How to become a crorepati: This Rs 50,000 investment turned into Rs 1.21 crore; experts offer top tips!

How to become a crorepati: Share market's tips to become rich are always welcomed by the common people, but then, how many of them really benefit from them? For example, we often come across the market experts when the market is volatile, go stock specific in the mid-cap and small-cap sector leaving the popular indices to settle down. But, those who implement this in their trade pattern become crorepati in the long-term as it happened with the Berger Paints shares. The Berger Paints share was at Rs 2 in 2003 and in sixteen years, today the Berger Paints stock is trading at around Rs 485 per stock level. So, if someone had invested Rs 50,000 in Berger Shares in 2003, then his or her Rs 50,000 would have turned into Rs 1,21,25,000. Forget about the actual dividends that the company has paid to its shareholders during this period of 16 years.

Speaking on how to choose such stocks that can give robust returns in long-term, Prakash Pandey, MD & CEO at Plutus Advisors said, "It is always advisable to the stock market traders to go stock specific when the popular indices are topsy-turvy. When the major indices are volatile, smart players move to mid-cap and small-cap stocks and choose those stocks whose fundamentals are strong and the industry they belong are also expected to perform better." Elaborating upon the Berger Paints whopping returns, Pandey said that the paints industry is related to chemicals, real estate and some other industries. In this period of sixteen years, the real estate industry had a good run in the first 10 years and the chemical industry is an evergreen industry whose benefits trickled down into the Berger Paints share price surge at the Indian indices.

See Zee Business Live TV streaming below:

Asked about other such stock that an also give better returns, Pandey said that Polycab is another such mid-cap stock that can give around 100 times return in the next fifteen years. He said that Polycab has strong fundamentals and the industry it belongs, it has emerged major competitor to Havells India and currently, Polycab has one third market volume in comparison to Havells India.

Asked about the future outlook for the Berger Paints share price, Sumeet Bagadia, Executive Director at Choice Broking said, "Berger Paints share price is still bullish and showing an upside movement. Currently, it is oscillating around Rs 485 per stock levels. The Berger Paints stock price has strong resistance at Rs 500 levels. Once it breaks this down, it will showcase Rs 630 per stock levels soon." However, Bagadia advised stock market investors to maintain the stop loss at Rs 460 if someone takes a buy position in the Berger Paints counter.