9 points to check before picking a multibagger
For most of us investing in stock market is a fascinating investment option. We always look to invest in those stocks which can fetch handsome returns. Mutlibaggers are stocks which have the potential to earn multifold returns in a stipulated period of time.
April 07, 2012 / 13:12 IST
Harsha Jethmalani
moneycontrol.com
For most of us, investing in stock market is a fascinating investment option. We always look to invest in those stocks which can fetch handsome returns. Mutlibaggers are stocks which have the potential to earn multifold returns in a stipulated period of time. A stock that gives returns up to five-fold is called a five bagger, while the one which gives 10-fold returns is called a ten bagger. However, identifying them can be like finding needle in a hay stack. Moneycontrol.com takes help from SP Tulsian and PN Vijay to know the nitty-gritties of investing in multibagger stocks.According to experts, following characteristic should be kept in mind while scouting for a multibagger:> Look for companies having lower equity base because lower the equity base higher would be the valuations and earnings per share (EPS).> Stocks where promoter
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