Last Mile Enterprises Downgraded to 'Sell' by MarketsMOJO, But Positive Factors Remain

Last Mile Enterprises, a smallcap company in the finance/NBFC industry, has recently been downgraded to a 'Sell' by MarketsMOJO on October 1, 2024. This decision was based on several factors, including flat results in June 2024, a decrease in profits by 44.14%, and a low EPS of -2.65. Additionally, the stock is currently in a mildly bearish range and has seen a decline in technical trend since October 1, 2024.
Furthermore, Last Mile Enterprises has a very expensive valuation with a price to book value of 14.8 and a return on equity of only 2.8. Despite generating a return of 179.28% in the past year, the company's profits have fallen by 47%. This, along with other bearish indicators such as MACD, Bollinger Band, and KST, has led to the 'Sell' rating by MarketsMOJO.

However, there are some positive factors to consider. Last Mile Enterprises has a strong long-term fundamental strength with an average return on equity of 53.79%. The company has also shown healthy long-term growth with an annual growth rate of 162% in net sales and 56.74% in operating profit.

Moreover, institutional investors have shown an increasing interest in the company, with a 8.6% increase in their stake in the previous quarter. These investors have better resources and capabilities to analyze the fundamentals of companies, making their participation a positive sign for Last Mile Enterprises.

In addition, the company has consistently outperformed the BSE 500 index in the last 3 years, generating returns of 179.28%. While the recent downgrade may be a cause for concern, it is important to consider all factors before making any investment decisions.