Bambino Agro Industries Downgraded to 'Sell' by MarketsMOJO, Highlighting Challenges for Investors

Bambino Agro Industries ., a microcap FMCG company, has recently been downgraded to a 'Sell' by MarketsMOJO on July 24, 2024. This decision was based on several factors, including the company's high debt to EBITDA ratio of 3.59 times, indicating a low ability to service debt. Additionally, the company has shown poor long-term growth with only a 5.93% annual growth in net sales and 9.87% in operating profit over the last 5 years.
Technically, the stock is currently in a Mildly Bearish range, with a deteriorating trend since July 24, 2024, resulting in a -3.21% return. Multiple factors, such as MACD, KST, and DOW, also contribute to the Mildly Bearish outlook for the stock.

In the past year, Bambino Agro Industries . has underperformed the market, generating a return of only 15.66%, compared to the market's 35.30% return. However, the company did show positive results in March 2024, with a 425.00% growth in PBT LESS OI(Q) and a 171.9% growth in PAT(Q).

Despite its current performance, the company has a fair valuation with a ROCE of 13.9 and an enterprise value to capital employed ratio of 2.2. The stock is also trading at a discount compared to its historical valuations. In the past year, while the stock has generated a return of 15.66%, its profits have risen by 18.7%, resulting in a PEG ratio of 1.4.

It is worth noting that the majority shareholders of Bambino Agro Industries . are the promoters of the company. This information may be important for investors to consider when making decisions about the stock. Overall, MarketsMOJO's downgrade to 'Sell' for Bambino Agro Industries . highlights the company's current challenges and potential risks for investors.