Indo Borax & Chemicals Receives Stock Upgrade to 'Hold' Rating from MarketsMOJO

Indo Borax & Chemicals, a microcap company in the chemicals industry, has recently received a stock call upgrade from MarketsMOJO. The stock has been upgraded to a 'Hold' rating on March 13, 2024.
The decision to upgrade the stock to a 'Hold' rating is based on several factors. Firstly, the company has a low Debt to Equity ratio, which is a positive sign for investors. Additionally, the company has shown healthy long-term growth with an annual operating profit growth rate of 34.10%.

Technically, the stock is currently in a Mildly Bullish range and both the MACD and KST technical factors are also Bullish. This indicates a positive trend for the stock in the near future.

Furthermore, the company has an attractive valuation with a Price to Book Value of 1.8 and a ROE of 16.8. The stock is currently trading at a fair value compared to its average historical valuations.

However, it is important to note that the company has declared negative results for the last three consecutive quarters. The ROCE (HY) is at its lowest at 23.21%, while the PBDIT (Q) and PBT LESS OI (Q) are also at their lowest at Rs 9.18 crore and Rs 8.61 crore respectively.

It is worth mentioning that the majority shareholders of Indo Borax & Chemicals are the promoters. This indicates their confidence in the company's future prospects.

In conclusion, while the stock has shown a return of 35.20% in the past year, its profits have fallen by -15.3%. Therefore, it is advisable for investors to hold onto their positions in Indo Borax & Chemicals for now, as the company works towards improving its financial performance.