From Rs 9.50 to Rs 515: This micro-cap investor made over 5,300 per cent in a single stock; do you want to know his style of investing?
The burning question arises - do you have the patience and conviction to hold onto a single stock for such an extended period?
In today's world, where many chase the allure of quick riches through F&O trading and momentum investing, there's an exceptional investor who remains steadfast in his commitment to traditional long-term investing, reaping its exceptional benefits.
So, what exactly is long-term investing? Some might say it involves holding onto a stock for a year or two, while those with a longer perspective might extend it to 3 or 4 years. But the individual we're about to introduce you to today takes long-term to a whole new level. He's been holding the same stock for nearly a decade.
In one of his insightful letters to shareholders, the legendary Warren Buffett, often referred to as the Oracle of Omaha, proclaimed, "Our favorite holding period is forever. We are just the opposite of those who hurry to sell and book profits when companies perform well but who tenaciously hang on to businesses that disappoint. Peter Lynch aptly likens such behavior to cutting the flowers and watering the weeds."
Now, it's time for the grand reveal – the investor in question is none other than Lincoln P Coelho, a well-known figure in the Indian Equity markets renowned for his investments in micro-cap stocks.
One stock, in particular, has been the cornerstone of his financial success - Shivalik Bimetal Controls Ltd. In 2014, Mr. Coelho held a 1.042 per cent stake in the company, equivalent to 200,000 shares. Astonishingly, his conviction hasn't wavered, and as per the latest shareholding pattern, he still holds the exact same stake, 1.04 per cent.
To put this extraordinary story into perspective, in October 2014, Shivalik Bimetal Controls Ltd. had an adjusted opening price of Rs 9.50. Fast forward to 2023, and the stock is trading at an astounding Rs 515. This translates to an astonishing return of over 5300 per cent, making it a true super-multibagger stock for Mr. Coelho.
The burning question arises - do you have the patience and conviction to hold onto a single stock for such an extended period? The lesson here is clear: conviction, paired with thorough analysis, can lead to the kind of rewards that pave the way to wealth beyond imagination.
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Disclaimer: The article is for educational purposes only and not investment advice.