Delta Corp Downgraded to 'Strong Sell' by MarketsMOJO: Poor Growth, Negative Results, and Bearish Trend Raise Concerns.

Delta Corp, a smallcap company in the hotel, resort, and restaurant industry, has recently been downgraded to a 'Strong Sell' by MarketsMOJO. This decision was based on several factors, including poor long-term growth, negative financial results, and a bearish technical trend.
Over the last 5 years, Delta Corp has only seen a 1.44% growth in net sales and a 6.81% growth in operating profit. In the most recent quarter, the company reported a -7.27% decrease in net sales and a -59.1% decrease in profits. Additionally, the company's debtors turnover ratio is at its lowest at 98.44 times, indicating potential issues with collecting payments.

From a technical standpoint, the stock is currently in a bearish range and has seen a -2.88% return since the downgrade on September 19, 2024. The Bollinger Band and KST technical factors are also showing a bearish trend.

Institutional investors have also decreased their stake in the company by -0.58% in the previous quarter, holding only 10.26% of the company. This could be a cause for concern as institutional investors typically have more resources and capabilities to analyze a company's fundamentals.

Delta Corp has also consistently underperformed against the benchmark over the last 3 years, with a -27.68% return in the last year alone. However, the company does have a low debt to equity ratio and a very attractive valuation with a 1.4 price to book value. Despite this, the stock is currently trading at a discount compared to its historical valuations.

Overall, Delta Corp's recent downgrade to a 'Strong Sell' by MarketsMOJO is a cause for concern for investors. The company's poor long-term growth, negative financial results, and bearish technical trend are all factors to consider before making any investment decisions.