Skip to main content

JWA STOCK WRITE UP


JWA (JOHN WILEY AND SONS)

  • P/E: 31.4
  • GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.15
  • SECTOR: Consumer Services
  • ASSETS-LIABILITIES: 3.29
  • DIVIDEND: 2.28%

John Wiley and Sons is a company that provides research resources, online project management, and publishing services. The company is best known for its 'For Dummies' series, and reported after the bell 6/13/17. JWA beat EPS estimates by $.11.
A close analysis of the earnings report released 6/13/17 shows EPS increased at a significantly higher rate than revenue. JWA significantly cut administrative costs, and revenue did increase, leading to a sizable increase in EPS. The company has a large share buyback and dividend program. While it has over three times as much assets on the book as it does liabilities, the company does not include long-term debt in its accounting for liabilities. JWA has approximately 15% as much cash as it does long-term debt. The company cut its long-term debt in half compared to the comparable quarter of last year, and its cash reserves are 15% of their levels one year ago.
JWA was founded in 1806, and has been publicly owned since 1962, although it was not listed on the NYSE until 1995. Matthew Kissner is the company's new CEO, newly appointed in May 2017. He has served in a managerial capacity at several large companies including Pitney Bowes, Morgan Stanley, and Citibank, since 2004. The previous CEO, Mark Allin, had served since 2015.
In recent years, Wiley has focused on its online products. JWA's fastest growing segment is its online products, comprised primarily of corporate learning initiatives, online program management for higher education institutions and businesses. The company also markets products to aid in candidate searching for open jobs.
Wiley is valued at a price-to-earnings multiple of 31.4. By comparison, its competitor Scholastic trades at 33.5. Wiley's revenues in FY 2016 were lower than in 2013, showing that the company is not growing. The same is true of Scholastic. JWA is attempting to capitalize on the technology market by developing its online services, and is investing its cash in share repurchases, dividends, and cutting administrative costs.

SOURCES:






Labels:

Comments

Post a Comment

Popular posts from this blog

PXD STOCK WRITE UP

 PXD (PIONEER NATURAL RESOURCES) P/E: N/A GAAP DILUTED Y-O-Y EPS GROWTH LAST QUARTER: $.67 SECTOR: ENERGY MINERALS ASSETS-LIABILITIES: 1.58 DIVIDEND: .04% Pioneer Natural Resources has recently made the jaw-dropping switch from negative EPS to positive with its last quarter. Situated in the largest oil-producing region in the US, the company is utilizing its good fortune to produce profits. The company has a good balance sheet, a wealth of resources, and a business model which has afforded it growth. This last quarter does not mark the first occasion on which Pioneer has posted a profit. In 2014, and 2012, Pioneer posted a positive EPS for the full year. While the 2016 oil and gas revenues have grown from 2015, the 2014 and 2012 levels were higher. The company's revenue from oil and gas is largely based on market prices. In order to mitigate the market volatility, Pioneer has made efforts to reduce their cost of production, according to their earnin...
1 comment
Read more

CLS STOCK WRITE UP

CLS (CELESTICA) P/E: 15.1 GAAP DILUTED EPS Y-O-Y GROWTH LAST QUARTER: $.14 SECTOR: ELECTRONIC TECHNOLOGY ASSETS-LIABILITIES: 1.78 DIVIDEND: none Celestica, a spinoff from IBM, manufactures electronics and provides supply chain services for a variety of businesses. The company has successfully improved upon its operating margins and revenue during its last fiscal year. Reporting April 20 th before market open, the company will try to beat Wall street expectations of $.28 and its own guidance of $.24-$.3. Celestica provides services for the communications, consumer, server, and storage industries, as well as working in diversified companies. This wide array of services gives Celestica the opportunity to expand on revenue when one of its segments is lagging. Rather than developing new products to boost revenue, Celestica must rely on increasing customer satisfaction by managing supply chains well for its clients. In order to showcase their services,...
Post a Comment
Read more

GOOG STOCK WRITE UP

GOOG (ALPHABET INC) P/E: 31.7 GAAP DILUTED EPS GROWTH Q4 '15 to Q4 '16: $.50 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 5.8 DIVIDEND: NONE This stock is a new addition to my portfolio. The price-to-earnings multiple is higher than my target price-to-earnings multiple, but I decided to purchase the stock due to its solid year-over-year EPS growth, positive chart alignment, positive cash flow, ubiquitous market presence, and rapid growth in the technology sector. I believe this stock will head much higher, and that its earnings will keep up with the rapid pace of its growth to ensure its stability. Google became a popular product due to its excellent search engine. As a result of its success, with approximately 80.5% of global market share according to a recent survey, Google has built a strong revenue base through its advertising services. However, Google has taken the challenge of expanding its services beyond the search engine field i...
Post a Comment
Read more