Denny's Corp. (DENN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Jack in the Box, Inc.

Portillo's, Inc.

Denny's Corp.

Dine Brands Global, Inc.

Why is Denny's Corp. ?

With a Negative Book Value, the company has a Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 3.98% and Operating profit at -0.09% over the last 5 years

Negative results in Jun 25

OPERATING CASH FLOW(Y) Lowest at USD 29.45 MM
CASH AND EQV(HY) Lowest at USD 3.33 MM
PRE-TAX PROFIT(Q) Lowest at USD 4.56 MM

Risky - Negative Book Value

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -6.92%, its profits have fallen by -32.5%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -6.92% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Leisure Services)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Denny's Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Denny's Corp.

-2.37%

-0.10

81.10%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

3.98%

EBIT Growth (5y)

-0.09%

EBIT to Interest (avg)

2.95

Debt to EBITDA (avg)

6.88

Net Debt to Equity (avg)

-7.72

Sales to Capital Employed (avg)

2.01

Tax Ratio

27.24%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

24.52%

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

-5.72

EV to EBIT

10.47

EV to EBITDA

7.88

EV to Capital Employed

2.00

EV to Sales

1.08

PEG Ratio

Dividend Yield

ROCE (Latest)

19.09%

ROE (Latest)

Negative BV

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -0.23% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at -1,203.77 %

NET SALES(Q)

Highest at USD 117.66 MM

-14What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 29.45 MM

CASH AND EQV(HY)

Lowest at USD 3.33 MM

PRE-TAX PROFIT(Q)

Lowest at USD 4.56 MM

NET PROFIT(Q)

Lowest at USD 2.99 MM

Here's what is working for Denny's Corp.

Net Sales

Highest at USD 117.66 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Debt-Equity Ratio

Lowest at -1,203.77 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -0.23% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 4.38 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Denny's Corp.

Pre-Tax Profit

At USD 4.56 MM has Fallen at -41.38%

over average net sales of the previous four periods of USD 7.78 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 2.99 MM has Fallen at -44.42%

over average net sales of the previous four periods of USD 5.39 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 29.45 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Pre-Tax Profit

Lowest at USD 4.56 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD 2.99 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Cash and Eqv

Lowest at USD 3.33 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents