Wires & Fabriks (S.A) Receives 'Hold' Rating from MarketsMOJO, Technical Trend Improves

Wires & Fabriks (S.A), a microcap trading company, has recently received a 'Hold' rating from MarketsMOJO on April 22, 2024. This upgrade is based on the stock's technical trend, which has improved from Mildly Bullish to Bullish, resulting in a 1.22% return since April 19, 2024. The company's MACD, Bollinger Band, KST, and OBV factors are all showing bullish signs.
In terms of valuation, Wires & Fabriks (S.A) has an attractive ROCE of 5.2 and is currently trading at a discount compared to its historical average. Additionally, the company's profits have risen by 20.6% in the past year, resulting in a PEG ratio of 1.6.

However, the company's majority shareholders are promoters, indicating a weak long-term fundamental strength with an average ROCE of 3.66%. The company has also shown poor long-term growth, with net sales growing at an annual rate of 1.00% and operating profit at 16.52% over the last 5 years. Furthermore, the company has a high debt to EBITDA ratio of 3.64 times, indicating a low ability to service debt.

In terms of performance, Wires & Fabriks (S.A) has underperformed the market in the last year, generating a return of 15.72% compared to the market's (BSE 500) return of 37.60%. Overall, while the stock has shown some positive signs, it is important to consider the company's weak long-term fundamentals and underperformance in the market before making any investment decisions.