J. Alexander’s Holdings Inc. (NYSE:JAX) shares fell to a low of $4.59 before closing at $5.04. Intraday shares traded counted 0.2 million, which was 18.47% higher than its 30-day average trading volume of 239.27K. JAX’s previous close was $4.70 while the outstanding shares total 14.70M. The firm has a beta of 1.61. The stock’s Relative Strength Index (RSI) is 49.70, with weekly volatility at 10.05% and ATR at 0.53. The JAX stock’s 52-week price range has touched low of $3.03 and a $12.01 high. The stock traded higher over the last trading session, gaining 7.23% on 06/29/20.
Investors have identified the Restaurants company J. Alexander’s Holdings Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $77.77 million, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
J. Alexander’s Holdings Inc. (JAX) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For JAX, the company has in raw cash 24.82 million on their books with 9.8 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 30653000 million total, with 26313000 million as their total liabilities.
JAX were able to record 0.41 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 16.02 million. In cash movements, the company had a total of 1.83 million as operating cash flow.
Potential earnings growth for J. Alexander’s Holdings Inc. (JAX)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, J. Alexander’s Holdings Inc. recorded a total of 56.97 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -13.62% coming in sequential stages and their sales for the third quarter reducing by -11.35%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 38.91 million trying to sell their products during the last quarter, with the result yielding a gross income of 18.07 million. This allows shareholders to hold on to 14.70M with the revenue now reading 0.00 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter.
Having a look at the company’s valuation, the company is expected to record 0.61 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on JAX sounds very interesting.
Is the stock of JAX attractive?
In related news, VP, CFO, Treasurer & Secretary, Hagler Jessica Leigh bought 2,050 shares of the company’s stock in a transaction that recorded on Jun 26. The purchase was performed at an average price of 4.65, for a total value of 9,533. As the purchase deal closes, the Executive Chairman, STOUT LONNIE J II now bought 10,000 shares of the company’s stock, valued at 47,867. Also, Executive Chairman, STOUT LONNIE J II bought 21,500 shares of the company’s stock in a deal that was recorded on Jun 16. The shares were cost at an average price of 4.99 per share, with a total market value of 107,354. Following this completion of disposal, the President and CEO, PARKEY MARK A now holds 5,000 shares of the company’s stock, valued at 24,699. In the last 6 months, insiders have changed their ownership in shares of company stock by 2.40%.