Everest Organics Receives 'Hold' Rating from MarketsMOJO, Attractive Valuation and Mixed Performance Indicate Potential Long-Term Investment Opportunity

Everest Organics, a microcap pharmaceutical company, has recently received a 'Hold' rating from MarketsMOJO. The stock is currently in a Mildly Bullish range, with multiple factors such as MACD, Bollinger Band, KST, DOW, and OBV all showing Mildly Bullish trends.
One of the main reasons for the 'Hold' rating is the company's attractive valuation, with a ROCE of 5 and an Enterprise value to Capital Employed ratio of 1.5. Additionally, the stock is currently trading at a discount compared to its average historical valuations.

In terms of financial performance, Everest Organics has shown a 32% increase in profits over the past year, while the stock has generated a return of 21.86%. The PEG ratio of the company is also at a favorable 0.6.

However, there are some concerns regarding the company's long-term fundamental strength, with a -19.09% CAGR growth in Operating Profits over the last 5 years. The company also has a high Debt to EBITDA ratio of 0 times, indicating a low ability to service debt.

In terms of recent results, Everest Organics has shown flat results in March 2024, with a 37.05% growth in interest and a Debt-Equity ratio of 1.22 times. The PBT LESS OI(Q) is also at its lowest at Rs -0.14 cr.

Overall, the stock has underperformed the market in the last 1 year, with a return of 21.86% compared to the market's (BSE 500) return of 32.41%. The majority shareholders of the company are the promoters.

While the stock may not be a strong buy at the moment, it is still worth considering for investors who are looking for a potential long-term investment opportunity in the pharmaceutical industry. With a 'Hold' rating and a mix of positive and negative factors, it is important for investors to carefully analyze the company's financials and future prospects before making any investment decisions.