company stock analysis

Courier Corporation:

Courier Corporation (NASDAQ:CRRC) was founded in 1824 and is headquartered in North Chelmsford, Massachusetts. It helps organizations manage the process of creating and distributing intellectual properties. Courier Corporation (NASDAQ:CRRC), together with its subsidiaries, engages in printing, publishing, and selling books. It operates in two segments, Book Manufacturing and Specialty Book Publishing. Courier is also a direct marketer of educational materials.

Stock Snapshot:

As of the 5th Sep’ 2012, the stock for Courier Corporation (NASDAQ:CRRC) closed at USD 12.15, with a total market capitalization of USD 139.06 million. The stock has been trading at a P/E ratio of 14.93, a P/S ratio of 0.55, and a P/B ratio of 0.96. Over the last three months, the stock has witnessed an average volume of 35,994 shares. The stock has a 52 week range of USD 6.77 to USD 14.78.

Competitor Analysis :

Scholastic Corp (NASDAQ:SCHL) was founded in 1920 and is headquartered in New York. Scholastic Corporation operates as children’s publishing, education, and Media Company. The stock for Scholastic Corporation closed at USD 33.83 on Oct 5’ 2012, representing a P/E ratio of 11.12, a P/S ratio of 0.49, and a P/B ratio of 1.3. The stock has experienced an average volume of 194,769 shares over the last three months, with a one year range of USD 24.2 to USD 40.18.

Financial Highlights:

Topline:

For 9MFY12, the net sales of the company decreased by 0.8% YoY, to USD 184.2 million (9MFY11: USD 185.7 million). For 9MFY12, the book manufacturing segment revenues increased slightly to USD 163.9 million, whereas the specialty publishing segment revenues decreased by 8%, mainly due to a challenging retail environment, and were recorded at USD 28.2 million.

Net Earnings:

For 9MFY12, the net income was recorded at USD 3.5 million, as compared to a net loss of USD 6.3 million for 9MFY12. The Company’s year-to-date net income in fiscal 2012, including a pre-tax restructuring charge of USD 1.8 million, as well as a pre-tax gain of USD 0.6 million, from the sale of certain non-operating assets. Whereas; for 9MFY11, the company recorded a USD 8.6 million impairment charge , a bad debt provision of USD .7 million, and a restructuring charge of USD 7.5million.

Financial Position:

As of June 2012, the company had USD 1.37 million in cash, which resulted in a cash value per share of USD 0.12. The Company had a total debt of USD 19.04 million, translating to a debt to equity ratio of 13.04. The book value per share for the company was recorded at 12.84, as of June 2012.

Value Insight:

The stock’s valuation currently is too rich, however the stock might be of interest to value investors, if it falls below USD 11.5 per share (there will be a significant discount to its book value per share based on most recent quarter)!