11 Motilal Oswal's Preferred Small/Mid Cap Stocks To Buy That Have Corrected Up To 40% From 52-W High

In its Eagle Eye report (June 2022), Motilal Oswal says the country's market in May month underperformed world equities. But despite the pressure seen in the month, on a YTD basis, it stands out and is outperforming global markets in CY22 till date, despite several macro headwinds, even as
midcap/smallcap indices lag.

11 Motilal Oswal's Preferred Small/Mid Cap Stocks To Buy That Have Corrected Up To 40% From 52-W High

In less than six months, the underperformance in IT has shaved off 300bp from its weightage in the Nifty.

There has been pressure both in the volume as well as non-institutional participation. FII outflows continued for the eighth consecutive month. In CY22 till date, outflows stood at USD22.2b, but were compensated by DII inflows of USD20.7b.

The only silver lining though has been corporate results which for the quarter and Fy22 stood resilient, "with the Nifty EPS up 35% - the highest since FY04. Forward estimate revision for FY23 was stable.WhileGDP growth was muted at 4.1% for 4QFY22, the high-frequency macro data
indicators show continued healthy trends (GST collection and PMI readings)", said the report.

Company	M-Cap(USDb)	CMP(INR)	Corr.From 52high(%)	FY22	FY23E	FY24E	EPS CAGR.%FY22-24
Chola.InvFin&	72	679	-12	26.1	29.8	35.2	16.1
Macrotech Developers	6.0	968	-37	25.0	33.8	40.1	26.8
Ashok Leyland	5.2	138	-10	0.1	3.0	6.6	690.3
L&T Technology	4.8	3,504	-41	90.5	111.3	131.9	20.7
Jublaint Foodworks	4.7	551	-40	6.6	7.7	9.9	22.2
APL Apollo Tubes	3.0	939	-16	20.2	27.3	36.2	33.8
GR Infaprojects	1.8	1,421	-38	78.7	83.3	103.6	14.8
Angle One	1.6	1,474	-27	75.5	93.8	114.7	23.3
Sapphire Foods	0.9	1,065	-31	7.2	10.7	24.1	82.5
VRL Logistics	0.8	646	-3	18.1	19.9	24.0	15.0
Lemon Tree Hotel	0.7	65	-10	0.9	1.1	1.6	Lp