Beryl Drugs Receives 'Hold' Rating from MarketsMOJO, Technical Indicators Point to Positive Outlook

Beryl Drugs, a microcap pharmaceutical company, has recently received a 'Hold' rating from MarketsMOJO. This upgrade comes as the stock has shown a bullish trend, with technical indicators such as MACD, Bollinger Band, and KST all pointing towards a positive outlook.
One of the main reasons for this upgrade is the company's attractive valuation, with a ROCE of 14 and an enterprise value to capital employed ratio of 1.7. Additionally, the stock is currently trading at a discount compared to its historical valuations, making it an attractive option for investors.

Over the past year, Beryl Drugs has generated a return of 148.28%, while its profits have increased by 94%. This has resulted in a PEG ratio of 0, indicating that the stock is undervalued.

However, the majority of shareholders in Beryl Drugs are non-institutional, which may pose a risk for the company's long-term growth potential. Additionally, the company has shown weak long-term fundamental strength, with an average ROCE of 5.27% and poor growth in net sales and operating profit over the last 5 years.

Furthermore, Beryl Drugs has a high debt to EBITDA ratio of 3.04 times, indicating a low ability to service debt. This was reflected in the company's flat results in December 2023, with net sales growing at a negative rate of -6.47%.

Despite these challenges, Beryl Drugs has consistently outperformed the BSE 500 index in the last 3 annual periods, showcasing its potential for growth in the future. However, it is important to note that this is not a recommendation to buy or sell the stock, but rather an informative update on its current status. Investors should conduct their own research and analysis before making any investment decisions.