MarketsMOJO downgrades Halder Venture to 'Hold' due to mixed growth and valuation concerns

Halder Venture, a microcap trading company, has recently received a 'Hold' rating from MarketsMOJO on November 13, 2024. This downgrade is based on several factors, including the company's net sales growth of 41.87% and PBT less OI growth of 55.3% in the last half year. Additionally, the company's PAT has also seen a significant increase of 54.4%.
Despite these positive growth numbers, the stock is currently in a mildly bullish range. However, there are multiple bullish indicators such as MACD, Bollinger Band, and KST. Furthermore, with a ROCE of 10, the company has a very attractive valuation with a 1.8 enterprise value to capital employed. It is also trading at a discount compared to its historical valuations.

The majority shareholders of Halder Venture are the promoters, which can be seen as a positive sign for investors. The stock has also outperformed the market (BSE 500) with a return of 178.66% in the last year, compared to the market's return of 26.05%.

However, there are some concerns regarding the company's ability to service debt, as it has a high debt to EBITDA ratio of 5.70 times. Additionally, the company has shown poor long-term growth, with operating profit only growing at an annual rate of 5.79% over the last 5 years.

In conclusion, while Halder Venture has shown strong growth in the recent past, the current 'Hold' rating suggests caution for investors. The company's high debt and slow long-term growth may be cause for concern, but the majority ownership by promoters and market-beating performance may still make it an attractive investment option for some.