TGV Sraac Upgraded to 'Hold' by MarketsMOJO, Shows Potential for Long-Term Growth

TGV Sraac, a smallcap company in the chemicals industry, has recently been upgraded to a 'Hold' by MarketsMOJO on October 9, 2024. This upgrade is based on the company's healthy long-term growth, with an annual operating profit growth rate of 32.04%.
Technically, the stock is in a mildly bullish range and has shown improvement since October 7, 2024, generating a return of 2.08%. The Bollinger Band and KST technical factors also indicate a bullish trend.

In terms of valuation, TGV Sraac has a very attractive ROCE of 15.2 and a low enterprise value to capital employed ratio of 0.9. It is currently trading at a discount compared to its average historical valuations.

However, the company has declared negative results for the last six consecutive quarters, with a decline in profits by 89%. In the last half-year, the company's PAT has grown at a rate of -85.23% and its net sales have also declined by -20.88%.

Despite its size, domestic mutual funds hold only 0.05% of the company, which could indicate their discomfort with the stock's price or business. Additionally, TGV Sraac has underperformed the market in the last year, generating negative returns of -13.87% while the market (BSE 500) has seen a return of 37.10%.

Overall, while TGV Sraac shows potential for long-term growth, its recent financial performance and lack of interest from domestic mutual funds may warrant a 'Hold' rating for now. Investors should keep an eye on the company's future results and market trends before making any investment decisions.