The noteworthy aspect is that all the stocks are top-notch and well known blue chip companies. If we can keep a 25% CAGR, our investment multiplies 86 times in 20 years and we get our multibaggers without any risk (dividends extra).
We wanted to add a few more stocks to the portfolio but the market has run up too much in a short time. We are waiting for a reasonable correction to go shopping again. However, we do want to add Hawkins Cookers to the model portfolio. The stock reported dismal results for the Quarter ended June 2012. However, it must be remembered that the steep fall in sales and profitability is owing to the labour problems at its’ Jaunpur Factory and an order of the Punjab Pollution Control Board stopping operations of its Hoshiarpur Factory. Ultimately, these are temporary factors and will be resolved sooner or later. If you have the patience to sit tight, you ought to be well rewarded for it.
| Stock | Price on 10.12.2011 (Rs) | Price on 10.08.2012 (Rs) | Investment (Rs) | Nos of shares bought | Market Value | % gain |
| Bajaj Auto | 1673 | 1676 | 1,00,000 | 60 | 1,00,560 | 0.56 |
| Titan Industries | 185 | 218 | 1,00,000 | 540 | 1,17,720 | 17.72 |
| Coal India | 316.65 | 349 | 1,00,000 | 316 | 1,10,284 | 10.28 |
| Power Grid | 98.60 | 120 | 1,00,000 | 1,014 | 1,21,680 | 21.68 |
| HDFC Bank | 536.90 | 602 | 1,00,000 | 186 | 1,11,972 | 11.97 |
| Page Industries | 2657.20 | 3071 | 1,00,000 | 38 | 1,16,698 | 16.69 |
| VST Industries | 1154.35 | 1768 | 1,00,000 | 87 | 1,53,816 | 53.81 |
| 7,00,000 | 8,32,730 | 132.71 | ||||
| Simple Average Return (Absolute) | 18.96 | |||||
| Stock Added: Hawkins Cookers at Rs. 1520 on 09.08.2012 | ||||||
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