The Motley Fool·5 days ago
Why Franklin Covey Stock Plummeted TodayFranklin Covey posted its quarterly results yesterday, and results were worse than expected. The company also lowered its full-year performance outlookk.
Franklin Covey Co.(FC)Earnings, Financials & Key Ratios
FC•NYSE
$21.69
90.4× P/E·Price updated Jul 7, 2026
AboutFranklin Covey Co. provides training and consulting services in the areas of execution, sales performance, productivity, customer loyalty, and educational improvement for organizations and individuals worldwide. The company operates through three segments: Direct Offices, International Licensees, and Education Practice. It also provides a suite of individual-effectiveness and leadership-development training and products. The company was incorporated in 1983 and is headquartered in Salt Lake City, Utah.Show more
- Revenue$267M-7.0%
- EBITDA$14M-68.8%
- Net Income$3M-86.9%
- EPS (Diluted)0.24-86.2%
- Gross Margin76.22%-1.0%
- EBITDA Margin5.27%-66.5%
- Operating Margin2.14%-81.4%
- Net Margin1.15%-85.9%
- ROE4.09%-85.9%
FC Price & Volume
Franklin Covey Co. (FC) stock price & volume — 10-year historical chart
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Stagnant Revenue Growth Challenges Operational Margin Stability
Investment Thesis • Updated 2026Q2
VerdictNegative
Growth:Contracting
Profitability:Strained
Financial:Adequate
Cash Flow:Mixed
Primary Risk:Operating margin compression
Key Thesis Takeaways
- Franklin Covey faces a challenging transition as its core All-Access Pass model experiences stagnant growth, evidenced by a 0.1% year-over-year revenue change in 2026Q2.
- While the company maintains a resilient 72.9% gross margin, the inability to scale SG&A costs has resulted in a negative 0.8% operating margin.
- Investors should remain cautious as aggressive capital returns, including $28.4 million in share repurchases during 2026Q2, have contributed to a significant equity erosion from $83.1 million in 2024Q4 to $38.0 million.
Verdict Logic
the company's aggressive $28.4 million share repurchase program in 2026Q2, despite reporting a net loss of $2.0 million, raises significant concerns regarding capital allocation and long-term balance sheet sustainability.
FC Growth Metrics
Franklin Covey Co. (FC) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years2.44%
5 Years6.12%
3 Years0.53%
TTM-8.43%
Profit CAGR
10 Years-12.08%
5 Years-
3 Years-44.99%
TTM-112.98%
EPS CAGR
10 Years-9.62%
5 Years-
3 Years-42.61%
TTM-115.83%
Return on Capital
10 Years10.08%
5 Years19.19%
3 Years22.25%
Last Year6.18%
FC Recent Earnings
Franklin Covey Co. (FC) EPS & revenue vs analyst estimates — last 4 quarters
●Beat EPS 8/12 qtrs (67%)●Beat Revenue 5/12 qtrs (42%)
Q3 2026Latest
Jul 1, 2026Metric
Actual
Est
EPS
$0.27+12.5%
$0.24
Rev
$68M-0.8%
$68M
Q2 2026
Apr 1, 2026Metric
Actual
Est
EPS
$0.03-220.0%
$0.03
Rev
$60M+1.6%
$59M
Q1 2026
Jan 7, 2026Metric
Actual
Est
EPS
$0.07+133.3%
$0.03
Rev
$64M-1.1%
$65M
Q4 2025
Nov 5, 2025Metric
Actual
Est
EPS
$0.34-20.9%
$0.43
Rev
$71M+5.7%
$67M
| Quarter | Date | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|---|
| Q3 2026Latest | Jul 1, 2026 | $0.27vs $0.24+12.5% | $68Mvs $68M-0.8% |
| Q2 2026 | Apr 1, 2026 | $0.03vs $0.03-220.0% | $60Mvs $59M+1.6% |
| Q1 2026 | Jan 7, 2026 | $0.07vs $0.03+133.3% | $64Mvs $65M-1.1% |
| Q4 2025 | Nov 5, 2025 | $0.34vs $0.43-20.9% | $71Mvs $67M+5.7% |
Based on last 12 quarters of dataView full earnings history →
Latest FC News
Recent stock market news and headlines for Franklin Covey Co. (FC)
Zacks Investment Research·6 days ago
FC Q3 Earnings Call Points to Stronger 2027 SetupFranklin Covey says deferred revenues, booked services and North America execution are setting up a stronger fiscal 2027 despite a lower 2026 revenue view.
Benzinga·6 days ago
Franklin Covey Cuts Revenue Forecast, Joins Ouster And Other Big Stocks Moving Lower In Thursday's Pre-Market SessionU.S. stock futures were mixed this morning, with the Dow futures gaining around 0.2% on Thursday.
Benzinga·6 days ago
Lindsay, Franklin Covey And 3 Stocks To Watch Heading Into ThursdayWith U.S. stock futures trading slightly lower this morning on Thursday, some of the stocks that may grab investor focus today are as follows:
Seeking Alpha·6 days ago
Franklin Covey Co. (FC) Q3 2026 Earnings Call TranscriptFranklin Covey Co. (FC) Q3 2026 Earnings Call Transcript
Peers Comparison
Key metrics vs top competitors for Franklin Covey Co. (FC)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $21.69 | $244.5M | 90.38 | -7.02% | 1.15% | 4.09% | — | |
| $13.51 | $468.38M | -1.87 | -1.87% | -6.44% | -24.58% | — | |
| $5.80 | $982.02M | -18.71 | 9.04% | -8.23% | -10.06% | — | |
| $79.19 | $1.8B | 14.61 | 3.96% | 10.21% | 7.85% | — | |
| $1.55 | $45.94M | -2.28 | -49.46% | -43.86% | — | — | |
| $152.96 | $4.15B | 19.84 | 7.07% | 26.92% | 29.53% | — |
Compare FC vs Peers
Franklin Covey Co. (FC) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
FC SEC Filings & Documents
Franklin Covey Co. (FC) SEC filings — annual & quarterly reports (10-K, 10-Q)
8-K Announcements
6Material company update
Jul 1, 2026·SEC
Material company update
Jun 17, 2026·SEC
Material company update
Apr 1, 2026·SEC
10-K Annual Reports
310-Q Quarterly Reports
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FC Frequently Asked Questions
Franklin Covey Co. (FC) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is Franklin Covey Co.'s revenue?
Franklin Covey Co. (FC) reported $262.1M in revenue for fiscal year 2025. This represents a 21% decrease from $332.0M in 1996.
How fast is Franklin Covey Co. growing?
Franklin Covey Co. (FC) saw revenue decline by 7.0% over the past year.
Is FC profitable?
Franklin Covey Co. (FC) reported a net loss of $2.3M for fiscal year 2025.
Dividend & Returns
What is FC's return on equity?
Franklin Covey Co. (FC) has a return on equity (ROE) of 4.1%. This is below average, suggesting room for improvement.
What is Franklin Covey Co.'s free cash flow?
Franklin Covey Co. (FC) generated $20.0M in free cash flow for fiscal year 2025. Positive FCF indicates the company can fund dividends, buybacks, or reinvestment.