Krishanveer Forge Receives 'Hold' Rating from MarketsMOJO, Shows Potential for Near-Term Growth

Krishanveer Forge, a microcap company in the castings/forgings industry, has recently received a 'Hold' rating from MarketsMOJO on August 12, 2024. This upgrade is based on the company's low Debt to Equity ratio, which is currently at 0 times.
In addition, Krishanveer Forge has shown positive results for the last four consecutive quarters, with its highest net sales at Rs 24.86 crore and PBDIT at Rs 2.68 crore. The company's operating profit to net sales ratio is also at its highest at 10.78%. These factors contribute to the company's bullish trend, which has improved from mildly bullish to bullish on August 12, 2024. Technical indicators such as MACD, Bollinger Band, KST, and OBV also support this trend.

With a ROE of 13, Krishanveer Forge is currently fairly valued with a price to book value of 3.6. However, the stock is trading at a premium compared to its historical valuations. Despite this, the stock has generated a return of 58.41% in the past year, with profits increasing by 41.7%. The PEG ratio of the company is also at a favorable 0.7.

The majority shareholders of Krishanveer Forge are its promoters, indicating their confidence in the company's performance. In the long term, the stock has outperformed the BSE 500 index, generating a return of 58.41% in the last year and beating the index in the last 3 years, 1 year, and 3 months.

However, the company has shown poor long-term growth as its operating profit has declined by an annual rate of -0.95% over the last 5 years. This is something investors should keep in mind while considering their investment in Krishanveer Forge. Overall, with a 'Hold' rating from MarketsMOJO, Krishanveer Forge shows potential for growth in the near term, but long-term growth may be a concern.