MarketsMOJO downgrades SSPDL to 'Sell' rating

SSPDL, a microcap real estate company, has recently received a stock call upgrade from 'Strong Sell' to 'Sell' by MarketsMOJO on November 30th, 2023.
The decision to categorize SSPDL as a 'Sell' is based on the company's high debt level, with a debt-to-equity ratio of 7.04 times, indicating weak long-term fundamental strength. Additionally, the company has shown poor long-term growth, with net sales growing at an annual rate of only 0.38% and operating profit remaining stagnant at 0% over the past 5 years. Furthermore, SSPDL's average debt-to-equity ratio of 0 times suggests a high level of debt.

In the last quarter of 2023, the company's net sales fell by 64.68%, resulting in negative EBITDA and making the stock a risky investment. Despite generating a return of 4.16% in the past year, SSPDL's profits have declined by 3%, indicating underperformance compared to the market (BSE 500) returns of 16.72%.

Other factors contributing to the 'Sell' rating include the stock's technical trend, which has been mildly bullish since December 5th, 2023 and has generated a negative return of 4.9%. However, certain technical indicators, such as MACD, Bollinger Band, KST, and OBV, suggest a bullish outlook for the stock.

It is worth noting that the majority shareholders of SSPDL are promoters, indicating their confidence in the company's future prospects. However, based on current financial and market trends, it is advised to approach investing in SSPDL with caution.