Comfort Fincap Receives 'Sell' Rating from MarketsMOJO, Weak Fundamentals and Underperformance Cited

Comfort Fincap, a microcap finance company, has recently received a 'Sell' rating from MarketsMOJO on February 7th, 2024. This downgrade is due to weak long-term fundamental strength, with an average Return on Equity (ROE) of 8.40%. In addition, the company's results for December 2023 were flat, with the lowest EPS(Q) at Rs 0.05.
The stock has also underperformed the market in the last year, with negative returns of -51.30% compared to the market's 34.02% returns (BSE 500). However, there are some bullish factors for the stock, such as a technically Mildly Bullish range and positive indicators like RSI, MACD, Bollinger Band, and KST.

Despite these factors, the stock is trading at a premium compared to its historical valuations, with a Price to Book Value of 1.1 and a ROE of 10.1. It is worth noting that the company's profits have increased by 18.2% in the past year, while the stock has generated negative returns. The PEG ratio of the company is also at a low 0.7.

Comfort Fincap's majority shareholders are the promoters of the company. As a microcap finance company, it is important to closely monitor its performance and make informed decisions when considering investing in the stock.