Chartered Capital & Investment receives 'Hold' rating after impressive profit growth

Chartered Capital & Investment, a microcap finance company, has recently received a 'Hold' rating from MarketsMOJO. This upgrade comes after the company has consistently shown positive results for the past four quarters. In fact, their profits have grown at an impressive rate of 823.53% in the last year.
Technically, the stock is currently in a mildly bullish range and has shown improvement from a sideways trend on October 24, 2024. Multiple factors such as MACD, Bollinger Band, KST, and DOW are all pointing towards a bullish outlook for the stock.

One of the major reasons for the 'Hold' rating is the company's attractive valuation. With a ROE of 3.8 and a price to book value of 0.5, the stock is currently trading at a discount compared to its historical valuations. Additionally, while the stock has generated a return of 67.06% in the past year, its profits have risen by a staggering 544%. This indicates a strong potential for future growth, with a PEG ratio of 0.

It is worth noting that the majority shareholders of Chartered Capital & Investment are the promoters themselves, which can be seen as a positive sign for the company's stability and growth.

However, the stock does have some weak points to consider. Its long-term fundamental strength is not very strong, with an average ROE of 0.67%. Furthermore, the company's net sales have only grown at an annual rate of 46.94%, and its operating profit has been at -18.03%. These factors suggest that the company may not have a strong long-term growth potential.

Overall, Chartered Capital & Investment's stock is currently in a good position, with a 'Hold' rating from MarketsMOJO. While it may not have a strong long-term growth potential, its current performance and attractive valuation make it a viable option for investors.