We Win Receives 'Hold' Rating from MarketsMOJO After Positive Q1 Results

We Win, a microcap company in the BPO/ITeS industry, has recently received a 'Hold' rating from MarketsMOJO on July 9, 2024. This upgrade comes after the company reported positive results in the first quarter of 2024, with the highest net sales of Rs 19.38 crore and PBDIT of Rs 1.85 crore. The company also saw its PBT less OI reach a high of Rs 1.06 crore.
Technically, the stock is currently in a mildly bullish range and has shown improvement since July 8, 2024, with a 2% return. The RSI and Bollinger Band technical factors are also bullish, indicating a positive trend for the stock.

With a ROCE of 13.8, We Win is currently trading at an attractive valuation with a 3 Enterprise value to Capital Employed. However, the stock is currently trading at a premium compared to its average historical valuations. Despite generating a return of 61.65% in the past year, the company's profits have only risen by 3%, resulting in a PEG ratio of 10.7.

The majority shareholders of We Win are the promoters, indicating their confidence in the company's performance. The stock has also outperformed the market (BSE 500) with a return of 61.65% in the last year, compared to the market's return of 38.60%.

However, the company's long-term fundamental strength is weak, with a CAGR growth of only 11.06% in operating profits over the last 5 years. This may be a cause for concern for investors, but the current 'Hold' rating suggests a neutral stance on the stock.