Latest news with #Daktronics'
Yahoo
06-04-2025
- Business
- Yahoo
Daktronics (NASDAQ:DAKT) Shareholders Will Want The ROCE Trajectory To Continue
To find a multi-bagger stock, what are the underlying trends we should look for in a business? One common approach is to try and find a company with returns on capital employed (ROCE) that are increasing, in conjunction with a growing amount of capital employed. This shows us that it's a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. Speaking of which, we noticed some great changes in Daktronics' (NASDAQ:DAKT) returns on capital, so let's have a look. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. For those that aren't sure what ROCE is, it measures the amount of pre-tax profits a company can generate from the capital employed in its business. The formula for this calculation on Daktronics is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.15 = US$53m ÷ (US$524m - US$162m) (Based on the trailing twelve months to January 2025). Therefore, Daktronics has an ROCE of 15%. In absolute terms, that's a satisfactory return, but compared to the Electronic industry average of 10% it's much better. View our latest analysis for Daktronics In the above chart we have measured Daktronics' prior ROCE against its prior performance, but the future is arguably more important. If you'd like, you can check out the forecasts from the analysts covering Daktronics for free. The fact that Daktronics is now generating some pre-tax profits from its prior investments is very encouraging. The company was generating losses five years ago, but now it's earning 15% which is a sight for sore eyes. And unsurprisingly, like most companies trying to break into the black, Daktronics is utilizing 64% more capital than it was five years ago. We like this trend, because it tells us the company has profitable reinvestment opportunities available to it, and if it continues going forward that can lead to a multi-bagger performance. Long story short, we're delighted to see that Daktronics' reinvestment activities have paid off and the company is now profitable. And with the stock having performed exceptionally well over the last five years, these patterns are being accounted for by investors. Therefore, we think it would be worth your time to check if these trends are going to continue. On a final note, we've found 2 warning signs for Daktronics that we think you should be aware of. While Daktronics may not currently earn the highest returns, we've compiled a list of companies that currently earn more than 25% return on equity. Check out this free list here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
03-03-2025
- Business
- Yahoo
Top investor agrees to withdraw Daktronics lawsuit
SIOUX FALLS, S.D. (KELO) — Alta Fox has agreed to withdrew its lawsuit against Daktronics under a new agreement with the company, Daktronics announced Monday. Under the agreement, Daktronics said it will appoint Peter Feigin, an Alta Fox-recommended candidate to the Daktronics Board of Directors. Alta Fox is Daktronics' largest shareholder. One dead after ice fall through at Big Stone Lake Daktronics, based in Brookings, makes video scoreboards, LED displays and similar. It has worked with multiple college teams and professional sports teams. Alta Fox has wanted a change in the Daktronics board for at least a year. The Daktronics news release said Feigin, the president of the Milwaukee Bucks, will join the Daktronics' board's transformation committee. Alta Fox will also have input on the new chief financial officer at Daktronics. In return, Alta Fox will withdraw all litigation with prejudice and support Daktronics' plan to reincorporate in Delaware. Alta Fox said in its lawsuit that Daktronics only wanted to move jurisdiction in Delaware because it has weaker shareholder rights than South Dakota. Daktronics confirmed that it will host an Investor Day in 2025 to provide shareholders with 'greater insight into the company's strategy, financial targets and outlook, and capital allocation framework,' the news release said. A copy of the Cooperation Agreement will be included as an exhibit to the Company's Current Report on Form 8-K, which will be filed with the U.S. Securities and Exchange Commission (the 'SEC'). Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Associated Press
27-01-2025
- Business
- Associated Press
Anchor Capital Supports Governance Enhancements at Daktronics
Anchor Capital Advisors, LLC (collectively with its affiliates, 'Anchor Capital'), which is a shareholder of Daktronics, Inc. (NASDAQ: DAKT) ('Daktronics' or the 'Company'), today issued the following statement regarding its support of shareholder-driven governance enhancements at Daktronics: 'Anchor Capital appreciates the positive conversations we have had with Daktronics' management. We believe the Company, and its stakeholders, would greatly benefit from adding shareholder-supported board members, who would bring fresh perspectives to help address Daktronics' undervaluation. We would also support implementing a de-classified board structure in alignment with our proxy voting guidelines, and strong corporate governance. In our view, it is important that Daktronics remain incorporated in South Dakota at this time – and consider moving to Delaware at a later date – to allow for swift shareholder-driven governance enhancements. As a firm, we believe reincorporating right now would diminish the voices of non-insider shareholders and stymie progress for positive changes backed by a number of top shareholders. We view the proposed enhancements mentioned above as highly beneficial to the Company, aligned with shareholders and essential to Daktronics' long-term success.' Founded in 1983 and based in Boston, Anchor Capital is a long-only, value-oriented investment management firm. Anchor Capital has assets under advisement of $5.0 billion and assets under management of $2.4 billion as of 12/31/2024. SOURCE: Anchor Capital Advisors, LLC Copyright Business Wire 2025. PUB: 01/27/2025 08:00 AM/DISC: 01/27/2025 08:02 AM
