Mahindra Holidays & Resorts India's Financial Results Show Negative Trend, Stock Call: Strong Sell

Mahindra Holidays & Resorts India, a midcap company in the hotel, resort, and restaurant industry, recently announced its financial results for the quarter ending September 2024. The stock call by MarketsMOJO for the company is 'Strong Sell'.

According to the financial report, Mahindra Holidays has seen a flat performance in the quarter, with a score of -4, a decrease from 0 in the last 3 months. This indicates a negative trend for the company.

One of the major factors contributing to this decline is the Profit Before Tax (PBT) less Other Income, which has fallen by -155.1% to Rs -7.31 crore compared to the average PBT of the previous four quarters, which was Rs 13.27 crore. This shows a very negative trend in the near term for PBT.

Similarly, the Profit After Tax (PAT) has also decreased by -54.6% to Rs 13.77 crore compared to the average PAT of the previous four quarters, which was Rs 30.31 crore. This indicates a very negative trend in the near term for PAT.

Another concerning factor is the Non Operating Income, which is 126.00% of the PBT. This means that the company's income from non-business activities is high, which is not a sustainable business model. Additionally, the Non Operating Income for the quarter is the highest in the last five quarters at Rs 35.43 crore, which may not be sustainable in the long run.

Based on these financial results, the stock call for Mahindra Holidays & Resorts India is 'Strong Sell'. Investors are advised to carefully consider these factors before making any investment decisions.