Goyal Associates Receives Upgraded Stock Call from MarketsMOJO, Attractive Valuation and Strong Financial Performance Cited

Goyal Associates, a microcap finance company, has recently received an upgraded stock call from MarketsMOJO. The company's stock has been upgraded to 'Hold' on 05-Jul-24, with a technically bullish trend and a key technical factor, Bollinger Band, being bullish since the same date.
One of the reasons for the upgrade is the company's attractive valuation, with a price to book value of 2.9 and a return on equity (ROE) of 22.5. This is considered very attractive in the finance/NBFC industry. Additionally, the stock is currently trading at a discount compared to its average historical valuations.

Despite a flat performance in March 2024, Goyal Associates has shown a 16% increase in profits over the past year, resulting in a PEG ratio of 0.3. This indicates a strong financial performance and potential for future growth.

However, the company's majority shareholders are non-institutional, which may indicate weaker long-term fundamental strength. The average ROE of 9.54% also suggests room for improvement in this aspect.

In the last year, Goyal Associates has underperformed the market, with a return of 6.95% compared to the BSE 500's return of 37.85%. This may be a cause for concern for some investors.

Overall, with a technically bullish trend and attractive valuation, Goyal Associates' stock has been upgraded to 'Hold' by MarketsMOJO. However, investors should also consider the company's weak long-term fundamental strength and underperformance in the market before making any investment decisions.