Patience Pays Off: Multibagger SME IPO Delivers 130% Return in Just 5 Months!

For stock market investors, the key to making money often lies in patience rather than just buying and selling. This principle also applies to those who invest in Initial Public Offerings (IPOs). If you believe in a company’s future, holding onto the stock for the long term can lead to significant wealth creation.

When investors hold a stock after its IPO, they benefit from the value growth that happens over time. This long-term strategy can lead to substantial profits, especially when the company performs well in the market.

The Journey of AVP Infracon’s Share Price

To understand the potential for wealth creation through long-term investments, let’s look at the example of AVP Infracon. This SME IPO was launched in March 2024 with a price range of ₹71 to ₹75 per share. It was listed on the NSE Emerge platform on 20th March 2024, starting at ₹79 per share. Despite a modest debut, the stock quickly gained momentum. Today, AVP Infracon’s shares trade at around ₹175, which is ₹100 higher than its upper IPO price of ₹75. This means the stock has increased by approximately 130% from its initial offering price.

If an investor had held onto the stock since its listing, they would have seen the value of their investment more than double. Even those who bought the stock at its flat listing price had the opportunity to make significant gains.

Recent News and Contracts

Recently, AVP Infracon secured two significant contracts: a ₹23.60 crore project for the Bagalur bypass and a ₹47.20 crore project for the Kallakurichi-Tiruvannamalai road. These projects further demonstrate the company’s growth potential, which could continue to drive up its stock price.

This example highlights how patience and belief in a company’s prospects can lead to impressive financial returns in the stock market.