1. If one is ready to invest in this stock for a period for 2 years than this stock is for you as it has growing at compound rate as it has reported compounded sales and earnings growth of 50 per cent and 77 per cent respectively for past 2 years.
2. I am referring to Everest Kanto Cylinders (EKC), a leading manufacturer of high-pressure CNG (compressed natural gas) and industrial cylinders. It has 3 manufacturing facilities in Gujarat and one in Dubai and another one which has become functional is in China with capacity of 200,000 cylinders per year.
3. EKC prospects are stable as it is an alternative to crude as a cheaper option. Moreover worldwide usage of CNG is on rise and indicators to this aspect are a fact that it is running at full capacity and the company has its order book full for the next year.
4. Net effect will be seen in two years due to long gestation period. So hold the stock and let time pay you the dividends as long term investor is most successful.
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