• On Jan 10
th2011
• Jupiter + Moon sitting in 2
ndHouse in conjunction is opposing Saturn the owner of 1
stHouse – Not good .
• Jupiter 90º with Sun, Mercury , North Node, South Node. Clearly Indicates wealth erosion.
• First house 30º aspect of Mars – Hastiness.
• 11
thHouse Sun + Mercury + Rahu @ 90º with Jupiter + Moon and Saturn = Money lost carelessly.
• 12
thHouse Mars sitting in Enemies house – Misery , Losses.
Saturn 1
sthouse lord sitting in 8
thHouse can speculate but Sun and Jupiter is weak position would not recommend..
How to Pick a Multibagger...
Many friends has constantly suggested me to write again about "How to Pick Multbaggers" ....but I was vary of writing it as I thought let people try to explore and find my back post...It is very easy...Go to Google and write the heading and write my bog name and you are there...this goes for any post....
This post was posted by me on ISG wayback in 2006-2007 or maybe early...
and hence naturally the examples are of that time....
How to Pick Multibagger:
1)First and the biggest preference will go to Low Equity.Because low eq. is an advantage when
company plans expansion and Eq dilution takes place.Even a right of 1:1 or even 2:1 will not expand the eq in a big way and hence earning can match the eq.Another reason for low equity preference is even though the earning is not coming because of slow down of economy or a bad year for the company , then when the tide turns and with slightest turnaround company can show good EPS which is one of the most important criteria for investing as it is related to P/E.
2)Next is Promoters Holding.I have many times just invested in stocks on just looking at one parametres.Promoter s Holding, apart from ofcourse Low eq.Above 55% is almost a must , with exception in IT Sector where it is seen that you almost get very less company where the promoters holding is above 55%.I will give an Example for this.I bought Narendra Properties at just Rs 18/- at just looking at promoters holding which was as high as 72% and moreover one of the promoters was also hodling some 8% in Public holding.Of course the sector also palyed a role for me to take a decision fast.Narendra Properties is in Construction Sector.Narendra Properties touched Rs 77/-.Another is Lancor Holding.Promoters holding is as high as 72% and almost over 20% is held by FII's.I bought at Rs 166/- and now it is Rs 481/-.Both these stocks I bougth after May Carnage and one can calculate what return I got and am still bullish on both of them.Both have very low Public holding and that is a trigger according to me.
3)Sector also plays a very important role while choosing stocks.
4)Now the most improtant criteria is earning visibility.This is very important.eg. Navin Flourine.Though it comes in Chemical sector actually I see it as a Carbon Credit Story.A very very big CC story.Never try to look at inetrnational prices of CC.They fluctulates. No need to worry on that front.What I compare is if Guj Flouro a 2 paid up stock can quote at Rs.630/- then Navin a 10 paid up stock will quote much much more.The reason is both have almost equal CC to sell.But thing for Guj Flou is that they have already started to sell CC while Navin is still on nascent stage and hence it is available cheap.
5)I almost do not go for already splitted stocks.It is obvious that splitted company say, 2 paid up has to earn more to show higher EPS as it is splitted in 2 paid up.Same is the case of 1 paid up.Unless you are sure of the earning of that company that it will be able to match the splitted shares one can buy. Like Aftek Info where the earnig is coming in a big way. Actually I try to find stocks which have the capacity to give exponential earning(eg Navin) and can go for Splitting rather then buy which have already splitted and hence gives fabulous return.Means that I will not buy stocks that have already become a mutibaggers by already becoming XB or XS or XR.No use to buy those stocks that have become XB,XR,XS.Of course if even after it looks good after XB and XR then one can buy it.eg JMC Project.It is still a buy even after JMC has given 2 right issues.
6)Now comes the promoters Gr.I dont think one should look at it in a big manner.I do not put much weigh on Management.Who was knowing Narayan Murthy when Infosys came out with IPO in 1990's?
Those who went for lookig at management lost the opportunity to invest in bluest of blue chip.
7)Yes,P/E is important.eg, Garnet Const.It is still available at just around 8p/e.A stock which is in hot sector where the P/E is high Garnet is available under 10 p/e is a bargain.
8) Now comes the BV(Book Value).I have invested in stocks just looking at BV and come out
winner.eg.Titagarh Ind which I bought at Rs 3/- and sold at Rs 30/-.I bought it just because I saw that price of Titagarh Ind was very very less then BV.I remeber when I bought Titagarh Ind the BV was over 30or 40 and price was just Rs 3/-.I just went and buy it.Though I am not a big player I bought just 1000 shares.So BV also plays an important role while buying a stocks.One more example I would like to give.Maestros Mediline.It' s BV is as high as 75 and it is available at Rs 18/-?I am holdong Maestros
since long.
9)I use to buy everything I like buying.I do this because no one knows which is going to turn out as multibbagers. I have written elsewhere that buy even 100 shares.Even a small exposer is enough to give you big returns if it turns out to be a big big multibagger.
10)Hold the position.Hold it as much as you can.I bought MilkFood Ltd at Rs 40// and I remember I also recomended here at the same time and some of the members have bought also.Whether they have sold or not I donno , but I am still holding MilkFood which I purchased at Rs40/-Everybody knows that MilkFood is making newer highs and is at Rs/- 380.
11) Try to find all info where you have put money.This is very very important.These will help you in taking decision whether to hold or sell.
12)Try to find stocks on your own because this gives more conviction because conviction plays bigger part in buying stocks as well as holding it.If one have no conviction about the company you sell it cheaply.
13)Almost never buy stocks above Rs 100/- If you are buying stocks at Rs 500 how it can become a multibagger?
14) Stock unknown is the best thing.If no one knows that is a BIG BIG Positive.If everybody knows then one need to understand that the game is over.The real Charm in a stock remains only when no one is tracking and we are tracking it silently .If the world knows then the game is over.No FII's, MF's is seen in the Share Holding Pattern(SHP) then , to me is a great buy.We should be the 1st to buy an undiscovered stock before someone buys.Remaining first is the KEY for success.So buy when noone is buying.Let them getin afterwards and let it then go up and we will book profit as soon as it gets double.
But remember when we getin early, when no one is knowing ,then the holding period lengthens as it takes time for other to have a look at it...but then as we have getin early we have got it CHEAP as well...which makes an ideal candidate to become a multibagger...
PN: This last point(14) is written now...