Mold-Tek Packaging came to my attention in March 2014 when I was shortlisting 8 stocks out of thousands of listed stocks…. The more I studied the fundamentals of the company, the more undervalued it looked to me…. and the more I studied the future prospects of the company, the more bright its future potential appeared to me….It was trading at 38 at that time….I became convinced that this stock deserves 10-15 times its current valuation based on its past performance and its future business potential….. And the stock really multiplied 19 times in next 4 years….Its current price of 350 is actually 700 because management announced split of 1:1 in 2015 ….. I bought this stock because of following positive point-
So, I could not understood why it is trading at so low valuation in spite of good performance and great future…. But as Warren Buffet says – ‘If business does good, stock eventually follows’….. So I was convinced that sooner or later it will reach its true potential….. After 2 months of my buying at 38, Dolly Khanna also bought a big stake in the company at 70…. And as on date of writing this article , it is trading above 700 effectively (taking 1:1 bonus into factor)
Happy Investing !!