New Delhi, July 27 -- Large-cap stocks have been better at generating returns above the broader market, often referred to as alpha, a Mint analysis has found. It shows that 52% of Nifty 50 stocks hit their 52-week highs between January and June 2026, compared with 31% in the Nifty Midcap 100 and 27% in the Nifty Smallcap 250.

However, as domestic investors continue to drive the market while foreign investors remain net sellers, market participants believe a bigger, long-term return opportunity lies in well-selected small- and mid-cap (Smids) stocks rather than large-caps. The key, they say, is staying invested in quality Smids) over the long term.

"This is more a reflection of the dynamics of domestic institutional flows into equities,"...