Supra Pacific Management Consultancy Receives 'Sell' Rating from MarketsMOJO Due to Weak Fundamentals and High Valuation

Supra Pacific Management Consultancy, a microcap company in the finance/NBFC industry, has recently received a 'Sell' rating from MarketsMOJO on July 22, 2024. This downgrade is based on the company's weak long-term fundamental strength, with an average return on equity (ROE) of 3.20%. Additionally, the stock is currently trading at a premium compared to its historical valuations, with a price to book value of 1.6.
Despite the stock's impressive return of 65.79% in the past year, its profits have only risen by 42%, resulting in a high PEG ratio of 6.3. This indicates that the stock may be overvalued and not a good investment option at this time.

On a positive note, Supra Pacific Management Consultancy has declared positive results for the last 6 consecutive quarters, with a significant growth in net sales of 113.65% at Rs 15.81 crore and the highest PBDIT (profit before depreciation, interest, and taxes) and PAT (profit after tax) in the last quarter at Rs 4.24 crore and Rs 0.46 crore, respectively.

Technically, the stock is currently in a mildly bullish range, with multiple factors such as MACD, Bollinger Band, KST, and OBV indicating a bullish trend.

However, despite its market-beating performance, it is important to consider the company's weak fundamental strength and expensive valuation before making any investment decisions. Investors should carefully evaluate all factors and do their own research before investing in Supra Pacific Management Consultancy.