Nagreeka Capital & Infrastructure Receives 'Hold' Rating After Strong Quarterly Results

Nagreeka Capital & Infrastructure, a microcap finance company, has recently received a 'Hold' rating from MarketsMOJO. This upgrade comes after the company declared very positive results in June 2024, with a growth in net profit of 32.02%. The company has consistently shown positive results for the last 5 quarters, with a 40.6% growth in net sales and a 31.1% growth in profit after tax.
The stock is currently in a bullish range and the technical trend has improved from mildly bullish to bullish on November 11, 2024. Multiple factors such as MACD, Bollinger Band, and KST indicate a bullish trend for the stock.

The majority shareholders of Nagreeka Capital & Infrastructure are the promoters, which adds to the stability and confidence in the company. Additionally, the stock has consistently generated returns over the last 3 years, outperforming the BSE 500 index.

However, the company does have some weak long-term fundamental strengths, with an average return on equity (ROE) of 0%. The net sales have also shown a decline of -17.55% annually, and the operating profit remains at 0%. This may be a cause for concern for long-term investors.

Furthermore, the stock is currently trading at a very expensive valuation with a price to book value of 14.8. However, it is still at a fair value compared to its average historical valuations. In the past year, the stock has generated a return of 45.14%, while its profits have risen by 146%. This gives the company a PEG ratio of 0, indicating a fair valuation.

In conclusion, Nagreeka Capital & Infrastructure has shown positive results in the recent quarter and has a bullish trend in the stock market. However, long-term investors should consider the weak fundamental strengths and expensive valuation before making any investment decisions.