On August 25, 2023, Bandera Partners LLC, a New York-based investment firm, added 3,508,983 shares of The Joint Corp (JYNT, Financial) to its portfolio. The transaction, which saw a trade change of 1.22 and a share change of 42,423, had a 0.17% impact on the firm's portfolio. The shares were acquired at a trade price of $9.54, making the traded stock account for 14.19% of the guru's portfolio and 23.90% of the company's total shares.
About Bandera Partners LLC
Bandera Partners LLC is an investment firm located at 50 Broad Street, Suite 1820, New York, NY 10004. The firm manages 18 stocks, with a total equity of $236 million. Its top holdings include Alphabet Inc (GOOG, Financial), Alphabet Inc (GOOGL, Financial), The Joint Corp (JYNT, Financial), Star Group LP (SGU, Financial), and Burford Capital Ltd (BUR, Financial). The firm's investment philosophy is primarily focused on the healthcare and energy sectors.
Overview of The Joint Corp
The Joint Corp (JYNT, Financial), a healthcare provider based in the USA, went public on November 11, 2014. The company operates and manages chiropractic clinics through direct ownership, management arrangements, franchising, and the sale of regional developer rights throughout the United States. The company's business is divided into two segments: Corporate Clinics and Franchise Operations. As of August 26, 2023, the company's market capitalization stands at $140.036 million, with a current stock price of $9.54. The Joint Corp's GF Score is 75/100, indicating a likely average performance in the future.
Performance Analysis of The Joint Corp
The Joint Corp's PE percentage is 39.75, and it is significantly undervalued according to GuruFocus's GF Valuation, with a GF Value of $42.76 and a price to GF Value of 0.22. Since its IPO, the company's stock has gained 44.11%, although it has seen a year-to-date decline of 30.72%.
Future Performance Potential of The Joint Corp
The Joint Corp's financial strength is ranked 5/10, with a profitability rank of 6/10 and a growth rank of 8/10. The company's GF Value Rank and Momentum Rank are 2/10 and 5/10, respectively. The Joint Corp's Piotroski F-Score is 4, and its Altman Z Score is 2.45, indicating a moderate risk of financial distress.
Financial Health of The Joint Corp
The Joint Corp's cash to debt ratio is 0.53, ranking 370th in the industry. The company's ROE and ROA are 11.58% and 4.10%, respectively, with respective ranks of 166 and 210. The company's gross margin growth is 0.70, while its operating margin growth is 0.00.
Growth Over the Past Three Years
Over the past three years, The Joint Corp has seen a revenue growth of 27.00%, EBITDA growth of 22.00%, and an earnings decline of 29.70%. The company's revenue growth ranks 103rd in the industry.
Current Momentum of The Joint Corp
The Joint Corp's RSI 5 Day, RSI 9 Day, and RSI 14 Day are 20.05, 23.30, and 26.47, respectively. The company's momentum index 6 - 1 month is -11.09, and its momentum index 12 - 1 month is -35.67. The company's RSI 14 Day rank is 54, and its momentum index 6 - 1 month rank is 417.
In conclusion, Bandera Partners LLC's acquisition of The Joint Corp shares is a significant addition to its portfolio. Despite the company's recent performance decline, its future potential, as indicated by its GF Score and growth rank, makes it a noteworthy investment. However, investors should also consider the company's financial health and current momentum when making investment decisions.
