Alliance Grain Traders Inc. (AGT), the world’s largest traders of pulse crops, was evaluating the ways to diversify its business and to increase the non-core activities. The company has the choice to use its strength of dominancy in pulse trading to expand its value chain. On the other side, it was entering into a segment that has a number of competitors who have already been leading the market.
An analyst from the stock market who has the funds in AGT was evaluating the company in the given scenario that whether it would be better to hold the AGT stock or should he sell all of his holdings?