Super Sales India Downgraded to 'Sell' by MarketsMOJO, Poor Financial Performance Raises Concerns

Super Sales India, a microcap company in the textile industry, has recently been downgraded to a 'Sell' by MarketsMOJO on July 16, 2024. This decision was based on several factors, including poor management efficiency with a low return on equity (ROE) of 5.11%. This indicates that the company is not generating enough profits per unit of shareholders' funds.
In addition, the company has shown poor long-term growth with a net sales growth rate of only 7.24% over the last 5 years. This was further reflected in their negative results in March 2024, with a significant decrease in profits and the lowest ROCE (return on capital employed) at 4.84%. The operating profit to interest ratio was also at its lowest at 2.10 times.

Another concerning factor is that despite its size, domestic mutual funds hold only 0% of the company. This could suggest that they are not comfortable with the company's current price or its business.

On a positive note, the stock is currently in a mildly bullish range and has multiple bullish indicators such as MACD, Bollinger Band, and KST. It also has a fair valuation with a ROCE of 3.2 and an enterprise value to capital employed ratio of 1. This means that the stock is trading at a discount compared to its historical valuations.

However, it is important to note that while the stock has generated a return of 85.63% in the past year, its profits have decreased by -27.9%. This could be a cause for concern for potential investors.

On a brighter side, Super Sales India has consistently outperformed the BSE 500 index in the last 3 years, with a return of 85.63%. This could be a positive sign for long-term investors.

In conclusion, while Super Sales India may have some positive indicators, the recent downgrade to 'Sell' by MarketsMOJO and the company's poor financial performance raise concerns for potential investors. It is important to carefully consider all factors before making any investment decisions.