Orissa Minerals Development Company Receives 'Hold' Rating from MarketsMOJO, Shows Positive Growth and Technical Indicators

Orissa Minerals Development Company, a smallcap company in the miscellaneous industry, has recently received a 'Hold' rating from MarketsMOJO on August 12, 2024. This upgrade is based on the company's positive financial results and technical indicators.
In December 2023, the company reported a 257.52% growth in net sales, which is a very positive sign. Additionally, the company has consistently declared positive results for the last two quarters. Its PBT LESS OI(Q) has grown by 121.03% and NET SALES(HY) has also increased to Rs 44.90 crore. PBDIT(Q) has reached its highest at Rs 12.44 crore.

The stock is currently in a bullish range and its technical trend has improved from mildly bullish to generating -2.74% returns since August 7, 2024. The MACD and KST technical factors are also showing a bullish trend.

The majority shareholders of Orissa Minerals Development Company are its promoters, which is a positive sign for investors. The stock has also outperformed BSE 500 in the last 3 years, 1 year, and 3 months, with a market-beating performance in the long term as well as the near term.

However, the company's long-term fundamental strength is weak as it has not declared any results in the last 6 months. Its net sales have only grown by an annual rate of 123.89% and operating profit has remained stagnant at 0% over the last 5 years. Additionally, the company has a high debt-to-equity ratio, which may be a cause for concern.

Investing in this stock may also be considered risky as it has negative operating profits and is currently trading at higher valuations compared to its historical average. While the stock has generated a return of 66.05% in the last year, its profits have only increased by 59.5%.

In conclusion, while Orissa Minerals Development Company has shown positive growth and technical indicators, investors should also consider the company's weak long-term fundamentals and high debt before making any investment decisions.