Khandwala Securities Receives Upgraded Stock Call from MarketsMOJO, Showing Promising Growth.

Khandwala Securities, a microcap finance and non-banking financial company (NBFC), has recently received an upgraded stock call from MarketsMOJO. The stock has been upgraded to 'Hold' on November 7, 2024.
The decision to upgrade the stock to 'Hold' is based on the company's positive financial results in September 2024. Khandwala Securities has shown a growth of 60.34% in its net sales for the first half of the year, with a higher profit after tax of Rs 0.72 crore. This has led to a bullish trend in the stock, with technical indicators such as MACD, Bollinger Band, KST, and OBV all pointing towards a positive outlook.

The majority of the company's shareholders are non-institutional investors, and Khandwala Securities has consistently outperformed the BSE 500 index in the long term as well as the near term. However, the company's long-term fundamental strength is weak due to operating losses.

With a return on equity of 2.1, the stock is currently trading at an expensive valuation with a price to book value of 1.6. However, it is still trading at a discount compared to its historical valuations. In the past year, the stock has generated a return of 34.59%, while its profits have increased by 15%. The PEG ratio of the company is 1.6, indicating a balanced growth potential.

Overall, Khandwala Securities has shown promising growth in its financials and technical indicators, making it a 'Hold' for investors. While the company's long-term fundamentals may be weak, its market-beating performance and potential for growth make it a stock worth considering.