Abstract

The research paper is organized to analyze the risk and return of selected small cap stocks listed on BSE and also to compare the performance of each stock against the benchmark. The data is collected for a period of 5 years i.e., from 1st January 2014 to 31st December 2018. The paper compares the performance of each stock taking BSE Small cap index as benchmark. The study is purely based on secondary data collected from BSE. The data were collected based on monthly prices of the selected small cap stocks, and with the help of monthly prices annual return were calculated for a period of 5 years. The study shows that Aarti drugs, Wintac pharmaceuticals and TATA Elxsi have given highest returns during the study period. Whereas the return of DCB bank is lowest during the same period. The beta of all the stocks are positive except TATA Elxsi, indicating that all the shares carry a higher risk.

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