Vikas Proppant & Granite: A Weak Outlook

Vikas Proppant & Granite, a microcap company in the chemicals industry, has recently seen its stock rating downgraded from 'Strong Sell' to 'Sell' by MarketsMOJO on 2023-10-27. This downgrade is based on a number of factors that indicate a weak outlook for the company.
One of the main reasons for the downgrade is the company's weak long-term fundamental strength. This is evident as the company has not declared any results in the last 6 months, which can be a cause for concern for investors. Additionally, Vikas Proppant & Granite has a high Debt to EBITDA ratio of 10.88 times, indicating a low ability to service its debt.

Furthermore, the company's return on equity has been consistently low, with an average of 4.69%. This suggests that the company has been unable to generate significant profitability per unit of shareholders' funds.

The company's performance in the last quarter has also been lackluster, with flat results in December 2021. Its return on capital employed (HY) was at its lowest at -6.82%, and its debtors turnover ratio (HY) was also at its lowest at 0.01 times.

Another concerning factor is the stock's volatility. With no results declared in the last 6 months, the stock is considered risky and is currently trading at a higher valuation than its historical average. In the past year, while the stock has generated a negative return of -32.93%, its profits have seen a significant decline by -391%.

On a technical front, the stock is currently in a mildly bullish range, but it is important to note that the stocks' MACD and KST technical factors are also bullish. This could potentially indicate some short-term positive movement for the stock.

Overall, the downgrade to 'Sell' by MarketsMOJO highlights the weak performance and financial standing of Vikas Proppant & Granite. Investors should carefully consider these factors before making any investment decisions.