Inter State Oil Carrier Receives 'Sell' Rating Due to Weak Fundamentals and Underperformance

Inter State Oil Carrier, a microcap logistics company, has recently received a 'Sell' rating from MarketsMOJO. This downgrade is based on the company's weak long-term fundamental strength, with a negative CAGR growth in operating profits over the last 5 years. Additionally, the company has a high debt to EBITDA ratio, indicating a low ability to service debt.
Furthermore, Inter State Oil Carrier has underperformed the market in the last year, with a return of only 11.73% compared to the market's 33.39%. This is a cause for concern for investors.

On the positive side, the company has declared positive results for the last 4 consecutive quarters, with a significant growth in net sales. However, the technical trend for the stock is currently sideways, indicating no clear price momentum.

In terms of valuation, Inter State Oil Carrier has an attractive ROCE of 6.1 and a 1.1 enterprise value to capital employed. However, the stock is currently trading at a premium compared to its historical valuations.

It is worth noting that the majority of the company's shareholders are non-institutional, which may impact the stock's performance.

Overall, with the recent downgrade to 'Sell' and the company's underperformance in the market, investors may want to approach Inter State Oil Carrier with caution.