Country Condos Receives 'Hold' Rating from MarketsMOJO After Positive Q3 Results

Country Condos, a microcap real estate company, has recently received a 'Hold' rating from MarketsMOJO on February 6, 2024. This upgrade comes after the company reported positive results in September 2023, with a 24.25% growth in net sales and the highest PBDIT and PBT LESS OI in the quarter.
Technically, the stock is currently in a bullish range and has shown improvement from a mildly bullish trend on February 6, 2024. Multiple factors such as MACD, Bollinger Band, and KST also indicate a bullish trend for the stock.

With a ROE of 6.9, the stock is fairly valued with a price to book value of 1.8. However, it is currently trading at a premium compared to its historical valuations. In the past year, the stock has generated a return of 30.47%, while its profits have increased by 71%. The PEG ratio of the company stands at 0.4.

The majority shareholders of Country Condos are its promoters, indicating their confidence in the company's performance. However, the company's long-term fundamental strength is weak, with a -1.15% CAGR growth in net sales over the last 5 years. Additionally, its ability to service its debt is poor, with a low EBIT to Interest ratio of 0.45. The company's return on equity is also low at 4.88%, indicating low profitability per unit of shareholders' funds.

Overall, while Country Condos has shown positive results in the recent quarter and has a bullish technical trend, its long-term fundamental strength and profitability may be a cause for concern. Investors are advised to hold onto their stocks for now and monitor the company's performance closely.