2 multibagger stocks gave up to double profits in every 3 years

By | April 13, 2018

2 multibagger stocks  gave up to double profits in every 3 years

2 multibagger stocks  gave up to double profits in every 3 years. In this post, I am going to explain  great stocks for the long term. I have selected these stocks from different sectors in order to diversify the portfolio. Multibagger stocks are those that gain multi-fold in value over a particular period of time.

In simple language, these are stocks of such companies which will continue to do business even in worst of times.

Also read: Best 5 consistently growing stocks in last 4 quarters

2 multibagger stocks  gave up to double profits in every 3 years

Caplin Point Laboratories Ltd

The success of Caplin Point is primarily attributed to its unique business model. Its distributors across Latin America and various parts of Africa. This way, Caplin Point is able to generate adequate revenue and cash flow to remain debt-free, and also continue to invest in  manufacturing facilities from internal accruals. Caplin Point has over 2000 products licenses across the globe with a further 300 in the pipeline for emerging markets.

OVERVIEW

  •  Caplin Point Laboratories is one of the fastest growing mid-cap pharmaceutical companies in India.
  •   Debt-free business model with benchmark receivables.
  •  Company is entering into Regulated markets of US, EU, Brazil, Mexico, Australia, with a state of the art manufacturing facility for Injectables, already approved by EU-GMP, ANVISA and US FDA.

Pros

  • Company is virtually debt free.
  • It is expected to give good quarter.
  • It  has good consistent profit growth of 64.49% over 5 years.
  • Good return on equity (ROE) track record: 3 years ROE 51.81%.

Cons

  •  Stock is trading at 13.65 times its book value.

Fundamental

Market Cap.:  4,502.94 Cr.                                            Current Price: 595.60

Book Value:  43.64                                                           Stock P/E: 31.54

Dividend Yield: 0.25%                                                     Face Value: ₹ 2.00

52 Week High/Low:  784.80 /  381.00                        EPS: 18.89

Financial

Overall, analyzing the company, it can be concluded that Caplin Point Laboratories Ltd is fundamentally very strong and one of the best Stocks for Long term Investment in India.

P I Industries Ltd

PI Industries is in the Pesticides & Agro Chemicals sector. The Company provides services in various areas, including contract research, process development, analytical method development, process safety data generation and process detailed engineering. Its geographical segments include Sales within India and Sales outside India.

Overview

  • Established a State-of-the-Art R&D center (P. P Singhal Research Centre at Udaipur, Rajasthan)
  • Two world class Multi Product Plants commissioned at Jambusar (Gujarat)
  • Flame Awards Asia 2016 for Brand Building.
  • Established office in Germany.

Pros

  •  Company is virtually debt free.
  • Consistent profit growth of 41.85% over 5 years
  • It has a good return on equity (ROE) track record: 3 Years ROE 31.94%

Cons

  •  Promoter’s stake has decreased.
  •  Though the company is reporting regular profits, it is not paying out tax.

Fundamental

Market Cap.:  11,748.32 Cr.                                  Current Price: ₹ 851.90

Book Value:  135.60                                                Stock P/E: 29.65

Dividend Yield: 0.47%                                            Face Value: ₹ 1.00

52 Week High/Low: 1,034.00 / 675.00             EPS: 33.32

Overall, analyzing the company, it can be concluded that PI industries ltd is fundamentally very strong and one of the best Stocks for Long term Investment in India.

Disclaimer

The article is not a solicitation to buy, sell in securities or other financial instruments. This article is strictly for informational purposes only. The research is based on the current situation may be change from time to time. The author do not accept culpability for losses and/or damages arising based on information in this article.

 

Leave a Reply

Your email address will not be published. Required fields are marked *