UTI Asset Management Company Receives 'Buy' Rating from MarketsMOJO, Showcasing Strong Financial Performance

UTI Asset Management Company, a leading finance and NBFC company in the midcap sector, has recently received a 'Buy' rating from MarketsMOJO on October 14, 2024. This upgrade comes as a result of the company's strong long-term fundamental strength, with an average Return on Equity (ROE) of 14.68%.
In addition, UTI Asset Management Company has consistently delivered positive results for the past five quarters, with a DPR(Y) of 78.12% and a growth in net sales of 31.10% at Rs 1,394.35 crore. Its PAT(9M) has also increased to Rs 602.63 crore, showcasing the company's strong financial performance.

From a technical standpoint, the stock is currently in a bullish range and has shown improvement since October 9, 2024, generating a return of -3.22%. The MACD and KST technical factors are also bullish, indicating a positive trend for the stock.

With a ROE of 17.4, UTI Asset Management Company is fairly valued with a price to book value of 3.5. It is currently trading at a fair value compared to its historical valuations. In the past year, the stock has generated a return of 46.42%, while its profits have increased by 35.2%. The PEG ratio of the company is 0.6, further highlighting its strong financial performance.

Moreover, the company offers a high dividend yield of 3.9%, making it an attractive investment option for investors. Its institutional holdings are also at a high of 67.39%, indicating that these investors have better capabilities and resources to analyze the company's fundamentals.

In terms of market performance, UTI Asset Management Company has outperformed the market (BSE 500) with a return of 46.42% in the last year, compared to the market's return of 35.61%. This showcases the company's strong market beating performance.

Overall, with its strong fundamental and technical strength, fair valuation, high dividend yield, and market beating performance, UTI Asset Management Company is a promising stock to consider for investment in the midcap sector.