National Plastic Industries Receives 'Hold' Rating from MarketsMOJO Based on Technical Indicators and Attractive Valuation

National Plastic Industries, a microcap company in the plastic products industry, has recently received a 'Hold' rating from MarketsMOJO. This upgrade is based on various technical indicators, such as the stock being in a bullish range and improvements in the technical trend.
One of the key factors contributing to this upgrade is the company's attractive valuation, with a ROCE of 12.3 and a 1.4 Enterprise value to Capital Employed. Additionally, the stock is currently trading at a discount compared to its historical valuations.

In terms of performance, National Plastic Industries has shown market-beating returns in both the long term and near term. In the past year, the stock has generated a return of 79.14%, while its profits have increased by 31.8%. This is reflected in the company's low PEG ratio of 0.5.

However, the company does have some weak fundamental strengths, such as a low average ROCE of 7.11% and poor long-term growth in net sales and operating profit. Furthermore, the company has a high debt to EBITDA ratio of 5.42 times, indicating a low ability to service debt.

In the latest quarter, the company's net sales have fallen by -19.51%, which could be a cause for concern. Overall, while National Plastic Industries has shown strong performance in the past year, its long-term fundamentals may need improvement. Investors are advised to hold onto their stocks for now and monitor the company's performance closely.