Gannett Co., Inc. (GCI) 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

The New York Times Co.

Educational Development Corp.

News Corp.

Daily Journal Corp.

Gannett Co., Inc.

Lee Enterprises, Inc.

DallasNews Corp.

Why is Gannett Co., Inc. ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 7.06%

Poor long term growth as Operating profit has grown by an annual rate -9.76% of over the last 5 years
Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.93 times
CASH AND EQV(HY) Lowest at USD 174.59 MM

Underperformed the market in the last 1 year

The stock has generated a return of 3.48% in the last 1 year, much lower than market (S&P 500) returns of 14.11%

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 Media & Entertainment)

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

Is Gannett Co., Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Gannett Co., Inc.

114.92%

0.54

60.16%

S&P 500

13.68%

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)

-6.25%

EBIT Growth (5y)

-13.07%

EBIT to Interest (avg)

0.78

Debt to EBITDA (avg)

3.93

Net Debt to Equity (avg)

6.40

Sales to Capital Employed (avg)

1.95

Tax Ratio

100.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

7.06%

ROE (avg)

16.13%

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

4.89

EV to EBIT

39.15

EV to EBITDA

8.71

EV to Capital Employed

1.67

EV to Sales

0.80

PEG Ratio

0.01

Dividend Yield

ROCE (Latest)

4.27%

ROE (Latest)

48.72%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Mildly Bearish

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

13What is working for the Company

NET PROFIT(HY)

Higher at USD 68.37 MM

ROCE(HY)

Highest at 44.25%

INVENTORY TURNOVER RATIO(HY)

Highest at 90.42 times

-14What is not working for the Company

PRE-TAX PROFIT(Q)

At USD -5.47 MM has Fallen at -64.47%

OPERATING CASH FLOW(Y)

Lowest at USD 79.03 MM

RAW MATERIAL COST(Y)

Grown by 8.22% (YoY

CASH AND EQV(HY)

Lowest at USD 163.94 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 10.08 times

NET SALES(Q)

Lowest at USD 560.8 MM

NET PROFIT(Q)

Lowest at USD -23.1 MM

EPS(Q)

Lowest at USD -0.27

Here's what is working for Gannett Co., Inc.

Inventory Turnover Ratio

Highest at 90.42 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Depreciation

Highest at USD 43.21 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 Gannett Co., Inc.

Pre-Tax Profit

At USD -5.47 MM has Fallen at -64.47%

over average net sales of the previous four periods of USD -3.33 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -23.1 MM has Fallen at -179.99%

over average net sales of the previous four periods of USD 28.89 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 79.03 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Net Sales

Lowest at USD 560.8 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Net Profit

Lowest at USD -23.1 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.27

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Cash and Eqv

Lowest at USD 163.94 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 10.08 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 8.22% (YoY)

MOJO Watch

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

Raw Material Cost as a percentage of Sales