When Vineeta Mahnot, the ace stock picker with Hem Securities, delivered a 3-bagger in Vaibhav Global, her fans were ecstatic and thought she had reached the pinnacle of excellence. However, Vineeta has outdone herself with Suven Life Sciences, which has delivered mind-blowing gains of 350% in just 11 months.
To be fair, when Vineeta Mahnot recommended an investment in Suven Life Sciences on 12th October 2013, she had not anticipated that Suven would deliver such explosive gains. In fact, the stock price then was Rs. 46 and Vineeta had projected a (relatively) modest target of Rs. 60.
The stock took off like an unstoppable rocket and touched Rs. 80 in just a couple of weeks, causing several analysts to be anxious about it. S. P. Tulsian, the outspoken analyst, cautioned investors against carried away on the basis that it’s then P/E was “quite high” for a small cap company.
Anyway, whether the explosive gains were anticipated or not, investors are happy to take it with both hands.
Today was a particularly happy day for Suven’s shareholders because the stock surged 20% to an all-time high of Rs. 209. The reason for the exuberance was the news that the company has been granted three product patents, one each by South Korea, China and Canada, for a drug used in the treatment of “neurodegenerative diseases” such as Alzheimers, Schizophrenia and Parkinson’s disease.
Vineeta’s followers had another reason to celebrate today because her other stock pick, RS Software, is also on fire. It may be recalled that Vineeta recommended an investment in RS Software on 11th August 2014 when the price was Rs. 430. At that stage, I had suggested that there was no point in waiting for a correction but that we should start a SIP immediately. Today, RS Software surged 12%+ to cross Rs. 605. This means that Vineeta’s followers are taking home gains of nearly 41% for just a couple of weeks work.
Two stock picks of Vineeta Mahnot which have not fired so far are Kwality Ltd and Deepak Fertilizers. Vineeta has promised 67% gain in Kwality and 40% gain in Deepak Fertilizers. Knowing Vineeta’s skill and luck, we shouldn’t be surprised if the promised target prices come sooner than later.