Mauria Udyog Receives 'Hold' Rating from MarketsMOJO After Positive Results and Strong Financials

Mauria Udyog, a microcap company in the capital goods industry, has recently received a 'Hold' rating from MarketsMOJO. This upgrade comes after the company declared positive results for the last 6 consecutive quarters, with a highest ROCE of 16.32% and a lowest debt-equity ratio of 3.86 times. The operating profit to interest ratio is also at its highest at 2.52 times.
Technically, the stock is in a mildly bullish range and has shown improvement from a sideways trend on 25-Nov-24. The key technical factor, MACD, has been bullish since 25 Nov 2024. With a ROCE of 11.1, the stock is considered to have an attractive valuation with a 1.8 enterprise value to capital employed. It is also trading at a discount compared to its average historical valuations. In the past year, the stock has generated a return of 16.44%, while its profits have risen by 84.7%. The PEG ratio of the company is 0.1, indicating a potential for future growth.

The majority shareholders of Mauria Udyog are the promoters, but the company has a high debt and weak long-term fundamental strength. Its net sales have shown a negative growth rate of -18.65% over the last 5 years, and the debt to equity ratio (avg) is at 2.79 times. The return on equity (avg) is also low at 5.57%, indicating a low profitability per unit of shareholders' funds.

In the last 1 year, the stock has underperformed the market, generating a return of 16.44% compared to the market (BSE 500) returns of 27.32%. While the company has shown positive results in the recent quarters, its long-term growth and high debt may be a cause for concern for investors. MarketsMOJO's 'Hold' rating suggests a neutral stance on the stock, with no clear recommendation for buying or selling.