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Jewett-Cameron Trading Co Ltd (NAS:JCTCF)
Piotroski F-Score
3 (As of Today)

Warning Sign:

Piotroski F-Score of 3 is low, which usually implies poor business operation.

The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Jewett-Cameron Trading Co Ltd has an F-score of 3. It is a bad or low score, which usually implies poor business operation.

JCTCF' s 10-Year Piotroski F-Score Range
Min: 3   Max: 9
Current: 3

3
9

During the past 13 years, the highest Piotroski F-Score of Jewett-Cameron Trading Co Ltd was 9. The lowest was 3. And the median was 7.


Definition

How is the Piotroski F-Score calculated?

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

This Year (Feb15) TTM:Last Year (Feb14) TTM:
Net Income was 0.936 + 0.352 + 0.328 + 0.284 = $1.90 Mil.
Cash Flow from Operations was 1.677 + 0.557 + -1.049 + -2.835 = $-1.65 Mil.
Revenue was 15.336 + 9.265 + 7.983 + 9.483 = $42.07 Mil.
Gross Profit was 2.951 + 1.82 + 1.87 + 1.902 = $8.54 Mil.
Average Total Assets from the begining of this year (Feb14)
to the end of this year (Feb15) was
(22.728 + 20.56 + 19.692 + 18.737 + 19.509) / 5 = $20.2452 Mil.
Total Assets at the begining of this year (Feb14) was $22.73 Mil.
Long-Term Debt was $0.00 Mil.
Total Current Assets was $17.19 Mil.
Total Current Liabilities was $1.93 Mil.
Net Income was 1.019 + 0.842 + 0.333 + 0.237 = $2.43 Mil.

Revenue was 15.052 + 10.71 + 8.006 + 9.733 = $43.50 Mil.
Gross Profit was 3.03 + 2.37 + 1.85 + 1.758 = $9.01 Mil.
Average Total Assets from the begining of last year (Feb13)
to the end of last year (Feb14) was
(21.409 + 21.586 + 23.658 + 22.233 + 22.728) / 5 = $22.3228 Mil.
Total Assets at the begining of last year (Feb13) was $21.41 Mil.
Long-Term Debt was $0.00 Mil.
Total Current Assets was $20.18 Mil.
Total Current Liabilities was $2.09 Mil.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Jewett-Cameron Trading Co Ltd's current net income (TTM) was 1.90. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by total assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Jewett-Cameron Trading Co Ltd's current cash flow from operations (TTM) was -1.65. ==> Negative ==> Score 0.

Question 3. Change in Return on Assets

Compare this year’s return on assets (1) to last year’s return on assets.

Score 1 if it’s higher, 0 if it’s lower.

ROA (Last Year)=Net Income (TTM)/Total Assets at the Beginning of Last Year (Feb13)
=2.431/21.409
=0.11355038

Jewett-Cameron Trading Co Ltd's return on assets of this year was 0.08359732. Jewett-Cameron Trading Co Ltd's return on assets of last year was 0.11355038. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Jewett-Cameron Trading Co Ltd's current net income (TTM) was 1.90. Jewett-Cameron Trading Co Ltd's current cash flow from operations (TTM) was -1.65. ==> -1.65 <= 1.90 ==> CFROA <= ROA ==> Score 0.

Funding

Question 5. Change in Gearing or Leverage

Compare this year’s gearing (long-term debt divided by average total assets) to last year’s gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Feb15)=Long-Term Debt/Average Total Assets from Feb14 to Feb15
=0/20.2452
=0

Gearing (Last Year: Feb14)=Long-Term Debt/Average Total Assets from Feb13 to Feb14
=0/22.3228
=0

Jewett-Cameron Trading Co Ltd's gearing of this year was 0. Jewett-Cameron Trading Co Ltd's gearing of last year was 0. ==> This year is lower or equal to last year. ==> Score 1.

Question 6. Change in Working Capital (Liquidity)

Compare this year’s current ratio (current assets divided by current liabilities) to last year’s current ratio.

Score 1 if this year'’s current ratio is higher, 0 if it’s lower

Current Ratio (This Year: Feb15)=Total Current Assets/Total Current Liabilities
=17.191/1.934
=8.88883144

Current Ratio (Last Year: Feb14)=Total Current Assets/Total Current Liabilities
=20.183/2.087
=9.67081936

Jewett-Cameron Trading Co Ltd's current ratio of this year was 8.88883144. Jewett-Cameron Trading Co Ltd's current ratio of last year was 9.67081936. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Jewett-Cameron Trading Co Ltd's number of shares in issue this year was 2.6. Jewett-Cameron Trading Co Ltd's number of shares in issue last year was 3.1. ==> There is smaller number of shares in issue this year, or the same. ==> Score 1.

Efficiency

Question 8. Change in Gross Margin

Compare this year’s gross margin (gross profit divided by sales) to last year’s.

Score 1 if this year’s gross margin is higher, 0 if it’s lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=8.543/42.067
=0.2030808

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=9.008/43.501
=0.2070757

Jewett-Cameron Trading Co Ltd's gross margin of this year was 0.2030808. Jewett-Cameron Trading Co Ltd's gross margin of last year was 0.2070757. ==> Last year's gross margin is higher ==> Score 0.

Question 9. Change in asset turnover

Compare this year’s asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year’s asset turnover ratio.

Score 1 if this year’s asset turnover ratio is higher, 0 if it’s lower

Asset Turnover (This Year)=Revenue (TTM)/Total Assets at the Beginning of This Year (Feb14)
=42.067/22.728
=1.85088877

Asset Turnover (Last Year)=Revenue (TTM)/Total Assets at the Beginning of Last Year (Feb13)
=43.501/21.409
=2.03190247

Jewett-Cameron Trading Co Ltd's asset turnover of this year was 1.85088877. Jewett-Cameron Trading Co Ltd's asset turnover of last year was 2.03190247. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+0+0+0+1+0+1+0+0
=3

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Jewett-Cameron Trading Co Ltd has an F-score of 3. It is a bad or low score, which usually implies poor business operation.


Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Related Terms

Net Income, Cash Flow from Operations, Revenue, Gross Profit, Total Assets, Long-Term Debt, Total Current Assets, Total Current Liabilities


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Jewett-Cameron Trading Co Ltd Annual Data

Aug05Aug06Aug07Aug08Aug09Aug10Aug11Aug12Aug13Aug14
Question 1 1111111111
Question 2 1111111111
Question 3 1100010110
Question 4 1001111100
Question 5 0001111111
Question 6 1111110111
Question 7 0100111111
Question 8 1111110010
Question 9 0100010110
F-score 6746795885

Jewett-Cameron Trading Co Ltd Quarterly Data

Nov12Feb13May13Aug13Nov13Feb14May14Aug14Nov14Feb15
Question 1 1111111111
Question 2 1111111100
Question 3 1111000000
Question 4 1010010000
Question 5 1111111111
Question 6 1111110100
Question 7 1110111111
Question 8 1111111000
Question 9 1111100000
F-score 9897775533
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