Comparing Franklin Covey (FC) & The Competition

Franklin Covey (NYSE:FC) is one of 20 public companies in the “Consulting” industry, but how does it contrast to its competitors? We will compare Franklin Covey to similar businesses based on the strength of its valuation, dividends, analyst recommendations, profitability, earnings, institutional ownership and risk.

Valuation and Earnings

This table compares Franklin Covey and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Franklin Covey	$287.23 million	$23.40 million	27.65
Franklin Covey Competitors	$2.97 billion	$272.15 million	23.38

Franklin Covey’s competitors have higher revenue and earnings than Franklin Covey. Franklin Covey is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

69.9% of Franklin Covey shares are held by institutional investors. Comparatively, 85.1% of shares of all “Consulting” companies are held by institutional investors. 15.5% of Franklin Covey shares are held by insiders. Comparatively, 5.2% of shares of all “Consulting” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Franklin Covey and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Franklin Covey	3.81%	18.28%	5.98%
Franklin Covey Competitors	7.79%	28.02%	8.76%

Analyst Recommendations

This is a breakdown of current recommendations for Franklin Covey and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Franklin Covey	0	0	1	0	3.00
Franklin Covey Competitors	69	677	1253	61	2.63

Franklin Covey presently has a consensus price target of $35.00, suggesting a potential upside of 60.22%. As a group, “Consulting” companies have a potential upside of 21.31%. Given Franklin Covey’s stronger consensus rating and higher probable upside, research analysts clearly believe Franklin Covey is more favorable than its competitors.

Risk and Volatility

Franklin Covey has a beta of 0.86, suggesting that its stock price is 14% less volatile than the S&P 500. Comparatively, Franklin Covey’s competitors have a beta of 0.69, suggesting that their average stock price is 31% less volatile than the S&P 500.

Summary

Franklin Covey competitors beat Franklin Covey on 7 of the 13 factors compared.

About Franklin Covey

Franklin Covey Co. provides training and consulting services in the areas of execution, sales performance, productivity, customer loyalty, and educational improvement for organizations and individuals worldwide. The company operates through Direct Offices, International Licensees, and Education Practice segments. It also provides a suite of individual-effectiveness and leadership-development training and products. In addition, the company operates Strive platform, a learning deployment platform; Impact platform that helps automate implementation of learning initiatives; All Access Pass, a subscription platform that enables improved deployment of content, services, technology, and metrics to deliver behavioral impact at scale; and Leader in Me, which provides access to digital versions of student leadership guides, leadership lessons, illustrated leadership stories, and other resources. Franklin Covey Co. was incorporated in 1983 and is headquartered in Salt Lake City, Utah.