Procter & Gamble Health Downgraded to 'Sell' by MarketsMOJO on Multiple Factors

Procter & Gamble Health, a midcap pharmaceutical company, has recently been downgraded to a 'Sell' by MarketsMOJO on March 27, 2024. This decision was based on several factors, including poor long-term growth, flat results in December 2023, and a high valuation with a price to book value of 9.9.
Over the past five years, the company has only seen a 7.82% growth in net sales and a 17.91% growth in operating profit. In addition, its debtors turnover ratio is at a low of 9.11 times and its PBT less OI has fallen by -5.84%. The company's PAT has also seen a decline of -6.2%.

Despite a high ROE of 28.1, the stock is currently trading at a discount compared to its historical valuations. In the past year, the stock has generated a return of -2.80%, while its profits have fallen by -2.7%. However, the company does have a high dividend yield of 5.2% at its current price.

In terms of other factors, Procter & Gamble Health has a high management efficiency with a ROE of 25.87% and a low debt to equity ratio of 0 times. However, the technical trend for the stock is currently sideways, indicating no clear price momentum.

It is also worth noting that the company has a high institutional holding of 20.26%, which suggests that these investors have better resources and capabilities to analyze the company's fundamentals. Their stake in the company has also increased by 0.57% in the previous quarter.

Overall, Procter & Gamble Health's recent downgrade to 'Sell' highlights its below par performance in both the long-term and near-term. It has also underperformed the BSE 500 index in the last three years, one year, and three months. Investors should carefully consider these factors before making any decisions regarding this stock.