InvestorQ : I have invested in beml 100 shares @ 738/- , 50 I sold it at 1080/- . now shall I retain it for long term or use this upsurge to get out of stock
Amit Agarwal made post

I have invested in beml 100 shares @ 738/- , 50 I sold it at 1080/- . now shall I retain it for long term or use this upsurge to get out of stock

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Riya Dwivedi answered.
4 weeks ago
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I will break up the answer to you question into two parts. The first part is whether you plan to hold it for a long term or as a trade. Clearly, if you are in it for a trade, then you have made good profits and the time is ripe to book profits. More so, considering that the stock has now breached the 1350 levels. The stock has rallied quite sharply and so if you are a trader you must book profits as it will allow you to monetize profits in a volatile market.

However, if you have a holding period of around 2-3 years or longer, then this stock has the potential to become a multi-bagger. There are a number of reasons for what I am saying. Firstly, the company could soon be selling a stake to a large private group. That means you get the best of PSU contracts and the best of private management expertise and profitability focus. That will hold the stock in good stead.

An additional point is that this stock is going to be a major gainer from the Atma Nirbhar program of the government of India. The program is designed to benefit Indian home-grown companies by farming out more orders especially in segments like defence to Indian companies. BEML is likely to be a major beneficiary of this trend. So, if you have a long term investment view of 2-3 years, you can actually hope for a multi-bagger on the stock.

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