Wanna Multibaggars in your portfolio??

Do you always wish to buy a stock which is going to be a multibaggar.??

Here is how you can go about selecting your dream stock.

-->Buy stock which is currently undervalued relative to its peers.
--> I am saying relative because it might be the situation that whole industry has lower PE, that doesn't mean that a particular stock is cheap.

-->Buy a stock which is trading below its book value.

-->Buy stock of the industry which is going to flourish atleast for next 3-4 years.

--> Buy stock where earnings are expected to grow atleast by 50% CAGR for next 2-3 years.

--> Buy stocks of a company which is going for huge Capital Expenditure. This signifies higher earning potential in the future and expansion is good for future unless it is going to create over capacity.

-->Hold on to the stocks once you have identified and bought. If you sell after some small profits then that stock will be never a multibaggar for you :-D

Happy Investing !!