Premco Global Receives 'Hold' Rating from MarketsMOJO

Premco Global, a microcap textile company, has recently received a 'Hold' rating from MarketsMOJO on October 31, 2023. This upgrade is based on the company's low Debt to Equity ratio, which is currently at 0 times. Additionally, the stock is currently in a Mildly Bullish range and the MACD has been Bullish since December 6, 2023.
The majority shareholders of Premco Global are the promoters, indicating their confidence in the company's performance. However, the company has shown poor long-term growth with only a 6.06% increase in Net Sales and a 10.10% increase in Operating profit over the last 5 years.

In the latest quarter, the company's results were flat with a decrease of 30.6% in PAT(Q) at Rs 2.00 crore. The NON-OPERATING INCOME(Q) also accounts for a significant portion of the Profit Before Tax (PBT) at 45.49%.

With a ROE of 11.1, Premco Global has a Very Expensive valuation with a 1.2 Price to Book Value. The stock is currently trading at a premium compared to its historical valuations. However, in the past year, the stock has generated a return of 25.32%, while its profits have risen by 30%. This gives the company a PEG ratio of 0.4, indicating a potential for future growth.

Investors should also note that Premco Global has a high dividend yield of 4.1 at the current price. Overall, while the company's performance may not be impressive in the long term, it has shown positive growth in the past year and has the potential for future growth. Investors may want to hold onto their stocks for now and keep an eye on the company's performance in the coming quarters.