My investment in Divi’s Laboratories has been my biggest missed opportunity. Five years back—still new to equity investing—I was looking for Pharma stocks to invest. During that research—not sure if I should call it research, but let’s go with it—I came across Divi’s Laboratories. I made a small investment in it and forgot about it. In the next 3.5 years the stock went up 5 times! And I did not make a single new investment during that time! Every time I thought “it can’t go up any further than that”. Boy was I wrong. So, so wrong!
Below are my key takeaways.
- My biggest takeaway has been that if a share price doubles in short span, then I need to start reading about the company before arriving at decision that “Isse upar nahi jaayega”.
- While I did complete 5 years as shareholder of Divi’s Laboratories, there was a gap of 3.5 years between my first and second investment. And during that time the stock went up 5 times. As my first investment was minuscule it didn’t help me in the recent market crash.
- I have invested 7 times across these 5 years, with last 6 investments coming in last 2 years.
- Surprisingly, COVID-19 market crash had little effect on my XIRR.
- But the Russian invasion of Ukraine and its subsequent effects, on the other hand, decimated my XIRR. It currently stands at 6%. Ouch!
- The company has been paying dividends regularly. No complaints over there.
Returns
Profit Percent
As you can see, during its remarkable rise I just sat there thinking, isse upar nahi jaayega.
XIRR
