NYSE:JW.A

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Market Cap

US$3.3b

Last Updated

2021/08/03 00:33 UTC

Data Sources

Company Financials +

Executive Summary

John Wiley & Sons, Inc. operates as a research and learning company worldwide. More Details


Snowflake Analysis

Established dividend payer and slightly overvalued.


Similar Companies

Share Price & News

How has John Wiley & Sons's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: JW.A is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: JW.A's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

3.0%

JW.A

0.02%

US Media

-0.4%

US Market


1 Year Return

68.8%

JW.A

36.3%

US Media

34.4%

US Market

Return vs Industry: JW.A exceeded the US Media industry which returned 37.9% over the past year.

Return vs Market: JW.A exceeded the US Market which returned 35.9% over the past year.


Shareholder returns

JW.AIndustryMarket
7 Day3.0%0.02%-0.4%
30 Day-3.5%-1.0%-0.4%
90 Day-2.8%3.0%4.0%
1 Year74.0%68.8%37.8%36.3%36.5%34.4%
3 Year1.1%-7.6%68.8%61.7%62.0%51.9%
5 Year17.4%2.5%82.9%69.8%121.8%97.2%

Long-Term Price Volatility Vs. Market

How volatile is John Wiley & Sons's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is John Wiley & Sons undervalued compared to its fair value and its price relative to the market?

31.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JW.A ($58.42) is trading below our estimate of fair value ($85.63)

Significantly Below Fair Value: JW.A is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: JW.A is poor value based on its PE Ratio (22x) compared to the US Media industry average (14x).

PE vs Market: JW.A is poor value based on its PE Ratio (22x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: JW.A is poor value based on its PEG Ratio (3.1x)


Price to Book Ratio

PB vs Industry: JW.A is overvalued based on its PB Ratio (3x) compared to the US Media industry average (2x).


Future Growth

How is John Wiley & Sons forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

7.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JW.A's forecast earnings growth (7.2% per year) is above the savings rate (2%).

Earnings vs Market: JW.A's earnings (7.2% per year) are forecast to grow slower than the US market (15% per year).

High Growth Earnings: JW.A's earnings are forecast to grow, but not significantly.

Revenue vs Market: JW.A's revenue (5.1% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: JW.A's revenue (5.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JW.A's Return on Equity is forecast to be low in 3 years time (15.8%).


Past Performance

How has John Wiley & Sons performed over the past 5 years?

-19.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JW.A has high quality earnings.

Growing Profit Margin: JW.A became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: JW.A's earnings have declined by 19.8% per year over the past 5 years.

Accelerating Growth: JW.A has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: JW.A has become profitable in the last year, making it difficult to compare its past year earnings growth to the Media industry (56.9%).


Return on Equity

High ROE: JW.A's Return on Equity (13.6%) is considered low.


Financial Health

How is John Wiley & Sons's financial position?


Financial Position Analysis

Short Term Liabilities: JW.A's short term assets ($526.3M) do not cover its short term liabilities ($989.0M).

Long Term Liabilities: JW.A's short term assets ($526.3M) do not cover its long term liabilities ($1.4B).


Debt to Equity History and Analysis

Debt Level: JW.A's debt to equity ratio (75.3%) is considered high.

Reducing Debt: JW.A's debt to equity ratio has increased from 60.2% to 75.3% over the past 5 years.

Debt Coverage: JW.A's debt is well covered by operating cash flow (43.8%).

Interest Coverage: JW.A's interest payments on its debt are well covered by EBIT (12.7x coverage).


Balance Sheet


Dividend

What is John Wiley & Sons's current dividend yield, its reliability and sustainability?

2.36%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: JW.A's dividend (2.36%) is higher than the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: JW.A's dividend (2.36%) is low compared to the top 25% of dividend payers in the US market (3.55%).


Stability and Growth of Payments

Stable Dividend: JW.A's dividends per share have been stable in the past 10 years.

Growing Dividend: JW.A's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (51.7%), JW.A's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JW.A's dividends in 3 years are forecast to be well covered by earnings (43.9% payout ratio).


Next Steps

Management

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

2.9yrs

Average management tenure


CEO

Brian Napack (59 yo)

3.67yrs

Tenure

US$5,590,781

Compensation

Mr. Brian A. Napack has been the President and Chief Executive Officer of John Wiley & Sons, Inc. since December 04, 2017. Mr. Napack has been Senior Advisor of Providence Equity Partners LLC since March 2...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD5.59M) is about average for companies of similar size in the US market ($USD5.32M).

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


Leadership Team

Experienced Management: JW.A's management team is considered experienced (2.9 years average tenure).


Board Members

Experienced Board: JW.A's board of directors are considered experienced (5.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: JW.A 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

John Wiley & Sons, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: John Wiley & Sons, Inc.
  • Ticker: JW.A
  • Exchange: NYSE
  • Founded: 1807
  • Industry: Publishing
  • Sector: Media
  • Market Cap: US$3.261b
  • Shares outstanding: 55.85m
  • Website: https://www.wiley.com

Number of Employees


Location

  • John Wiley & Sons, Inc.
  • 111 River Street
  • Hoboken
  • New Jersey
  • 7030
  • United States

Listings


Biography

John Wiley & Sons, Inc. operates as a research and learning company worldwide. The company operates through three segments: Research Publishing & Platforms, Academic & Professional Learning, and Education ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/03 00:33
End of Day Share Price2021/08/02 00:00
Earnings2021/04/30
Annual Earnings2021/04/30


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.