This is interesting. There are some large cap and mid cap stocks which I have also noticed that, have wide fluctuations of 25% to 30% due to market moods. There fundamentals are mostly intact and Intrinsic value is also stable.
ITC has fluctuated between 400 to 500+ 2 times in past one year.
Same might be the case with Coal India. 400 to 550 swing once in last one year.
If one can make a profit of 30% in such large caps then also funds can be compounded safely, off course with STCG tax implications.
In USA markets, these swings do happen on regular basis for large caps. Probably with increasing participation of Retail investors in India, we may also see such 30%-40% swings in Indian large and mid cap stocks in future.
An investor can have small portfolio for such stocks.
Not holding all these stocks. Just mentioning out of observations.
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