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Q.

Can you believe an investment of Rs. 9500 in 1991 in Infosys is worth 5.15 crores today!!!!!. Did any company anywhere in the world create wealth of this magnitude to the investors? Your views?

Asked by Good Citizen, 30 Jul '10 10:42 am
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Answers (5)

 
1.

Hi Good Citizen , Its Unbelievable Growth story of A Indian Company , Infosys made an initial public offer at Rs. 95 a share in February 1993 and was listed on stock exchanges in India in June 1993. Interestingly, Infosys IPO was undersubscribed but Morgan Stanley bailed it put by picking up 13% of equity at the offer price of Rs. 95 per share.The trading opened at Rs.145 a share, almost a 60% premium on the day of listing.The share price surged to Rs. 8,100 by 1999 making it the costliest share on the market at the time. 6 years and the share multiplied 85 times According to Forbes magazine, since listing on the Bombay Stock Exchange till the year 2000, Infosys sales and earnings compounded at more than 70% a year.
Infosys is currently trading at Rs. 2800 (BSE) which is close 30 times of its IPO price But more than that it has given handsome dividends quarter on quarter. And dont forget the bonuses and splits that this share has gone through.
Answered by Musfer, 30 Jul '10 11:09 am

 
  
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2.

Don't know about the stocks traded globally on other exchanges. But definitely there are some well known stocks that have brought fortune to investors globally like Microsoft, Oracle, Apple, Google, probably Hyundai and LG of Korea, BP (before the crash due to the oil spill), EMC Corp, E-bay, Amazon etc

Another Indian company that comes to mind is Titan Industries. I don't think it needs any elaboration on this well known brand with a wide array of products. This is another stock that has brought tremendous amount of wealth to those who remained invested in it for the last two decades:

Will give you a record of how one would have entered into this stock and held it:

Investment - Rs. 9000/- + 1500/- + 1880/- + 7980/- = Rs. 20360/-

1987 - 30 Debentures of Rs. 300/each for Rs. 9000. 100/- convertible portion of each debenture into shares at par Rs.10/each - Total Shares allotted - 300

1989 - Rights issue 1 Debenture of Rs. 500/- for every 100 shares. Would have got 3 Debent ...more
Answered by Omega, 30 Jul '10 12:55 pm

 
  
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3.

This is amazing.
Answered by Inquisitive, 07 Jan 01:00 pm

 
  
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4.

But how many original investors stay invested to gain such a huge amount other than promotors?
Answered by SREENIVAS, 02 Sep '10 07:55 pm

 
  
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5.

Good to hear it
Answered by yashashri tawde, 30 Jul '10 10:51 am

 
  
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