Association of Mutual Fund in India (Amfi) in its latest reclassification report has mentioned that the cut-off market cap to become a large cap company stood at Rs 37,746.26 crore compared to Rs 28,900.31 crore as of January. As well as, the cut-off to be a midcap company stood at Rs 11,820.07 crore as against Rs 8,389.68 crore.
Apollo Hospitals, Cholamandalam Investment and Finance, SAIL, Bank of Baroda, Honeywell Automation and Adani Total Gas have moved from midcap space to largecap. These stocks replaced PI Industries, HPCL, Indraprastha Gas, Petronet LNG, Hindust Aeronautics and Abbott India.
Further, there was a lot of movement in the broader market as they have been in the spotlight for the last six months. 15 stocks moved from midcap to smallcap category, while 11 moved to midcap from smallcap.
Metropolis Healthcare, ITI, Prestige Estates, Mahanagar Gas, P&G Health, Credit Access, Motilal Oswal, Granules India, Bombay Burmah, Astrazeneca, Godrej Agrovet, IIFL Wealth, SJVN and Central Bank moved from midcap to smallcap. While, Tata Elxsi, APL Apollo, Kajaria Ceramics, Bank of Maharashtra, Apollo Tyres, Indian Bank, Alkyl Amines, Linde India, Affle India, Blue Dart and Vaibhav Global moved to midcap segment from smallcap.
Amfi announces reclassification of shares twice in a year. The next reclassification will happen in early January. Mutual fund managers are required to consult the Amfi classification to balance their portfolio according to the category requirement. The fund managers have one month to comply with the new changes.