PVV Infra Receives 'Sell' Rating from MarketsMOJO, Concerns Over Long-Term Fundamentals and Debt Servicing.

PVV Infra, a microcap real estate company, has recently received a 'Sell' rating from MarketsMOJO. This downgrade is based on the company's weak long-term fundamental strength, with a -2.75% CAGR growth in operating profits over the last 5 years. Additionally, the company's ability to service its debt is also a concern, with a poor EBIT to Interest (avg) ratio of 1.55.
Despite declaring positive results for the last 4 consecutive quarters, with a growth of 47.40% in net sales and a PAT(Q) of Rs 1.83 cr, PVV Infra's profitability per unit of shareholders' funds is low, with a Return on Equity (avg) of 8.59%. Technically, the stock is in a mildly bullish range, with multiple factors such as MACD, Bollinger Band, and KST indicating a bullish trend.

However, with a ROE of 6, the stock is fairly valued with a 1.4 price to book value. It is also trading at a premium compared to its average historical valuations. Despite generating a return of 127.70% in the past year, the company's profits have only risen by 319%, resulting in a PEG ratio of 0.

On a positive note, promoter confidence in PVV Infra is rising, with promoters increasing their stake in the company by 20.11% over the previous quarter. Currently, they hold 26.65% of the company, indicating a high level of confidence in the future of the business.

In terms of market performance, PVV Infra has outperformed the BSE 500 in the last 3 years, 1 year, and 3 months, showcasing its potential for long-term growth. However, considering the current financials and market trends, MarketsMOJO has downgraded the stock to 'Sell'. Investors are advised to carefully evaluate their investment decisions and consider all factors before making any decisions regarding PVV Infra.