Is Daktronics Stock a Good Investment?

Daktronics Investment Advice

DAKT

To provide specific investment advice or recommendations on Daktronics stock, we recommend investors consider the following general factors when evaluating Daktronics. This will help you to make an informed decision on whether to include Daktronics in one of your diversified portfolios:

Examine Daktronics' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Daktronics' leadership team and their track record. Good management can help Daktronics navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Electronic Equipment, Instruments & Components space and any emerging trends that could impact Daktronics' business and its evolving consumer preferences.
Compare Daktronics' performance and market position to its competitors. Analyze how Daktronics is positioned in terms of product offerings, innovation, and market share.
Check if Daktronics pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Daktronics' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Daktronics stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Daktronics is a good investment.

Sell

Buy

Cautious Hold

We provide trade advice to complement the prevailing expert consensus on Daktronics. Our dynamic recommendation engine uses a multidimensional algorithm to analyze the company's potential to grow using all technical and fundamental data available at the time. To make sure Daktronics is not overpriced, please confirm all Daktronics fundamentals, including its debt to equity, market capitalization, and the relationship between the ebitda and earnings per share . Given that Daktronics has a price to earning of 16.54 X, we urge you to verify Daktronics market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Market Performance	OK	Details
Volatility	Somewhat reliable	Details
Hype Condition	Stale	Details
Current Valuation	Fairly Valued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Responds to the market	Details
Investor Sentiment	Alarmed	Details
Analyst Consensus	Strong Sell	Details
Reporting Quality (M-Score)	Unavailable	Details

Examine Daktronics Stock

Researching Daktronics' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 18.0% of the company shares are held by company insiders. The company has price-to-book (P/B) ratio of 1.78. Some equities with similar Price to Book (P/B) outperform the market in the long run. Daktronics has Price/Earnings To Growth (PEG) ratio of 1.33. The entity last dividend was issued on the 6th of March 2020. The firm had 2:1 split on the 23rd of June 2006.

To determine if Daktronics is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Daktronics' research are outlined below:

	About 67.0% of the company shares are held by institutions such as insurance companies
	Latest headline from investorplace.com: Market Miracles 3 Once-in-a-Decade Stocks to Buy Now

Daktronics Quarterly Accounts Payable

53.65 Million

Daktronics uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Daktronics. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Daktronics' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	13th of March 2024 Upcoming Quarterly Report	View
	31st of January 2024 Next Fiscal Quarter End	View

Earnings surprises can significantly impact Daktronics' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Daktronics' investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2017-05-31	2017-02-28	0.06	0.07	0.01	16
2014-02-18	2013-11-30	0.08	0.07	-0.01	12
2013-02-19	2012-11-30	0.07	0.06	-0.01	14
2011-02-22	2010-11-30	0.03	0.04	0.01	33
2007-05-30	2007-02-28	0.08	0.09	0.01	12
2005-02-16	2004-11-30	0.05	0.06	0.01	20
2004-02-18	2003-11-30	0.06	0.07	0.01	16
2002-08-21	2002-05-31	0.07	0.08	0.01	14

Daktronics Analyst Ratings

Daktronics' analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Daktronics stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Daktronics' financials, market performance, and future outlook by experienced professionals. Daktronics' historical ratings below, therefore, can serve as a valuable tool for investors.

Know Daktronics' Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Daktronics is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Daktronics backward and forwards among themselves. Daktronics' institutional investor refers to the entity that pools money to purchase Daktronics' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
Arrowstreet Capital Limited Partnership	2023-12-31	600.7 K
Adirondack Retirement Specialists, Inc.	2023-09-30	581.7 K
D. E. Shaw & Co Lp	2023-09-30	546.5 K
Intrinsic Edge Capital Management, Llc	2023-12-31	500 K
Hillsdale Investment Management Inc.	2023-12-31	490 K
Anthracite Investment Co Inc	2023-12-31	479.9 K
Jacobs Levy Equity Management, Inc.	2023-09-30	478.2 K
American Century Companies Inc	2023-12-31	467.1 K
J. Goldman & Co Lp	2023-12-31	369.7 K
Blackrock Inc	2023-12-31	2.9 M
Dimensional Fund Advisors, Inc.	2023-12-31	2.5 M

Note, although Daktronics' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Daktronics' market capitalization trends

The company currently falls under 'Small-Cap' category with a current market capitalization of 422.89 M. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Daktronics's market, we take the total number of its shares issued and multiply it by Daktronics's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.

Market Cap

207.48 Million

Daktronics' profitablity analysis

Daktronics' profitability indicators refer to fundamental financial ratios that showcase Daktronics' ability to generate income relative to its revenue or operating costs. If, let's say, Daktronics is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Daktronics' executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Daktronics' profitability requires more research than a typical breakdown of Daktronics' financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.

	Last Reported	Projected for Next Year
Return On Tangible Assets	0	0
Return On Capital Employed	0.02	0.02
Return On Assets	0	0
Return On Equity	0	0

The company has Profit Margin (PM) of 0.07 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.05 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.05.

Determining Daktronics' profitability involves analyzing its financial statements and using various financial metrics to determine if Daktronics is a good buy. For example, gross profit margin measures Daktronics' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Daktronics' profitability and make more informed investment decisions.

The data published in Daktronics' official financial statements usually reflect Daktronics' business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Daktronics. For example, before you start analyzing numbers published by Daktronics accountants, it's critical to develop an understanding of what Daktronics' liquidity, profitability, and earnings quality are in the context of the Electronic Equipment, Instruments & Components space in which it operates.

Please note, the presentation of Daktronics' financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Daktronics' management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Daktronics' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Daktronics. Please utilize our Beneish M Score to check the likelihood of Daktronics' management manipulating its earnings.

Evaluate Daktronics' management efficiency

Daktronics has return on total asset (ROA) of 0.1127 % which means that it generated a profit of $0.1127 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.2575 %, meaning that it created $0.2575 on every $100 dollars invested by stockholders. Daktronics' management efficiency ratios could be used to measure how well Daktronics manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to drop to 0 in 2024. Return On Capital Employed is likely to drop to 0.02 in 2024. At this time, Daktronics' Total Current Liabilities is comparatively stable compared to the past year. Liabilities And Stockholders Equity is likely to gain to about 565.2 M in 2024, whereas Non Current Liabilities Other is likely to drop slightly above 23.3 M in 2024.

	Last Reported	Projected for Next Year
Book Value Per Share	4.24	2.46
Net Current Asset Value	0.00	0.00
Tangible Asset Value	0.00	0.00
Tangible Book Value Per Share	4.03	2.33
Enterprise Value Over EBITDA	7.02	12.39
Price Book Value Ratio	0.79	0.75
Enterprise Value Multiple	7.02	12.39
Price Fair Value	0.79	0.75
Enterprise Value	355 M	203.4 M

The analysis of Daktronics' management efficiency is an essential part of evaluating and assessing the financial and operational performance of the entity. It is also vital to analyze Daktronics' future growth prospects and the overall market conditions to determine the value and potential of its stock. The analysis involves studying a range of financial metrics such as revenue, earnings, profit margins, cash flow, debt, market share, and external factors such as economic trends, industry outlook, competition, and government regulations. The goal of Daktronics Stock analysis is to determine whether it is undervalued, fairly valued, or overvalued and to make informed investment decisions.

Beta

1.091

Basic technical analysis of Daktronics Stock

As of the 27th of April, Daktronics shows the Downside Deviation of 2.56, mean deviation of 1.91, and Coefficient Of Variation of 769.72. Daktronics technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We were able to collect data for nineteen technical drivers for Daktronics, which can be compared to its peers. Please confirm Daktronics downside deviation, jensen alpha, as well as the relationship between the Jensen Alpha and downside variance to decide if Daktronics is priced favorably, providing market reflects its regular price of 9.29 per share. Given that Daktronics has jensen alpha of 0.2947, we urge you to verify Daktronics's prevailing market performance to make sure the company can sustain itself at a future point.

Daktronics' insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Daktronics insiders, such as employees or executives, is commonly permitted as long as it does not rely on Daktronics' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Daktronics insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

		Reece Kurtenbach few days ago Acquisition by Reece Kurtenbach of 1080 shares of Daktronics subject to Rule 16b-3
		Matthew Kurtenbach over three weeks ago Disposition of 500 shares by Matthew Kurtenbach of Daktronics subject to Rule 16b-3
		Bradley Wiemann over six months ago Exercise or conversion by Bradley Wiemann of 5472 shares of Daktronics subject to Rule 16b-3
		Bradley Wiemann over six months ago Exercise or conversion by Bradley Wiemann of 778 shares of Daktronics subject to Rule 16b-3
		Bradley Wiemann over six months ago Acquisition by Bradley Wiemann of 1230 shares of Daktronics subject to Rule 16b-3
		Williams Shereta Diana over six months ago Acquisition by Williams Shereta Diana of 19867 shares of Daktronics subject to Rule 16b-3
		Bradley Wiemann over six months ago Exercise or conversion by Bradley Wiemann of 500 shares of Daktronics subject to Rule 16b-3
		Bradley Wiemann over six months ago Purchase by Bradley Wiemann of 25000 shares of Daktronics

Understand Daktronics' technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Daktronics' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.0885
	Market Risk Adjusted Performance	1.55
	Mean Deviation	1.91
	Semi Deviation	2.27
	Downside Deviation	2.56
	Coefficient Of Variation	769.72
	Standard Deviation	2.47
	Variance	6.09
	Information Ratio	0.0938
	Jensen Alpha	0.2947
	Total Risk Alpha	(0)
	Sortino Ratio	0.0904
	Treynor Ratio	1.54
	Maximum Drawdown	14.25
	Value At Risk	(3.32)
	Potential Upside	3.56
	Downside Variance	6.56
	Semi Variance	5.13
	Expected Short fall	(1.97)
	Skewness	0.0616
	Kurtosis	0.8869

	Risk Adjusted Performance	0.0885
	Market Risk Adjusted Performance	1.55
	Mean Deviation	1.91
	Semi Deviation	2.27
	Downside Deviation	2.56
	Coefficient Of Variation	769.72
	Standard Deviation	2.47
	Variance	6.09
	Information Ratio	0.0938
	Jensen Alpha	0.2947
	Total Risk Alpha	(0)
	Sortino Ratio	0.0904
	Treynor Ratio	1.54
	Maximum Drawdown	14.25
	Value At Risk	(3.32)
	Potential Upside	3.56
	Downside Variance	6.56
	Semi Variance	5.13
	Expected Short fall	(1.97)
	Skewness	0.0616
	Kurtosis	0.8869

Consider Daktronics' intraday indicators

Daktronics intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Daktronics stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	0.0295
	Daily Balance Of Power	(0.93)
	Rate Of Daily Change	0.97
	Day Median Price	9.36
	Day Typical Price	9.34
	Market Facilitation Index	0.28
	Price Action Indicator	(0.20)
	Period Momentum Indicator	(0.26)

Daktronics Corporate Filings

8K	28th of February 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify
13A	9th of February 2024 An amended filing to the original Schedule 13G	View Verify
13A	29th of January 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934	View Verify
F4	18th of October 2023 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities	View Verify

Daktronics time-series forecasting models is one of many Daktronics' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Daktronics' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Daktronics Stock media impact

Far too much social signal, news, headlines, and media speculation about Daktronics that are available to investors today. That information is available publicly through Daktronics media outlets and privately through word of mouth or via Daktronics internal channels. However, regardless of the origin, that massive amount of Daktronics data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of Daktronics news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Daktronics relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Daktronics' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Daktronics alpha.

Daktronics Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards Daktronics can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

Be your own money manager

Our tools can tell you how much better you can do entering a position in Daktronics without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Daktronics Corporate Directors

Daktronics corporate directors refer to members of a Daktronics board of directors. The board of directors generally takes responsibility for the Daktronics' affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Daktronics' board members must vote for the resolution. The Daktronics board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.

Byron Anderson	Independent Director	Profile
John Mulligan	Independent Director	Profile
Robert Dutcher	Independent Director	Profile
Nancy Frame	Lead Independent Director	Profile

How to buy Daktronics Stock?

Examine Daktronics' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Daktronics' leadership team and their track record. Good management can help Daktronics navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Electronic Equipment, Instruments & Components space and any emerging trends that could impact Daktronics' business and its evolving consumer preferences.
Compare Daktronics' performance and market position to its competitors. Analyze how Daktronics is positioned in terms of product offerings, innovation, and market share.
Check if Daktronics pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Daktronics' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

Already Invested in Daktronics?

The danger of trading Daktronics is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Daktronics is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Daktronics. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Daktronics is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.

When determining whether Daktronics is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Daktronics Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Daktronics Stock. Highlighted below are key reports to facilitate an investment decision about Daktronics Stock: