Nifty Midcap 100 index hits record high, Smallcap 100 touches 52-week high

The optimism around Q1 earnings is shifting from large caps to midcaps. Following a five-week breather near the all-time high, the Midcap Index regained momentum, said ICICI Securities.

Shares of midcap and smallcap companies were in demand with the Nifty Midcap 100 index (63,510.60) and Nifty Smallcap 100 index (19,557.35) hitting their respective 52-week highs, gaining 1 per cent on the National Stock Exchange (NSE) in Monday’s intra-day trade.

 

In fact, the Nifty Midcap 100 index hit a record high in intra-day trade today, surpassing its previous high of 63,183.35 touched on July 15, 2026. Nifty Smallcap index surpassed its earlier high of 19,470.50 hit on the same date.

 

Aditya Birla Capital, Godfrey Phillips India, Jubilant FoodWorks, One 97 Communications (Paytm), LG India, KPIT Technologies, L&T Finance and Indian Renewable Energy Development Agency (IREDA) from the Nifty Midcap 100 index were up in the range of 3 per cent to 5 per cent.

 

Meanwhile, Urban Company from the Nifty Smallcap 100 surged 17 per cent to ₹152.21 after the company’s revenue from operations during the April to June 2026 quarter (Q1FY27) grew 43.85 per cent year-on-year (YoY) to  ₹528.34 crore. On a sequential basis, the net loss narrowed to ₹92.12 crore from ₹161.16 crore in the preceding March quarter, while revenue rose 24 per cent from ₹425.56 crore.

 

Pine Labs, Neuland Labs, Great Eastern Shipping Company, Syngene, Reliance Power, Meesho, Piramal Pharma, PNB Housing Finance and IRCON International among others from the Smallcap 100 index gained 3 per cent to 6 per cent.

 

The Indian equity market rallied 1 per cent on Monday on the back of positive geopolitical developments. Reports of the US and Iran likely to resume diplomatic talks triggered a sharp fall in Brent crude prices.

 

Meanwhile, analysts at ICICI Securities reckon that the optimism around Q1 earnings is shifting from large caps to midcaps. "Following a five-week breather in the vicinity of the all-time high, the Midcap Index has regained momentum. Historically, seasonality favours the month of August, delivering positive returns on six out of ten occasions with an average gain of 3 per cent," said the brokerage firm.  Check - TOP GAINERS NSE | TOP LOSERS NSE 

July foreign institutional investors' (FIIs) net selling dropped to ₹6,000 crore which is drastically low compared to past six months' average of ₹57,000 crore. As global volatility around AI trade mounts, the brokerage firm believes the focus would start shifting back to the growth-oriented Indian market.

 

On the positive side, Brent crude corrected nearly 4.5 per cent to around $84 per barrel as concerns over supply disruptions through the Strait of Hormuz eased. The decline in oil prices is a constructive development for India, as it helps ease inflationary pressures, supports the rupee, and improves the macro outlook said Rajesh Palviya, Head of Research, Axis Direct.

 

Meanwhile, the market is set for a breakout above 24,500 Nifty and has the potential to sustain above that level. The decline in Brent crude to below $84, the good progress in monsoon in July and FIIs turning buyers are positive triggers for the market, said Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments.

 

Good inflows through the FCNR (Foreign Currency Non-Resident) (B), ECB (External Commercial Borrowing) and OFCB (Overseas Foreign Currency Borrowings) routes have contributed to stabilising the rupee, which, in turn, is facilitating FII comeback.

 

A significant trend in the economy is that growth has been resilient despite the many headwinds the economy has been facing. The fiscal and monetary stimulus given in 2025 is acting with a lag to sustain the growth momentum in the economy. The better-than-expected credit growth, now running above 18 per cent, and the sustaining growth in auto sales numbers are good indicators of the growth momentum in the economy. The Q1 results declared so far have surprised a bit on the upside. If this trend sustains, FY27 earnings growth can be better than initial expectations, said Dr. VK Vijayakumar.  ===============================================  Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.