Since the second wave of covid hit our country, I was thinking to buy some stock that will thrive in this period. And only stock trading high is pharma stocks. So, I searched for a few list of pharma stocks and decided to buy a stock that has moderately good fundamentals and cost me less, typically I was looking for good penny stocks. And Gennex Laboratories Ltd is a good penny stock which can be a multibagger.
It is simple, because of covid all good pharma stocks were trading on high rates. And only affordable stock for mango people like us was penny stocks. I was looking for a long-term stock to hold and buy at a throw-away price. It was like if we make money it’s okay, or if we lose also it’s okay.
If you see the below graph you can notice this stock has traded from Rs 3 to Rs 13 depending on the market condition. Since it is a pharma stock you will never know when they will trade high. And gennex lab is a good stock to invest in for a long time.
Gennex Laboratories supplies bulk pharma ingredients to pharma manufacturers and intermediates. They have a manufacturing facility all over India to cater to both domestic and international customers. Gennex Laboratories have a few ingredients which they have a good monopoly on. Gennex labs have a good platform to become a multibagger stock with a market capitalization of 50 Crores. They are showing considerable profit Y-o-Y and ROE with 5 % approx. And it’s hitting the upper circuit on a regular basis. So, looking at the financial fundamentals, I thought okay let’s buy some 100 shares and wait, let see what happens.
If you see the Gennex Laboratories shareholding pattern there are only two holders, the public and the promoters. more than 70% is with the public and around 22% with the promoters. There are no investments from foreign institutions. The public is trading high on this penny stock.
I hope the current medical situation and good fundamental will make this as a good multibagger stock . I will keep updating about this stock on any major changes.
Till then stay tuned and keep making money .
