Secmark Consultancy Receives 'Hold' Rating from MarketsMOJO Amid Stable Financial Position

Secmark Consultancy, a microcap IT software company, has recently received a 'Hold' rating from MarketsMOJO. This upgrade comes as the company has shown a low Debt to Equity ratio of 0.08 times, indicating a stable financial position.
Technically, the stock is in a Bullish range and has shown improvement in its trend from Mildly Bullish on 08-May-24. The MACD and KST technical factors also suggest a Bullish outlook for the stock.

However, the company has shown poor long-term growth with an annual rate of -271.00% in operating profit over the last 5 years. In addition, the company's results in December 2023 were flat.

The stock is also considered risky due to its negative EBITDA and trading at a higher valuation compared to its historical average. In the past year, while the stock has generated a return of 13.80%, its profits have fallen by -298%.

Furthermore, Secmark Consultancy has underperformed the market in the last 1 year with a return of 13.80%, significantly lower than the market (BSE 500) returns of 33.24%.

With these factors in mind, MarketsMOJO has upgraded the stock to a 'Hold' rating, suggesting a cautious approach for investors. The majority shareholders of the company are the promoters, indicating their confidence in the company's future prospects.