WLYB - John Wiley & Sons: Still Less Compelling Than Treasuries
2024-06-14 07:30:47 ET
Summary
- John Wiley & Sons stock has returned 27.4% in 4 months, outperforming the S&P 500.
- John Wiley's financial performance has been mediocre at best, with revenue in 2024 only about 2.7% higher than it was in 2015. This is not a growth company.
- The dividend growth rate of 3.5% over the past decade may not be sustainable, making WLY stock far less attractive than Treasury Notes on a risk-reward basis.
It’s been just under four months since I suggested people avoid John Wiley & Sons, Inc. ( WLYB ), and in that time, the shares have returned about 27.4% against a gain of about 8.9% for the S&P 500. Please note that much of Wiley’s gains have happened over the past day, as the market reacted very favourably to the latest earnings release. In this article, I’ll review that release and determine whether or not I should reverse my position on this name or not. I’ll make that determination by comparing the cash flows an investor might receive from this stock over the next decade to those that a 10 Year Treasury Note buyer will definitely receive....
John Wiley & Sons: Still Less Compelling Than Treasuries