Five years as shareholder of Divi’s Laboratories

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.