InCred Capital Bets on 10 Midcap & Smallcap Stocks With Growth Potential of Up To 67%
Brokerage sees opportunities in logistics, pharma, fertilisers, AI-driven tech, luxury retail, spirits and packaging, with sectoral tailwinds supporting long-term growth.
InCred Capital highlights 10 promising mid & smallcap stocks across sectors like logistics, pharma, AI, retail and chemicals with upside potential up to 67%.
Strong Tailwinds for Mid & Smallcaps
The Indian stock market has been buzzing with opportunities beyond large caps, and InCred Capital has come forward with a list of 10 high-conviction midcap and smallcap names. According to the brokerage, these companies are positioned to benefit from structural demand, policy support, capacity expansions, and new product launches.
The potential upside across these stocks ranges between 15% and 67%, making them attractive bets for investors looking at medium-term growth stories.
Key Stock Ideas Identified by InCred Capital
1. Container Corporation of India (CONCOR)
With the Dedicated Freight Corridor (DFC) expected to be operational by late 2025, CONCOR could see a meaningful jump in freight volumes, especially from JNPT where rail share remains low. This makes logistics a strong long-term theme.
2. Ajanta Pharma
Ajanta continues to shine with its focus on niche and first-to-market launches in branded generics. Apart from strong India and emerging market growth, its US business is also scaling well through new filings.
3. Deepak Fertilisers & Petrochemicals
The company is expanding its technical ammonium nitrate (TAN) capacity and has secured long-term gas supply agreements, ensuring cost competitiveness. With backward integration also in place, margins could remain resilient.
4. Ethos Ltd
Luxury retail is on the rise in India, and Ethos has positioned itself as a premium watch and lifestyle brand retailer. Store expansion plans and higher contribution from luxury products are likely to boost revenues.
5. Thyrocare Technologies
Diagnostics remains a steady compounding story. While growth is moderate compared to other high-beta names, its presence in preventive health and testing ensures stability.
6. Skipper Ltd
The company is set to benefit from India’s rising investments in power transmission and infrastructure, making it a cyclical as well as structural play.
7. Camlin Fine Sciences
As a specialty chemical player, Camlin is gaining traction with its vanillin business. Rationalisation of overseas units and better pricing environment can unlock value.
8. E2E Networks
With India’s AI and cloud adoption accelerating, E2E Networks is scaling its GPU cloud infrastructure rapidly. Backed by strategic investors, it is well-placed to ride the artificial intelligence wave.
9. Globus Spirits
Ethanol blending and premiumisation in spirits are dual growth drivers here. Lower input costs and new launches in both IMFL and IMIL segments are likely to support margins.
10. TCPL Packaging
India’s packaging sector is consolidating, and TCPL’s scale advantage places it well to capture growth in FMCG and e-commerce packaging demand.
Sectoral Themes at Play
- Logistics: DFC connectivity could reshape freight economics.
- Healthcare: Niche launches and branded generics boost pharma resilience.
- Fertilisers: Import substitution and energy contracts provide margin stability.
- Technology: Cloud and AI adoption accelerates demand for GPUs.
- Consumer: Rising disposable incomes fuel luxury retail and premium beverages.
- Chemicals & Packaging: Scale benefits and global demand diversification act as tailwinds.
What Lies Ahead?
Looking into FY26 and beyond, these midcap and smallcap stories appear aligned with India’s infrastructure growth, consumption upgrade, global outsourcing, and digital acceleration.
- Bullish case: Timely execution of capacity additions, policy continuity (DFC, ethanol blending), and favorable raw material trends could help stocks deliver returns faster than expected.
- Base case: Most companies deliver steady growth in line with projections, supporting 15–30% upside across a diversified basket.
- Bearish case: Delays in projects, cost pressures, or regulatory changes may weigh on select names, but structural growth trends remain intact.
Final Word
For investors looking beyond large caps, InCred Capital’s 10-stock list offers a mix of stability and high-growth opportunities. The common thread across these names is structural tailwinds, sector-specific demand, and clear execution strategies.
As always, these are not guaranteed returns—market-linked risks remain, and investors should align positions with their risk appetite and consult financial advisors before investing.
