As of Wednesday close, Franchise Group Inc.’s (NASDAQ:FRG) stock was down -$0.17, moving down -0.57 percent to $29.68. The average number of shares traded per day over the past five days has been 1,362,400 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.09 fall in that time frame. In the last twenty days, the average volume was 827,025, while in the previous 50 days, it was 794,410.
Since last month, FRG stock rose 0.30%. Shares of the company fell to $28.23 on 08/16/23, the lowest level in the past month. A 52-week high of $38.24 was reached on 02/02/23 after having rallying from a 52-week low of $22.45. Since the beginning of this year, FRG’s stock price has risen by 24.60% or $5.86, and marked a new high 8 times. However, the stock has declined by -22.38% since its 52-week high.
FRG stock investors should be aware that Franchise Group Inc. (FRG) stock had its last reported insider trading activity 168 days ago on Mar 02. EVANS K TODD, the CHIEF FRANCHISING OFFICER of the company, purchased of 389 shares for $31.64 on Mar 02. It resulted in a $12,308 investment by the insider. Avril Matthew E added 138 shares at an average price of $31.63 on Feb 23. The insider now owns 123,620 shares following the transaction. On Feb 23, Director HERSKOVITS THOMAS bought 85 shares at $31.63 apiece. The transaction was valued at $2,689.
Valuation Metrics
The stock’s beta is 1.67. Besides these, the trailing price-to-sales (P/S) ratio of 0.24, the price-to-book (PB) ratio of 4.63.
The latest dividend of $0.6250 per share was paid out, remained unchanged from last year’s $0.6250. On Tuesday December 7 2021, a $0.25 dividend increase was announced.
Financial Health
In the three months ended June 29, Franchise Group Inc.’s quick ratio stood at 0.60, while its current ratio was 1.40, showing that the company is not able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 6.97, and the total debt-to-equity ratio was 8.54. On the profitability front, the trailing twelve-month gross margin is 39.80% percent. In the year ended June 29, EBITDA margin amounted to 9.25%, whereas operating margins totaled 0.20%. Based on annual data, FRG earned $1.86 billion in gross profit and brought in $4.4 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 10.20%. Return on equity (ROE) for the past 12 months was -78.80%.
In Franchise Group Inc.’s quarter-end financial report for June 29, it reported total debt of $44.42 million. According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. FRG’s revenue rose 15.56% to $1.05 billion during the quarter, while net income inched up to $1.12 billion. While analysts expected Franchise Group Inc. to report $0.27 quarterly earnings, the actual figure was -$0.22 per share, beating the consensus estimate by -181.50%. During the quarter, the company generated $47.89 million in EBITDA. The liabilities of Franchise Group Inc. were 3.35 billion at the end of its most recent quarter ended June 29, and its total debt was $2.83 billion. The value of shareholders’ equity is $35.19 million.
Technical Picture
This quick technical analysis looks at Franchise Group Inc.’s (FRG) price momentum. With a historical volatility rate of 4.12%, the RSI 9-day stood at 49.40% on 16 August.
With respect to its five-day moving average, the current Franchise Group Inc. price is down by -0.30% percent or -$0.09. At present, FRG shares trade -0.03% below its 20-day simple moving average and +13.41% percent above its 100-day simple moving average. However, the stock is currently trading approximately +1.30% above its SMA50 and +0.78% above its SMA200.
Stochastic coefficient K was 73.06% and Stochastic coefficient D was 68.63%, while ATR was 0.27. Given the Stochastic reading of 87.35% for the 14-day period, the RSI (14) reading has been calculated as 55.35%. As of today, the MACD Oscillator reading stands at 0.01, while the 14-day reading stands at 0.01.
Analyst Ratings
Franchise Group Inc. downgraded its rating on Franchise Group Inc. (NASDAQ: FRG) to a Market perform in a note to investors on June 13, 2023. The analysts firm previously had a Market outperform rating on the stock.Franchise Group Inc. (FRG) has been rated Hold by analysts. According to 0 brokerage firms, FRG is a sell, and 3 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate Franchise Group Inc. stock as buy, with 0 recommending it as overweight.
With a median target price of $30.00, the current consensus forecast for the stock is $30.00 – $30.00. Based on these forecasts, analysts predict Franchise Group Inc. (FRG) will achieve an average price target of $30.00.
