Indian Toners & Developers Downgraded to 'Sell' by MarketsMOJO on August 5, 2024

Indian Toners & Developers, a microcap company in the dyes and pigments industry, has recently been downgraded to a 'Sell' by MarketsMOJO on August 5, 2024. This decision was based on various factors, including poor long-term growth, flat results in March 2024, and a technically bearish trend.
Over the last 5 years, the company has only seen a 6.30% annual growth in net sales and a 5.41% growth in operating profit. In addition, its PBT LESS OI(Q) has fallen by -18.53% in March 2024. This has resulted in the stock being in a mildly bearish range, with a technical trend that has deteriorated since August 5, 2024, generating -4.23% returns.

Furthermore, Indian Toners & Developers has underperformed the market (BSE 500) in the last 1 year, with negative returns of -2.00% compared to the market's 32.89% returns. However, the company does have a low debt to equity ratio and a very attractive valuation with a 1.8 price to book value. Its ROE is also at 15.3, indicating a strong financial position.

It is worth noting that the majority shareholders of Indian Toners & Developers are the promoters themselves. While the stock has generated negative returns in the past year, its profits have still increased by 0.7%. However, the PEG ratio of the company is at 5.7, which may be a cause for concern.

Overall, the downgrade to 'Sell' by MarketsMOJO highlights the current challenges and weaknesses of Indian Toners & Developers. Investors should carefully consider these factors before making any investment decisions.