SME IPOs: 2025 Proves Fundamentals, Not Hype, Create Multi-baggers

• 2025 was a 'reality check' for Indian SME IPOs, with diminished appeal due to weak markets and investor caution.
• Many SME shares failed to sustain gains, and some investors incurred losses, contrasting with past sharp listing gains.
• Despite challenges, 29 SME shares delivered over 100% returns in 2025, proving multi-bagger potential, according to Trendlyne data.
• Success was attributed to strong fundamentals, clear business models, and reliable management, not just hype.
• Investor behavior shifted towards caution and disciplined stock selection, indicating market maturity.

Why It Matters: 2025 taught SME investors that strong fundamentals and careful selection are crucial for long-term multi-bagger returns.