Daily Journal Corporation Fundamental Analysis (NASDAQ: DJCO)
Daily Journal Corporation Fundamental Analysis (NASDAQ: DJCO)
Daily Journal Corporation (NASDAQ: DJCO) shows weak financial fundamentals with a PE ratio of 58.53, profit margin of 14.83%, and ROE of 3.79%. The company generates $0.1B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 74.1/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze DJCO's fundamental strength across five key dimensions:
Efficiency Score
WeakDJCO struggles to generate sufficient returns from assets.
Valuation Score
ModerateDJCO shows balanced valuation metrics.
Growth Score
ModerateDJCO shows steady but slowing expansion.
Financial Health Score
ExcellentDJCO maintains a strong and stable balance sheet.
Profitability Score
WeakDJCO struggles to sustain strong margins.
Key Financial Metrics
Is DJCO Expensive or Cheap?
P/E Ratio
DJCO trades at 58.53 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, DJCO's PEG of -0.67 indicates potential undervaluation.
Price to Book
The market values Daily Journal Corporation at 2.35 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.45 times EBITDA. This signals the market has high growth expectations.
How Well Does DJCO Make Money?
Net Profit Margin
For every $100 in sales, Daily Journal Corporation keeps $14.83 as profit after all expenses.
Operating Margin
Core operations generate 12.00 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.79 in profit for every $100 of shareholder equity.
ROA
Daily Journal Corporation generates $2.91 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Daily Journal Corporation produces operating cash flow of $13.85M, showing steady but balanced cash generation.
Free Cash Flow
Daily Journal Corporation generates strong free cash flow of $13.83M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $10.04 in free cash annually.
FCF Yield
DJCO converts 1.67% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
58.53
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.67
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.35
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.69
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.06
vs 25 benchmark
Current Ratio
Current assets to current liabilities
15.42
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How DJCO Stacks Against Its Sector Peers
| Metric | DJCO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 58.53 | 36.60 | Worse (Expensive) |
| ROE | 3.79% | 654.00% | Weak |
| Net Margin | 14.83% | -129691.00% (disorted) | Strong |
| Debt/Equity | 0.06 | 0.27 | Strong (Low Leverage) |
| Current Ratio | 15.42 | 5.91 | Strong Liquidity |
| ROA | 2.91% | 235.00% | Weak |
DJCO outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Daily Journal Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta