Varun Beverages, ABB, Page among six stocks that could become large-caps

They could replace Piramal Enterprises, Gland Pharma, Mphasis, Muthoot Finance, Bandhan Bank and Paytm, which may move to mid-cap space, reveals analysis by Brian Freitas of Periscope Analytics

Six stocks are seen moving from mid-cap to the large-cap universe during the next stock reclassification by mutual fund industry body Association of Mutual Funds in India (Amfi).

These stocks are Varun Beverages, ABB India, Page Industries, Trent, Tata Elexi and TVS Motors. These stocks could replace Piramal Enterprises, Gland Pharma, Mphasis, Muthoot Finance, Bandhan Bank and Paytm, which are seen moving from largecap to midcap space, reveals an analysis by Brian Freitas of Periscope Analytics.

Among small-cap stocks, seven are seen shifting to the mid-cap space including Timken India, Metro Brand and Blue Dart Express. One new listing Piramal Pharma is also likely to enter the midcap space.

Hence, eight mid-cap stocks are likely to move down to the small-cap universe. Aavas Financiers, ICICI securities and Godrej Industries are some of these stocks.

Apart from Piramal Pharma, all other new listings between July and October are expected to make it to the small-cap universe.

The classification has been computed using data to the close of trading on October 31 and that covers 80 trading days with 43 trading days left in the computation period, Freitas, who publishes on Smartkarma, said in a note.

Amfi will release a reclassified list of stocks every 6 months, January and July. Stocks that rank 1-100 in terms of full market capitalization are classified as large cap, stocks ranked 101-250 as mid cap, and stocks ranked 251 and below as small cap.