Inox Wind Energy Receives 'Buy' Rating from MarketsMOJO, Showing Strong Growth Potential

Inox Wind Energy, a midcap company in the renewable energy industry, has recently received a 'Buy' rating from MarketsMOJO. This upgrade is based on the company's healthy long-term growth, positive financial results, and bullish technical trends.
One of the main reasons for the 'Buy' rating is the company's consistent growth in net sales and operating profit, with an annual rate of 36.88% and 41.02%, respectively. In fact, in the latest quarter, the company declared outstanding results with a growth in net sales of 21.02%. This positive trend has been seen in the last 5 consecutive quarters.

The stock is also technically in a bullish range, with improved technical trends and bullish factors such as MACD and Bollinger Band. In the last 3 years, the stock has consistently outperformed the BSE 500 index, with a return of 386.77% in the last year alone.

However, there are some risks associated with investing in Inox Wind Energy. The company has a low ROCE of 1.31%, indicating poor management efficiency and low profitability per unit of total capital. It also has a high debt to EBITDA ratio of -1.00 times, which may affect its ability to service debt. Additionally, the company has reported losses and negative ROE.

Moreover, the stock is currently trading at a very expensive valuation, with a 4.4 enterprise value to capital employed. This may be a concern for some investors, especially considering that domestic mutual funds hold only 0.96% of the company. This could signify that they are not comfortable with the current price or the business.

Despite these risks, Inox Wind Energy has shown strong growth potential and has received a 'Buy' rating from MarketsMOJO. With its presence in the renewable energy industry and consistent returns over the past few years, the company has the potential to be a profitable investment for those looking to invest in the midcap sector.