	-58.7
INTELLECT DESIGN	58.10	137.95	-57.9
GAYATRI PROJECTS	12.00	28.00	-57.1
BLS INTERNAT.	29.75	67.90	-56.2
HIND.OIL EXPLOR.	39.80	90.55	-56.1
I T D C	131.00	295.05	-55.6
SPICEJET	37.85	84.05	-55.0
SADBHAV ENGG.	41.15	89.90	-54.2
TAKE SOLUTIONS	45.85	98.20	-53.3
DREDGING CORPN.	154.35	328.55	-53.0
SHAKTI PUMPS	120.00	252.90	-52.6
DHAMPUR SUGAR	89.65	188.95	-52.6
WINDSOR MACHINES	9.70	20.40	-52.5
DELTA CORP	71.55	149.95	-52.3
VENKY'S (INDIA)	677.00	1414.70	-52.2
JP POWER VEN.	0.70	1.46	-52.1
WPIL	279.85	580.40	-51.8
DATAMATICS GLOB.	32.00	66.25	-51.7
AVADH SUGAR	124.20	254.50	-51.2
NCC	20.35	41.45	-50.9
ZEN TECHNOLOGIES	27.00	54.90	-50.8
RAYMOND	284.75	578.70	-50.8
JINDAL STAIN. HI	37.40	75.40	-50.4
DWARIKESH SUGAR	17.45	35.00	-50.1
CORPORATION BANK	10.40	20.80	-50.0
V2 RETAIL	40.75	80.95	-49.7
SELAN EXPL. TECH	70.00	139.00	-49.6
RAMCO SYSTEMS	79.00	155.85	-49.3
EQUITAS HOLDINGS	54.00	106.40	-49.3
TRIVEN.ENGG.IND.	40.00	78.55	-49.1
RUCHIRA PAPERS	29.90	58.70	-49.1
ADF FOODS	151.00	295.75	-48.9
DALMIA BHARAT	55.75	108.95	-48.8
PRAJ INDS.	54.65	106.80	-48.8
WALCHAN. INDS.	29.40	57.25	-48.7
UTTAM SUG.MILLS	56.00	108.85	-48.6