COMPARATIVE ANALYSIS OF LARGE CAP, MID CAP, AND SMALL CAP STOCK PORTFOLIOS USING FUNDAMENTAL AND TECHNICAL APPROACHES IN INDIAN STOCK MARKET

Abstract

This study aims to compare large-cap, mid-cap, and small-cap portfolios based on Fundamental Analysis and Technical Analysis. By constructing three distinct portfolios, based on fundamental analysis methods, this research evaluates which portfolio yields better risk-adjusted returns over time. Based on technical analysis, this study aims to highlight whether investors should invest in stocks in real time or not. CURRENT INDIAN STOCK MARKET SCENARIO As of April 25, 2025, the total market capitalization of Indian listed companies in NSE stands at ₹419.21 lakh crore or 4.9 trillion. With India’s nominal GDP estimated at $4.19 trillion for FY2024–25, the Market Capitalization to GDP ratio is approximately 117%. This places the Indian stock market in the "modestly overvalued" zone according to the Buffett Indicator framework.