Daily Stock Analysis: Escalade Incorporated

TM Editors' note: This article discusses a penny stock and/or microcap. Such stocks are easily manipulated; do your own careful due diligence.


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Escalade Incorporated bears the ticker symbol ESCA, and this is my first mention of ESCA for this  Viking Portfolio but ESCA was selected for one of my previous seven dog of the week portfolios.

Escalade Inc manufactures and distributes sporting goods for a varied range of activities. These sports include archery, table tennis, basketball goals, trampoline, play systems, fitness, game tables like hockey and soccer, billiards, darting, and other outdoor games.

Their products are sold under the brand names like Goalrilla, Goalsetter, Woodplay, Silverback, Nodor, Rage, and Child Life, among others.

The geographic segments in which the company operates are North America, Europe, and others out of which the major part of the revenue is generated from the North American region.

The company provides its products through sporting goods retailers, specialty dealers, online retailers, traditional department stores, and mass merchants.

Escalade, Incorporated was founded in 1919 and is headquartered in Evansville, Indiana.

Three key data points gauge ESCA or any dividend-paying firm. They are:

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money.
 

ESCA Price

Escalade’s price per share was $15.25 at Tuesday’s market close. In the past year, Escalade’s share price soared $2.56 or about 20%.

If Escalade stock trades in the range of $6.00 to $20.00 this next year, its recent $15.25 share price might rise to $17.00 by next year. My upside estimate of $1.75 is in line with the one-year price estimates from one analyst tracking Escalade Inc for brokers.
 

ESCA Dividend

Escalade’s most recent quarterly dividend of $0.15 was paid on March 20, 2023.
 

ESCA Returns

Adding the $0.60 annual estimated ESCA dividend to my $1.75  estimated price upside reveals a $2.35 potential gross gain per share.

At Tuesday’s $15.25 closing price, a little over $1000 would buy 66 shares.

A $10 broker fee (if charged), paid half at purchase and half at the sale, might cost us $0.15 per share.

Subtracting that maybe $0.15 brokerage cost from my estimated $2.35 gross price gain estimate makes a net amount of $2.20 X 66 shares = $145.10 or a 14.5% net gain.

In the next year, our $1K investment in shares of Escalade will generate $39.30 in dividends. Furthermore, a single share of ESCA at Tuesday’s $15.25 price is over 2 times less than the annual dividend income from $1000.00 invested.

So, by my dogcatcher ideal, this is a prime time to consider ESCA shares, based on their dividends for 2023. The dividend from $1k invested is 2.57 times greater than the Escalade single share price. Consider yourself alerted.

All of the estimates above are speculation based on the past history of investment in shares of Escalade Incorporated. Only time and money invested in this stock will determine its future market value.


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Disclaimer:  This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...

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