Last Mile Enterprises Receives 'Sell' Rating from MarketsMOJO, Despite Strong Long-Term Fundamentals

Last Mile Enterprises, a smallcap company in the finance/NBFC industry, has recently received a 'Sell' rating from MarketsMOJO on November 4, 2024. This downgrade is due to the stock being in a Mildly Bearish range and its MACD and KST technical factors also being Bearish.
One of the main reasons for the 'Sell' rating is the company's expensive valuation, with a price to book value of 3.2 and a return on equity (ROE) of only 0.7. Additionally, while the stock has seen a return of 127.01% in the past year, its profits have actually decreased by -47%.

Another concerning factor is that despite being a smallcap company, domestic mutual funds hold only 0% of the company. This could indicate that they are not comfortable with the stock's price or the company's business.

However, there are some positive aspects to consider. Last Mile Enterprises has a strong long-term fundamental strength, with an average ROE of 62.49%. The company also declared outstanding results in September 2024, with a growth in net sales of INF%. Their net sales for the half-year have grown by a staggering 27,928.57%, with the highest PBDIT and operating profit to net sales in the last quarter.

Moreover, Last Mile Enterprises has consistently outperformed the BSE 500 index in the last 3 years, showcasing its strong returns and potential for growth. While the recent 'Sell' rating may be a cause for concern, investors should also consider the company's strong long-term fundamentals and consistent returns.