Small-cap stock under ₹50: Despite the Indian stock market witnessing extreme volatility during the second half of December, shares of TCI Finance have moved against the tide, maintaining a strong winning streak by steadily hitting upper circuit limits and delivering massive returns in a very short period.
The NBFC stock was locked in another 5% upper circuit limit in Wednesday’s session (December 31), reaching ₹27.36 apiece. According to NSE data, TCI Finance shares hit the upper circuit for the tenth straight session today. Around 44,000 shares of TCI Finance were traded today as of 12.50 pm on the NSE and around 4,000 on the BSE.
The stock began its bull run on December 17 by hitting a 20% upper circuit limit, followed by another 20% gain in the subsequent session. This prompted the exchanges to progressively reduce the circuit limit, first to 10% and then to 5%. However, the rally continued with the same momentum, thereafter, resulting in a 144.3% surge in just ten trading sessions.
The sharp rally has caught not only investors’ attention but also that of the exchanges, which sought clarification on the steep movement in the share price on December 19.
In its response to the exchanges on December 20, the company said there was no material information or announcement required to be disclosed under applicable regulations, nor had any such information been withheld.
In a separate filing dated December 26, the company informed the exchanges that the trading window for dealing in the company’s securities shall remain closed from the start of trading hours on January 1, 2026, until 48 hours after the declaration of the financial results for the third quarter ended December 31, 2025.
The closure applies to all designated persons, their immediate relatives, and all connected persons covered under the said code. The company also stated that the date of the board meeting for the declaration of the unaudited financial results for the third quarter ended December 31, 2025, will be announced soon.
Such sharp moves are not uncommon in small-cap stocks, where low liquidity and momentum-driven trading can lead to outsized gains even in the absence of a clear fundamental trigger.
December rally contributes to a 47% surge in 2025
The sharp turnaround in December, following a period of sideways movement over the previous five months, contributed to a 47% rally in 2025. In 2024, the shares delivered a phenomenal return of 370%, taking the two-year cumulative gain to 592%.
The rally has also significantly boosted shareholder wealth, with retail investors benefiting the most, as they collectively owned a 75.3% stake, according to the September quarter shareholding pattern available on BSE. The remaining 24.7% stake was held by the promoters.
TCI Finance is a non-banking financial services company registered with the Reserve Bank of India (RBI). It offers loans against securities and financing for commercial vehicles.
Disclaimer: This story is for educational purposes only. We advise investors to check with certified experts before making any investment decisions.
