Raamdeo Agarwall presents MOSL 19 Wealth Creation Study results.
He talks about the wealth creators / destroyers for the last 5 years
The theme for this study has been stocks making 100 X in around 20 years. It has been inspired by the book "100 to 1 in the stock" by Thomas Phelps
For 100 X stocks
- Investors must have vision to think about the future of the companies. Conviction to buy and hold such stocks
- Company must be small in terms of sales and market cap
- Unknown. Not researched
- High quality business. Quality in terms of management and business
- Value migration happening in the companies.
- Mgmt must be competent, growth minded and passionate. Integrity is also a must.
- Phil Fisher - In evaluating a common stock, the management is 90%, industry is 9%, and all other factors 1%
- Growth can be through
- Sales volume increasing
- Sales realization increasing
- Growth of margin\
- P/E re rating
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