Sunday, September 6, 2020

Multibagger/Penny Stocks.

 If we found a single stock in our entire investment career and got 1000% returns. The person will be a millionaire and the stock will be a multibagger  stock.  

Today our blog is on how we will find multibagger / undervalue stock?

For Wealth creation first thing in our mind is take time and make list of stocks which is undervalued or already corrected. This process will take time because this is the most important process. Secondly, check the fundamentals of the stock. Mostly, i used screener.com which is very helpful and you can check everything in this webside. 

Underlined all fundamental blocks inside the picture.




Third step is check the graph and underline all big resistance and supports. The graph will be shown in the video link. Graph is very important sometimes stock has different patterns or bearish/downside trend. Fourth step is to check financial. I know everyone is not belong to commerce background so better to see videos on how to check financial statement and balance sheet. In this process you need to check quater to quater and year to year financials. 

Further more, we will go to check compound sales growth and compound profit growth. These two are basically for medium to long term investment. According to me, if any company has  good COG & CPG for long term then the last but not least check the promoter holding. if holding is not pledged and promoter has a good reputation then you can find the intrinsic value of the stock make sure share price will be under the value of intrinsic value. 

Lastly, Just wait for the correction of market or stock and enter for long term to get healthy returns read more

2 comments:

  1. It is hard to find informative blog on this matter, but you sound like you realize what you speaking about! Thanks

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