Amitabh Bachchan’s strategic investment in DP Wires has resulted in a massive 637.85% return in just five years, showcasing his smart stock market choices.
Bollywood legend Amitabh Bachchan is not only a renowned actor but also a sharp investor. While his acting career shines brightly, his investments are making headlines too. One such investment that stands out is his stake in a small-cap company, DP Wires, which has given him incredible returns over the past five years.
Big Returns from DP Wires: A 638% Growth in Just 5 Years
Amitabh Bachchan’s investment in DP Wires has seen a massive 638% rise, turning Rs 60 per share into Rs 410 today.
In September 2018, Amitabh Bachchan invested in DP Wires, a wire manufacturing company based in Madhya Pradesh. Back then, the share price was around Rs 60. Fast forward five years, and the stock has risen to approximately Rs 410, delivering a whopping 637.85% return. This means that the value of the stock has almost increased seven times since Big B’s investment.
Amitabh Bachchan’s Stake in DP Wires: Worth Over Rs 12 Crores
Bachchan holds a 1.93% stake in DP Wires, valued at Rs 12.25 crore.
As of now, Amitabh Bachchan holds around 298,545 shares of DP Wires, which accounts for a 1.93% stake in the company. With the current stock price at Rs 410, his investment is valued at over Rs 12.25 crore. Interestingly, despite fluctuations in the market, Bachchan has not sold any shares from his holding for the last three quarters.
A Long-Term Investment: Amitabh’s Confidence in DP Wires
Amitabh Bachchan has not sold any DP Wires shares in three quarters, signaling his confidence in the company’s potential.
According to data, Amitabh Bachchan held a 1.27% stake in DP Wires in November 2023. Over time, his stake grew to 1.93%, and it has stayed the same for the last three quarters of 2023 and 2024. His decision to hold onto the shares during these periods shows his confidence in the long-term potential of the company, even as its financials have faced some challenges.
DP Wires: A Small-Cap Stock with Big Potential
DP Wires is involved in manufacturing steel wires and plastic films for various industries, showing its importance in sectors like oil, energy, and construction.
DP Wires may not be a household name, but it plays an important role in several industries, including oil and gas, power, and infrastructure. The company produces steel wires and plastic films, which are used in construction projects like highways, ponds, and water reservoirs. DP Wires’ products are also essential in lining canals and landfills, making the company a significant player in the infrastructure sector.
Challenges Faced by DP Wires: Recent Decline in Revenue and Profits
DP Wires saw a decline in revenue and profits in the June 2024 quarter, but its long-term potential remains strong.
Although DP Wires has delivered impressive returns to investors like Amitabh Bachchan, the company has faced some recent challenges. In the June 2024 quarter, its revenue and profits fell by 30.96% and 35.3%, respectively, compared to the previous year. Every quarter, its profits dropped by 26.83%, and operating income declined by 26.41%. However, despite these short-term setbacks, DP Wires’ long-term growth potential still attracts investors.
Amitabh Bachchan’s Stock Portfolio: A Mix of Listed and Unlisted Companies
Aside from DP Wires, Amitabh Bachchan is also reported to have invested in unlisted stocks like Swiggy, adding diversity to his portfolio.
Amitabh Bachchan is not just focused on listed stocks. According to recent reports, he has also invested in unlisted companies, including the food delivery giant Swiggy, which is planning an IPO worth Rs 10,414 crore soon. His diversified portfolio, which includes both small-cap companies like DP Wires and growing tech platforms like Swiggy, demonstrates his strategic investment approach.
