Franklin Covey Co.'s Exceptional Capital Efficiency Outshines Peers

• Franklin Covey Co. demonstrates superior capital efficiency with a Return on Invested Capital (ROIC) of 36.27% compared to its Weighted Average Cost of Capital (WACC) of 10.33%.
• The company's ROIC to WACC ratio of 3.51 indicates strong value creation for shareholders, significantly outperforming peers like CRA International, Inc. (CRAI), Thermon Group Holdings, Inc. (THR), and Forrester Research, Inc. (FORR).
• Competitors such as Thermon Group Holdings, Inc. (THR) and Forestar Group Inc. (FOR) show ROIC figures below their WACC, highlighting Franklin Covey Co.'s exceptional ability to generate returns on investments.

Franklin Covey Co. is a global company specializing in performance improvement. It offers training and consulting services to help organizations achieve results that require a change in human behavior. The company operates in a competitive landscape with peers like CRA International, Inc. (CRAI), Thermon Group Holdings, Inc. (THR), Forrester Research, Inc. (FORR), Forestar Group Inc. (FOR), and Alamo Group Inc. (ALG).

Franklin Covey Co. boasts a Return on Invested Capital (ROIC) of 36.27%, significantly higher than its Weighted Average Cost of Capital (WACC) of 10.33%. This results in a ROIC to WACC ratio of 3.51, indicating that the company is generating returns well above its cost of capital. This efficient capital utilization suggests strong value creation for shareholders.

In comparison, CRA International, Inc. (CRAI) has a ROIC of 11.57% and a WACC of 9.28%, resulting in a ROIC to WACC ratio of 1.25. While CRAI shows growth potential, its capital efficiency is lower than Franklin Covey Co.'s. This highlights Franklin Covey Co.'s superior ability to generate returns on its investments.

Thermon Group Holdings, Inc. (THR) and Forestar Group Inc. (FOR) have ROIC to WACC ratios of 0.89 and 0.80, respectively. Both companies have ROIC figures below their WACC, indicating they are not generating sufficient returns to cover their cost of capital. This contrasts with Franklin Covey Co.'s strong performance.

Forrester Research, Inc. (FORR) presents a negative ROIC of -51.82% against a WACC of 7.39%, resulting in a ROIC to WACC ratio of -7.01. This suggests significant challenges in generating returns. In contrast, Franklin Covey Co.'s positive ratio underscores its effective capital management and ability to create shareholder value.