NasdaqCM:DJCO

Stock Analysis Report

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Executive Summary

Daily Journal Corporation publishes newspapers and Websites covering in California, Arizona, Colorado, and Utah. More Details


Snowflake Analysis

Excellent balance sheet with weak fundamentals.

Share Price & News

How has Daily Journal's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DJCO has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

10.3%

DJCO

-2.4%

US Media

-1.4%

US Market


1 Year Return

-2.2%

DJCO

2.2%

US Media

17.8%

US Market

Return vs Industry: DJCO underperformed the US Media industry which returned 1.3% over the past year.

Return vs Market: DJCO underperformed the US Market which returned 18.5% over the past year.


Shareholder returns

DJCOIndustryMarket
7 Day10.3%-2.4%-1.4%
30 Day6.8%-1.5%4.7%
90 Day-1.8%4.1%8.2%
1 Year-2.2%-2.2%3.8%2.2%20.5%17.8%
3 Year18.1%18.1%22.8%17.6%42.2%32.7%
5 Year39.9%39.9%44.0%33.7%83.4%62.7%

Price Volatility Vs. Market

How volatile is Daily Journal's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Daily Journal undervalued compared to its fair value and its price relative to the market?

3.52x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: DJCO ($279.8) is trading above our estimate of fair value ($0.01)

Significantly Below Fair Value: DJCO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: DJCO is unprofitable, so we can't compare its PE Ratio to the US Media industry average.

PE vs Market: DJCO is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate DJCO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: DJCO is overvalued based on its PB Ratio (3.5x) compared to the US Media industry average (1.3x).


Next Steps

Future Growth

How is Daily Journal forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.1%

Forecasted Media industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Daily Journal has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Daily Journal performed over the past 5 years?

-53.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DJCO is currently unprofitable.

Growing Profit Margin: DJCO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DJCO is unprofitable, and losses have increased over the past 5 years at a rate of 53.5% per year.

Accelerating Growth: Unable to compare DJCO's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: DJCO is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (-15.7%).


Return on Equity

High ROE: DJCO has a negative Return on Equity (-36.74%), as it is currently unprofitable.


Next Steps

Financial Health

How is Daily Journal's financial position?


Financial Position Analysis

Short Term Liabilities: DJCO's short term assets ($174.2M) exceed its short term liabilities ($29.2M).

Long Term Liabilities: DJCO's short term assets ($174.2M) exceed its long term liabilities ($58.9M).


Debt to Equity History and Analysis

Debt Level: DJCO's debt to equity ratio (29.3%) is considered satisfactory.

Reducing Debt: DJCO's debt to equity ratio has increased from 21.4% to 29.3% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable DJCO has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: DJCO is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 37.2% per year.


Next Steps

Dividend

What is Daily Journal current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate DJCO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate DJCO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DJCO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DJCO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DJCO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.4yrs

Average board tenure


CEO

Gerald Salzman (81 yo)

no data

Tenure

US$650,000

Compensation

Mr. Gerald L. Salzman has been President at Daily Journal Corporation since 1986 and serves as its Chief Executive Officer, Chief Financial Officer, Treasurer, Chief Accounting Officer, Assistant Secretary ...


CEO Compensation Analysis

Compensation vs Market: Gerald's total compensation ($USD650.00K) is below average for companies of similar size in the US market ($USD1.93M).

Compensation vs Earnings: Gerald's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Gerald Salzman
Vice Chairmanno dataUS$650.00k1.2%
$ 4.6m
Gary Wilcox
Independent Director8.67yrsUS$5.00kno data
Charles Munger
Chairman of the Board43.75yrsno data3.62%
$ 14.0m
Peter Kaufman
Independent Director14.08yrsUS$5.00kno data
Mary Conlin
Independent Director1.42yrsUS$5.00kno data

11.4yrs

Average Tenure

73yo

Average Age

Experienced Board: DJCO's board of directors are seasoned and experienced ( 11.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: DJCO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Daily Journal Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Daily Journal Corporation
  • Ticker: DJCO
  • Exchange: NasdaqCM
  • Founded: 1987
  • Industry: Publishing
  • Sector: Media
  • Market Cap: US$386.333m
  • Shares outstanding: 1.38m
  • Website: https://www.dailyjournal.com

Number of Employees


Location

  • Daily Journal Corporation
  • 915 East First Street
  • Los Angeles
  • California
  • 90012
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DJCONasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDApr 1986

Biography

Daily Journal Corporation publishes newspapers and Websites covering in California, Arizona, Colorado, and Utah. It operates in two segments, Traditional Business and Journal Technologies. The company publ ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/22 00:33
End of Day Share Price2020/10/21 00:00
Earnings2020/06/30
Annual Earnings2019/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.