Franklin Covey Co. (FC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

OmniAb, Inc.

The Hackett Group, Inc.

Franklin Covey Co.

Vitru Ltd.

SP Plus Corp.

CRA International, Inc.

Snap One Holdings Corp.

International Money Express, Inc.

Repay Holdings Corp.

Paysafe Ltd.

HireRight Holdings Corp.

Why is Franklin Covey Co. ?

Negative results in May 25

PRE-TAX PROFIT(Q) At USD 3.06 MM has Fallen at -66.29%
ROCE(HY) Lowest at 15.47%
NET PROFIT(Q) At USD 3.77 MM has Fallen at -39.13%

With ROE of 27.22%, it has a attractive valuation with a 8.06 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -55.16%, its profits have risen by 5.3% ; the PEG ratio of the company is 4.9

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -55.16% 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 hold?

Overall Portfolio exposure to Franklin Covey Co. should be less than 10%
Overall Portfolio exposure to Miscellaneous should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Franklin Covey Co. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Franklin Covey Co.

14.49%

-1.06

50.06%

S&P 500

22.36%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.85%

EBIT Growth (5y)

19.96%

EBIT to Interest (avg)

15.22

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.50

Sales to Capital Employed (avg)

3.70

Tax Ratio

33.85%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

96.68%

ROCE (avg)

50.90%

ROE (avg)

23.03%

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

6.88

EV to EBIT

31.01

EV to EBITDA

14.24

EV to Capital Employed

9.51

EV to Sales

1.35

PEG Ratio

Dividend Yield

ROCE (Latest)

30.68%

ROE (Latest)

16.22%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

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

4What is working for the Company

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

DEBTORS TURNOVER RATIO(HY)

Highest at 5.25 times

PRE-TAX PROFIT(Q)

At USD 5.01 MM has Grown at 63.78%

-6What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 27.41 MM

CASH AND EQV(HY)

Lowest at USD 25.69 MM

DEBT-EQUITY RATIO (HY)

Highest at -27.88 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 14.76 times

Here's what is working for Franklin Covey Co.

Pre-Tax Profit

At USD 5.01 MM has Grown at 63.78%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Debtors Turnover Ratio

Highest at 5.25 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Franklin Covey Co.

Operating Cash Flow

Lowest at USD 27.41 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)

Cash and Eqv

Lowest at USD 25.69 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at -27.88 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 14.76 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio