![buying tvs motor stocks in 2009 instead of apache bike](https://knowaboutmarket.com/wp-content/uploads/2024/03/buyinh-tvs-motor-stocks-in-2009-instead-of-apache-bike.png)
In this blog post we are going to share an interesting stock market investment story [ imaginary] i.e what if someone had invested in TVS motor stock, instead of buying TVS Apache RTR in the year 2009.
TVS Motor is not a small company even in 2009. Sachin Tendulkar was appointed as brand ambassador for TVS motor [ TVS victor] way back in 2002. Undeniably it’s a popular company in 2009.
Coming to our story..
Buying TVS Motor Shares in 2009 instead of buying TVS Apache Bike
TVS Apache RTR bike price was around Rs 75000 in the year 2009 and it has gained huge popularity.
Instead of buying an Apache bike for Rs 75k, if we had invested the same amount in TVS Motor Share in 2009 that would have created a huge fortune.
We will explain this scenario with the help of TVS Motor Share price chart. Below you can see the monthly chart of TVS Motor Share.
![TVS Motor share price monthly chart](https://knowaboutmarket.com/wp-content/uploads/2024/02/TVS-Motor-Share-Monthly-Chart-1024x636.png)
In the year 2006 TVS Motor Stock Price was around Rs 90 and after the 2008 crash , stock price went down drastically. In the year 2008 stock price touched an all time low price of Rs 5.
Investing in a stock at an all time low price is not possible in real time. Because the stock may even go below that price. But with some technical knowledge, we can predict the stock movement.
On the monthly Time Frame draw a trendline from 2006 High to 2008 Low. Once the price crosses the trendline and the candle closes above it, we can enter the trade and invest our hard earned money in it.
![TVS motor trendline breakout 2009](https://knowaboutmarket.com/wp-content/uploads/2024/02/TV-motor-trendline-2009-breakout-1024x637.png)
In this case, trend line breakout was done in the month of March 2009.Once the April month candle crosses the March month high price, we will buy the stock.
March 2009 Candle High is around Rs 11.75. Once the April month Candle crosses Rs 11.80 we will enter into the stock.
So let’s assume, we will buy the stock at Rs 12.
As we have already discussed, the TVS Apache Bike price in 2009 was around Rs 75000.
Let’s do the math..
If we invest the same amount i.e. Rs 75000 in TVS Motor at the price of Rs 12, we will get around 6250 Stocks.
750000/ 12 = 6250
After 2009 stock has moved up to Rs 90 once again in One year [ by 2010]. Thereafter stock again went down. TVS Motor stock has broken an all time high price of Rs 90 in the year 2014. We will see more about the All time high breakout pattern and other technicalities in another article. Let’s confine ourselves to our topic i.e.” How much would Rs 75000 worth of stock in 2009 would be in 2024“.
So we had 6250 stocks in our Demat account.
In the year 2010 TVS Motor issued a bonus in 1:1 ratio. For every stock we hold, we get another stock.
So 6250+6250 = 12500 Stocks.
After the bonus, now we had 12500 stocks in our demat account.
After 2010 stock has never issued bonus or announced share split.
So the number TVS Motor Stocks in our demat account remain same i.e. 12500
As of writing this article i.e. February 2024, TVS Motor share price was trading around Rs 2000 [ Approximately].
![TVS Motor 2024 Price](https://knowaboutmarket.com/wp-content/uploads/2024/02/Tvs-motor-2024-price--1024x617.png)
12500X 2000 = Rs 25000000 [ Approximately Rs 2.5 Crores ]
A Small investment of Rs 75000 in 2009 would have generated Rs 2.5 crore wealth for you. [ Your investment would increase by 333 times]
Apart from this stock had announced dividends every year. You can treat dividend income as rental income.
If we calculate the dividend amount From 2011 to 2024, it would be around Rs 400000
Most recent dividend announced by TVS motor was in 2023 i.e. Rs 5 per share.
So the dividend amount for the year 2023 is 12500X5 : 62500 Rs
In terms of percentage
ROI : 33,233.33%
Annualized ROI : 47.92%
Investment Time : 14.5 Years
Hope this article gives you positive insights on power of investing in stock market. In our upcoming articles we will see more such stories, where small investment resulted in huge returns.
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