KMC Speciality Hospitals (India) Downgraded to 'Sell' by MarketsMOJO

KMC Speciality Hospitals (India), a smallcap company in the healthcare services industry, has recently been downgraded to 'Sell' by MarketsMOJO. This downgrade is based on the company's flat results in March 2024, with a decrease in profits by 7.2%. Additionally, the company's ROCE of 18.8 indicates an expensive valuation with a 7 Enterprise value to Capital Employed.
Despite the stock's 35.46% return in the past year, its profits have only risen by 13.9%, resulting in a PEG ratio of 3.3. This suggests that the stock may be overvalued. Furthermore, domestic mutual funds hold a mere 0% stake in the company, indicating that they may not be comfortable with the current price or the business itself.

Other factors to consider include the company's low Debt to Equity ratio and a sideways technical trend, indicating no clear price momentum. The technical trend has also deteriorated since the downgrade on May 30, 2024, resulting in a -2.14% return.

In conclusion, based on the recent downgrade by MarketsMOJO and other factors such as flat results and expensive valuation, it may be wise for investors to consider selling their shares in KMC Speciality Hospitals (India).