Multibagger stock: Just like Rome was not built in a day, a stock market investor cannot get wealthy overnight. It is frequently stated that the key to making money is to wait rather than buy and sell stocks.
To see how a long-term investor benefits from wealth growth, consider the story of Transformers and Rectifiers (India) shares. This small-cap stock has gained from ₹6.50 to ₹680 per share since April 9, 2020.
This indicates that the small-cap penny stock has become one of the Indian stock market’s multibaggers over the last four years. It is one of the hundred baggers offered by the Indian stock market in recent years.
This small-cap multibagger penny stock has been in a base-building mode for the past month, shedding approximately 7%. However, in the last six months, the multibagger stock has climbed from roughly ₹4656 to ₹680 per share on the BSE, representing nearly 45% increase.
YTD, the multibagger penny stock has increased from ₹238.70 to ₹680 per share, representing an 185% increase. Similarly, this multibagger stock has climbed from ₹172 to ₹680 per share in one year, registering over 300% increase.
On April 9, 2020, this small-cap multibagger penny stock was trading at roughly ₹6.50 on the BSE. This penny stock has risen from ₹6.50 to ₹680 a share in nearly four years, delivering roughly 10,350% returns to its positional shareholders.
Taking a cue from Transformers and Rectifiers India’s share price history, if an investor had invested ₹1 lakh in this small-cap stock one month ago, its ₹1 lakh would have turned into ₹93,000 in this time.
If the investor had invested ₹1 lakh in this small-cap multibagger stock six months ago, its ₹1 lakh would have turned to ₹1.45 lakh today. Similarly, if an investor had invested ₹1 lakh in this multibagger penny stock one year ago, its ₹1 lakh would have turned to ₹4 lakh today.