Multibagger small-cap stock under ₹50 hits upper circuit after THIS business expansion update

Multibagger small-cap stock in focus today: Despite the Indian stock market remaining under selling pressure during Monday’s trade (June 23), shares of Colab Platforms, a small-cap firm, hit the 5% upper circuit limit at ₹31.20, extending their winning streak to the fourth straight session and delivering a cumulative gain of 21.4%.

Monday’s rally came after the company announced on Friday its foray into the billion-dollar esports market, with a vision to build India’s most rewarding competitive gaming ecosystem.

The company stated it is building a player-first competitive gaming platform tailored for India’s digital-first generation. This new venture aims to establish India’s most transparent, skill-based esports infrastructure, designed to support both casual and professional gamers. The platform will offer aspiring players a space to train, compete, and grow in a competitive yet supportive environment.

“Through this initiative, Colab Platforms seeks to become a catalyst in shaping India’s next generation of digital athletes — not just by offering a competitive platform, but by nurturing the entire journey of a player, from casual gamer to professional esports talent capable of competing in global leagues and representing Indian esports on the global stage,” the company said.

Mr. Puneet Singh, Managing Director of Colab Platforms Limited, added: “With over 594 million gamers in India, the upcoming Olympic Esports Games, and increasing institutional backing, the esports sector presents a high-growth, undercapitalized opportunity. Colab Esports is built to capitalize on this opportunity — giving players a platform to compete, earn, grow, and turn their passion into real progress.”

According to recent industry reports, India’s pure-play gaming sector was valued at ₹6,715 crore in 2024 and is projected to cross ₹10,487 crore by 2026, registering a compound annual growth rate (CAGR) of 24%. With over 594 million online gamers and one of the world’s youngest digital populations, India has strong potential to become a global esports hub.

Colab Platforms share price trend

Colab Platforms have delivered massive returns to shareholders, surging 317% in one year, 950% in two years, 1,350% in three years, and 3,019% over the last five-year period. The stock has been trading on an ex-split basis since May 21, following a 1:2 stock split.

This marks the second stock split announced by the company in just over a year. Previously, the company had split its shares in a 1:5 ratio in March 2024.

According to its website, Colab Platforms offers solutions across the sports value chain, including data-driven performance analysis, athlete career planning, sports content creation, and branding and sponsorship management.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.