Multibagger stock: Investing in a penny stock is full of risk because such stocks become highly volatile on small news. According to stock market experts, this high volatility is due to the small market capital of such companies. However, if a company has strong business model and sustainable market fundamentals, then it is bound to succeed in long term. A stock market investor is advised to look at the business model and possible profit making ability of the company while choosing a stock. According to ace stock market investors, after investing in a stock, it is important to keep patience as patience is one of the most important virtues for stock market investors.

To understand how patience pays to a stock market investor in long term, one should look at the performance of Aarti Industries shares. This chemical stock is one of those multibagger stocks, which has been giving stellar returns to its shareholders for years. The stock has surged from Rs1.51 (close price on 28th November 2001 on NSE) to Rs972.20 per share levels (close price on 18th November 2021 on NSE), rising around 650 times in this period. From a penny stock in 2001, today Aarti Industries share has become a quality small-cap stock.

Aarti Industries share price history

As per the share price history of this multibager stock, it has been under sell off pressure for the last one month. In last one month, Aarti Industries shares have fallen from around Rs1021 to Rs972.20 per share levels, losing around 5 per cent in this period. In last 6 months, Aarti Industries shares have risen from around Rs832 to Rs972.20 per share levels, logging around 16 per cent surge in this period. In year-to-date time, this stock has risen from around Rs630 to Rs972.20 levels, giving around 55 per cent return to its shareholders. 

Similarly, in last one year, this chemical stock has surged from Rs567 to Rs972 levels, yielding near 71 per cent return to its shareholders. In last 5 years, Aarti Industries shares have given multibagger returns as it has risen from Rs181.28 to Rs972.20 per stock levels, registering near 435 per cent rise in this period.

Likewise, in last 20 years, this multibagger stock has risen from Rs1.51 to Rs972.20, giving around 65,000 per cent return in this period.

Impact on investment

Taking cue from Aarti Industries share price history, if an investor had invested Rs1 lakh in this stock one month ago, its Rs1 lakh would have turned to Rs95,000 today. If an investor had invested Rs1 lakh in this multibagger stock 6 months ago, its Rs1 lakh would have become Rs1.16 lakh today. If the investor had invested Rs1 lakh in this counter one year ago, its Rs1 lakh would have turned to Rs1.71 lakh today.

Similarly, if an investor had invested Rs1 lakh in this multibagger stock 5 years ago, its Rs1 lakh would have turned to Rs5.35 lakh today. However, if the investor had invested Rs1 lakh in Aarti Industries shares 20 years ago, buying one share at Rs1.51 levels, and he or she had remained invested in this counter throughout this period, its Rs1 lakh would have turned to around Rs6.50 crore today.