Daily Journal Corp. (S.C.) (DJCO) vs. Its Rivals Critical Analysis

Daily Journal Corp. (S.C.) (NASDAQ:DJCO) is one of 953 publicly-traded companies in the “Software” industry, but how does it compare to its competitors? We will compare Daily Journal Corp. (S.C.) to related companies based on the strength of its analyst recommendations, dividends, profitability, institutional ownership, valuation, risk and earnings.

Profitability

This table compares Daily Journal Corp. (S.C.) and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Daily Journal Corp. (S.C.)	-11.63%	-3.11%	-2.24%
Daily Journal Corp. (S.C.) Competitors	-612.66%	21.01%	-8.93%

Insider and Institutional Ownership

51.2% of Daily Journal Corp. (S.C.) shares are owned by institutional investors. Comparatively, 41.8% of shares of all “Software” companies are owned by institutional investors. 0.1% of Daily Journal Corp. (S.C.) shares are owned by insiders. Comparatively, 19.9% of shares of all “Software” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Daily Journal Corp. (S.C.) and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Daily Journal Corp. (S.C.)	$87.70 million	$112.14 million	-78.13
Daily Journal Corp. (S.C.) Competitors	$1.80 billion	$385.92 million	108.64

Daily Journal Corp. (S.C.)’s competitors have higher revenue and earnings than Daily Journal Corp. (S.C.). Daily Journal Corp. (S.C.) is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Daily Journal Corp. (S.C.) has a beta of 0.83, indicating that its share price is 17% less volatile than the S&P 500. Comparatively, Daily Journal Corp. (S.C.)’s competitors have a beta of 1.34, indicating that their average share price is 34% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Daily Journal Corp. (S.C.) and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Daily Journal Corp. (S.C.)	0	1	0	0	2.00
Daily Journal Corp. (S.C.) Competitors	5748	21526	44879	1497	2.57

As a group, “Software” companies have a potential upside of 28.85%. Given Daily Journal Corp. (S.C.)’s competitors stronger consensus rating and higher possible upside, analysts plainly believe Daily Journal Corp. (S.C.) has less favorable growth aspects than its competitors.

Summary

Daily Journal Corp. (S.C.) competitors beat Daily Journal Corp. (S.C.) on 10 of the 13 factors compared.

About Daily Journal Corp. (S.C.)

Daily Journal Corporation operates in publishing of newspapers and websites covering in California, Arizona, Utah, and Australia. It operates in two segments, Traditional Business and Journal Technologies. The company publishes 10 newspapers of general circulation, including Los Angeles Daily Journal, San Francisco Daily Journal, Daily Commerce, The Daily Recorder, The Inter-City Express, San Jose Post-Record, Orange County Reporter, Business Journal, The Daily Transcript, and The Record Reporter. It also provides specialized information services; and serves as an advertising and newspaper representative for commercial and public notice advertising. In addition, the company offers case management software systems and related products, including eCourt, eProsecutor, eDefender, and eProbation, which are browser-based case processing systems; eFile, a browser-based interface that allows attorneys and the public to electronically file documents with the court; and ePayIt, a service primarily for the online payment of traffic citations. It provides its software systems and related products to courts; prosecutor and public defender offices; probation departments; and other justice agencies, including administrative law organizations, city and county governments, and bar associations to manage cases and information electronically, to interface with other justice partners, and to extend electronic services to bar members and the public in 30 states and internationally. Daily Journal Corporation was incorporated in 1987 and is based in Los Angeles, California.