Gyaan 003
1/n
How to identify future multibagger:
Firstly there is no sure shot way of finding a multibagger, we can only guess based on certain things, those certain things may or may not work.
We also need to know how one stock becomes multibagger..
1/n
How to identify future multibagger:
Firstly there is no sure shot way of finding a multibagger, we can only guess based on certain things, those certain things may or may not work.
We also need to know how one stock becomes multibagger..
2/n
1. Stock will become multibagger only if we have a clean and honest management
2. Promoters keep some vision in mind to achieve certain milestone let say revenue
3. They start working on it and all from promoters to employess put their efforts to achieve that milestone
1. Stock will become multibagger only if we have a clean and honest management
2. Promoters keep some vision in mind to achieve certain milestone let say revenue
3. They start working on it and all from promoters to employess put their efforts to achieve that milestone
3/n
4. If the efforts work and company start showing growth in earnings then stock price starts moving
5. Movement of stock may start (before declaration of result) when analyst/big investors/insiders get to know about it
6. Company post good results and for consecutive quarters
4. If the efforts work and company start showing growth in earnings then stock price starts moving
5. Movement of stock may start (before declaration of result) when analyst/big investors/insiders get to know about it
6. Company post good results and for consecutive quarters
4/n
7. Company able to sustain and grow (in earnings) further with let say acquisition/expansion etc over the quarters/years and so stock price keep on increasing.
7. Company able to sustain and grow (in earnings) further with let say acquisition/expansion etc over the quarters/years and so stock price keep on increasing.
5/n
A. What you need to do to find these kind of stocks -
By reading about developments, future plans, their milestones, the way they are progressing, going through their investor presentations.
A. What you need to do to find these kind of stocks -
By reading about developments, future plans, their milestones, the way they are progressing, going through their investor presentations.
6/n
B. How/Where to find these details -
Companies post their press releases/updates for investors on NSE/BSE.
Like yesterday Raghav Productivity has posted their investor presentation where they have given detailed presentation on their expansion plans.
B. How/Where to find these details -
Companies post their press releases/updates for investors on NSE/BSE.
Like yesterday Raghav Productivity has posted their investor presentation where they have given detailed presentation on their expansion plans.
7/n
Now I will take certain examples,
1. Tanla changed its management and acquired companies which are in latest technology in 2019, results were frutiful and started showing in 2020 results and now they are sustaining it..stock price moved from 40 to 1000
Now I will take certain examples,
1. Tanla changed its management and acquired companies which are in latest technology in 2019, results were frutiful and started showing in 2020 results and now they are sustaining it..stock price moved from 40 to 1000
8/n
2. Gujarat Themis informed change in their business model in April 2019 and after sometime stock started moving and in 2 years stock was from 40 to 250
There are lot of examples..and it takes lot of time like min 1-1.5 year for stock price to reflect how company is growing
2. Gujarat Themis informed change in their business model in April 2019 and after sometime stock started moving and in 2 years stock was from 40 to 250
There are lot of examples..and it takes lot of time like min 1-1.5 year for stock price to reflect how company is growing
9/n
You may feel stock price moved quickly but there are efforts of 1,2..n years by companies for that movement.
You may feel stock price moved quickly but there are efforts of 1,2..n years by companies for that movement.
n/n
Hope I made some sense in this very long post.
Happy investing.
🙂
Hope I made some sense in this very long post.
Happy investing.
🙂
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