What are multibagger stocks in Finance?

Peter Lynch coined the term multibagger stocks in his 1988 book 'One Up On Wall Street.' An equity stock that generates a return of more than 100% is a multibagger stock. A 100% return from a stock implies that the investment in such a stock has doubled.

Two-bagger stocks are stocks that double their price while ten-bagger stocks generate ten times the price. Therefore, multibaggers are stocks whose prices have risen multiple times their initial investment values.

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