One of the most loved after words in the stock market is the “multibagger”. Typically multibaggers are stocks that go up a number of times. I plan to post a series of write-ups on the similarities in specific financial attributes for the multibaggers of the past ten years.I have named the series as " How to identify the next Infosys?". This is so because Infosys was a shareholder's delight not only in terms of price appreciation but with respect to other financial attributes as we would notice once other write ups are posted. I have excluded companies like Bharti Airtel, Unitech and Pantaloon Retail because they have not completed 10 years of listing.

Markets capitalization also known as Market cap means the amount of money required to buy all (100%) shares of a company it is computed as the number of shares multiplied by the market price of each share. For instance if BEML Rs 900 and there are 3.67 crore shares issued the market cap would be 3.67 crores X 900 = Rs 3303 crores

The market cap of a company is inversely proportional to whether that company could be a multibagger or not. In other words companies with small market caps are more prone to going up a number of times compared to companies with large market caps.

In the analysis that I did for the multibaggers for the Indian stocks markets an interesting phenomenon was identified. All multibagger companies started from a base of very small market capitalization

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