Calcom Vision downgraded to 'Sell' by MarketsMOJO

Calcom Vision, a microcap company in the consumer electronics industry, has recently been downgraded to a 'Sell' by MarketsMOJO on January 1, 2024. This decision was based on the company's negative results in September 2023, with a -47.45% growth in PAT (9M) and the lowest PBDIT (Q) at Rs 1.93 crore. Additionally, the operating profit to net sales (Q) was also at its lowest at 4.93%.
One of the main reasons for the downgrade is the company's expensive valuation, with a ROCE of 11.3 and an enterprise value to capital employed ratio of 2.8. This is further supported by the fact that the stock is currently trading at a discount compared to its average historical valuations.

Despite generating a return of 34.92% in the past year, the company's profits have only risen by 6.4%, resulting in a high PEG ratio of 57.7. However, there are some positive factors to consider, such as the healthy long-term growth of the company with an annual net sales growth rate of 34.18% and an operating profit growth rate of 46.82%.

Technically, the stock is currently in a mildly bullish range, with multiple indicators such as MACD, Bollinger Band, and KST showing bullish signals. It is also worth noting that the majority shareholders of Calcom Vision are the promoters, which can be seen as a positive sign for the company's future.

In terms of market performance, Calcom Vision has been beating the market in the long term as well as the near term. Along with generating a return of 34.92% in the last year, the stock has also outperformed BSE 500 in the last 3 years, 1 year, and 3 months. However, it is important to note that this article is based on facts and does not offer any recommendations or mention any potential future growth or investor interest.