By analyzing existing basic indicators between Joann and Big 5, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Big 5 with a short position in Joann. Check out our
pair correlation module for more information.
Let's begin by analyzing the assets.
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Joann has an asset utilization ratio of 102.35 percent. This suggests that the company is making $1.02 for each dollar of assets. An increasing asset utilization means that Joann Inc is more efficient with each dollar of assets it utilizes for everyday operations.
Investment perspective, in general, refers to a viewpoint or opinion regarding investment opportunity in Joann. It encompasses the assessment of an investment's potential risks and rewards, and expectations for its
performance over time. Several factors influence the investment perspective on Joann, including investment goals, risk tolerance, time horizon, market conditions, and research and analysis. Investors have varying goals, such as capital preservation, income generation, or long-term growth. Risk tolerance plays a significant role in shaping an investor's perspective, with some being more risk-averse and others willing to take on higher risks for potential returns.
Watch out for price decline
Please consider monitoring Joann on a daily basis if you are holding a position in it. Joann is trading at a penny-stock level, and the possibility of delisting is much higher compared to other stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion.
Most exchanges require public instruments, such as Joann stock to be traded above the $1 level to remain listed. If Joann stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.
How important is Joann's Liquidity
Joann
financial leverage refers to using borrowed capital as a funding source to finance Joann Inc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Joann financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Joann's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Joann's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Joann's total debt and its cash.
Joann Gross Profit
Joann Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Joann previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Joann Gross Profit growth over the last 10 years. Please check Joann's
gross profit and other
fundamental indicators for more details.
Breaking down Joann Indicators
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Lets now check Joann revenue. Based on the latest financial disclosure, Joann Inc reported 2.42
B of revenue. This is 66.09% lower than that of the Consumer Cyclical sector and 82.9% lower than that of the
Specialty Retail industry. The revenue for all United States stocks is 74.38% higher than that of the firm. As for Big 5 we see revenue of 1.16
B, which is 91.78% lower than that of the Specialty Retail
| Joann | 2.42 Billion |
| Sector | 7.13 Billion |
| Big 5 | 1.16 Billion |
Will Joann latest rise continue?
Joann latest variance surges over 24.11. Joann Inc exhibits very low volatility with skewness of -0.24 and kurtosis of -0.21. However, we advise investors to further study Joann Inc technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Joann's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Joann's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Conclusion on Joann
Whereas some other companies in the specialty retail industry are either recovering or due for a correction, Joann may not be as strong as the others in terms of longer-term growth potentials. Taking everything into account, as of the 7th of January 2023, our analysis shows that Joann responds to the market. The company is
undervalued and projects
quite high probability of distress for the next 2 years. However, our up-to-date 90 days buy-hold-sell advice on the company is
Strong Sell.
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of Joann Inc. Please refer to our
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