Country Condos Receives 'Hold' Rating from MarketsMOJO

Country Condos, a microcap real estate company, has recently received a 'Hold' rating from MarketsMOJO on November 13, 2023. This upgrade comes after the company reported positive results in September 2023, with a 24.25% growth in net sales and the highest PBDIT and PBT LESS OI in the quarter.
Technically, the stock is currently in a bullish range and has shown a 41.47% return since November 21, 2023. Multiple factors such as MACD, Bollinger Band, KST, and OBV are also indicating a bullish trend for the stock.

However, the company's fundamentals show some weaknesses. With a ROE of 6.9, the stock is fairly valued with a price to book value of 2.1. It is currently trading at a premium compared to its historical valuations. In the past year, the stock has generated a return of 8.09%, but its profits have only risen by 71%, resulting in a low PEG ratio of 0.4.

The majority shareholders of Country Condos are the promoters, indicating their confidence in the company. However, the company's long-term fundamental strength is weak, with a -1.15% CAGR growth in net sales over the last 5 years. Additionally, its ability to service its debt is poor, with a low EBIT to Interest ratio of 0.45. The company's return on equity is also low at 4.88%, indicating low profitability per unit of shareholders' funds.

Overall, while the recent positive results and technical trend may make Country Condos a hold for now, investors should carefully consider the company's weak long-term fundamentals before making any investment decisions.