Editor's note: I'm live online at the Rebirth of India summit. Join me now!
We live in a world that loves fast gains.
Many traders and investors believe long-term value investing is dead.
A few days ago, I wrote to you about how this played out with the stock price of Tesla Motors. It's no wonder Tesla's stock surge captured unprecedented media attention.
Like I told you, the social media frenzy, was based on just a few weeks of gains. If you had invested in this stock five years back, you would not have made any money until late last year.
Here's a comparison of the long-term price performance of Tesla with a multibagger stock like Titan.
Titan versus Tesla
Titan gained almost 13% in the past three weeks. But look at the gain in the past decade... It's a stellar 1,420%!
So which kind of stock is better suited for long-term investors in the Rebirth of India?
Should you look for new age opportunities - Tesla-like stocks? These may offer quick gains. But it may not be sustainable. You will have to do your homework and find out if the business is robust.
On the other hand, you have the choice of buying steady, tried and tested, long-term performers, like Titan. Unfortunately, stocks like these are usually expensive. This is because the market is already aware of them.
So how do you choose between a Tesla-like stock and a Titan-like stock? Which would be a better choice in the Rebirth of India.
I know the answer to this question and I was pleased when an investing legend - Charlie Munger - shared his view which is similar to mine.
Here's what he said about the stock and Elon Musk...
- My thoughts are two: I would never buy it, and I would never sell it short.
I think Elon Musk is peculiar and he may overestimate himself but he may not be wrong all the time.
There's your answer, dear reader.
You should be skeptical of a new age, unproven company but don't dismiss its long-term potential. That would be a mistake.
But, as an Indian investor do you have to choose between Tesla and Titan like stocks?
What if I told you there is a way to cash in on both?
You don't have to buy a Tesla-like stock to make multibagger profits.
Nor do you have to buy an expensive stock like Titan.
As an investor who is convinced about the Rebirth of India, you should buy high-quality stocks which will ride the 50 irreversible megatrends I have identified.
These megatrends will play out over the next decade and will be the driving force of Sensex 100,000.
And best of all... the market is currently underestimating the huge long-term upside in these stocks.
I've selected 7 such multibagger opportunities. I call them - Rebirth of India stocks.
And today, I'm sharing them with you, dear reader!
Join me now, for my Rebirth of India summit where I'll share details of my top 7 stock picks. The summit is free and you can watch it online from your home or office.
I'm very excited by your overwhelming response. More than 10,000 astute investors have registered!
The summit is now live!
Watch my Rebirth of India summit here.
Editor, The 5 Minute WrapUp
Equitymaster Agora Research Private Limited (Research Analyst)
PS: I'm live online at the Rebirth of India summit. Join me now!
Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringementDisclosure & Disclaimer:
Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. The Author does not hold any shares in the company/ies discussed in this document. Equitymaster may hold shares in the company/ies discussed in this document under any of its other services.
This document is confidential and is supplied to you for information purposes only. It should not (directly or indirectly) be reproduced, further distributed to any person or published, in whole or in part, for any purpose whatsoever, without the consent of Equitymaster.
This document is not directed to, or intended for display, downloading, printing, reproducing or for distribution to or use by, any person or entity, who is a citizen or resident or located in any locality, state, country or other jurisdiction, where such distribution, publication, reproduction, availability or use would be contrary to law or regulation or what would subject Equitymaster or its affiliates to any registration or licensing requirement within such jurisdiction. If this document is sent or has reached any individual in such country, especially, USA, Canada or the European Union countries, the same may be ignored.
This document does not constitute a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Our research recommendations are general in nature and available electronically to all kind of subscribers irrespective of subscribers' investment objectives and financial situation/risk profile. Before acting on any recommendation in this document, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek professional advice. The price and value of the securities referred to in this material and the income from them may go down as well as up, and subscribers may realize losses on any investments. Past performance is not a guide for future performance, future returns are not guaranteed and a loss of original capital may occur. Information herein is believed to be reliable but Equitymaster and its affiliates do not warrant its completeness or accuracy. The views/opinions expressed are our current opinions as of the date appearing in the material and may be subject to change from time to time without notice. This document should not be construed as an offer to sell or solicitation of an offer to buy any security or asset in any jurisdiction. Equitymaster and its affiliates, its directors, analyst and employees will not be responsible for any loss or liability incurred to any person as a consequence of his or any other person on his behalf taking any decisions based on this document.
As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use
, available here. The performance data quoted represents past performance and does not guarantee future results.SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.
Equitymaster Agora Research Private Limited (Research Analyst) 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: email@example.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407