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Joint Corp (JYNT)
:JYNT
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Joint (JYNT) AI Stock Analysis

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JYNT

Joint

(NASDAQ:JYNT)

Rating:52Neutral
Price Target:
$10.50
▼(-1.87% Downside)
The overall stock score is primarily influenced by financial performance challenges, including consistent net losses and cash flow sustainability issues. While technical indicators suggest bearish momentum, recent corporate events and earnings call insights provide some optimism with strategic shifts and improved EBITDA.
Positive Factors
Digital Strategy
The Joint is advancing its digital strategy, with increased online scheduling capabilities and the launch of its first mobile app expected, which could improve the patient experience and drive repeat visits.
Financial Stability
JYNT had $29.8M in unrestricted cash and no debt, and is expected to generate positive cash flows from continuing operations.
Operational Efficiency
The recent deal to refranchise 31 clinics and reacquire regional developer territory rights for the Northwest region for $8.3M is viewed as a positive step toward operational efficiency and strategic clarity.
Negative Factors
Execution Risks
Execution risks remain, as the company has yet to finalize the sale of a significant number of corporate-owned clinics.
Sales Outlook
JYNT's reduced sales outlook and weakening revenue growth reflect mounting headwinds in patient acquisition and a deliberate slowdown in clinic expansion.
Uncertainty
The potential sale, relocation, or closure of company-owned clinics creates uncertainty.

Joint (JYNT) vs. SPDR S&P 500 ETF (SPY)

Joint Business Overview & Revenue Model

Company DescriptionThe Joint Corp. develops, owns, operates, supports, and manages chiropractic clinics. The company operates in two segments, Corporate Clinics and Franchise Operations. It operates through direct ownership, management arrangements, franchising, and regional developers. As of March 1, 2022, the company operated approximately 700 locations in the United States. The Joint Corp. was incorporated in 2010 and is headquartered in Scottsdale, Arizona.
How the Company Makes MoneyJoint generates revenue primarily through the sale of its dietary supplements, which are marketed both directly to consumers via e-commerce platforms and through partnerships with health and wellness retailers. Key revenue streams include subscription services for regular customers, one-time purchases, and bulk orders from healthcare providers. Additionally, Joint may benefit from strategic partnerships with fitness centers and physical therapy clinics, enhancing its market reach and brand visibility. The company's focus on continuous product development and customer engagement through educational content also contributes to customer loyalty and repeat sales.

Joint Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
The earnings call reflects a company making strides in refranchising and financial performance, as evidenced by increased system-wide sales and EBITDA growth. However, challenges remain with declining new patient traffic and the need to adjust sales guidance due to macroeconomic headwinds. The focus on pain management and technology enhancements show potential for future growth.
Q2-2025 Updates
Positive Updates
Increased System-Wide Sales
System-wide sales were $129.6 million, up 2.6% compared to Q2 2024.
Significant Growth in Adjusted EBITDA
Consolidated adjusted EBITDA grew to $3.2 million, a 52% increase compared to Q2 2024.
Successful Refranchising Efforts
Refranchised 37 clinics, reducing corporate clinics to 8% of the portfolio, and sold 31 corporate clinics in Arizona and New Mexico for $11.1 million.
Strong Financial Liquidity
Unrestricted cash and equivalents reached $30 million as of June 30, 2025.
Launch of New Mobile App
Launched a mobile app with approximately 10% of active patients already using it, aiming to enhance patient experience and extend lifetime value.
Stock Repurchase Program Initiation
The Board authorized a stock repurchase program to repurchase up to $5 million of outstanding common stock.
Negative Updates
Lowered 2025 Guidance
Revised 2025 guidance for system-wide sales to $530 million to $550 million from previous $550 million to $570 million due to softer sales trends and macroeconomic headwinds.
Decrease in New Patient Traffic
New patient counts were impacted by macroeconomic headwinds and lower brand awareness, affecting comps negatively.
Potential for Restructuring Expenses
Ongoing refranchising efforts may lead to restructuring expenses in the near term.
Challenges with Dynamic Pricing Strategy
Concerns regarding affordability and potential sticker shock with dynamic revenue management and pricing strategy.
Company Guidance
In the recent conference call for the Joint Corp's Second Quarter 2025 financial results, several key metrics and guidance were discussed. System-wide sales for Q2 2025 were reported at $129.6 million, reflecting a 2.6% increase, while comparable sales for clinics open at least 13 months rose by 1.4%. Revenue from continuing operations increased by 5%, and consolidated adjusted EBITDA saw a significant growth of 52%, reaching $3.2 million compared to the same period in 2024. The company reported a net income of $93,000, a notable improvement from a net loss of $3.6 million in Q2 2024. The unrestricted cash and equivalents as of June 30, 2025, stood at $30 million. Looking ahead, the Joint Corp revised its 2025 guidance, projecting system-wide sales between $530 million and $550 million, and a low single-digit increase in comparable sales, while adjusting consolidated EBITDA guidance to a range of $10.8 million to $11.8 million. The call also highlighted the company's strategic transition to a pure-play franchisor, with a focus on refranchising efforts, dynamic revenue management, and enhanced marketing strategies to drive long-term growth and profitability.

Joint Financial Statement Overview

Summary
Joint faces challenges with profitability and cash flow sustainability despite maintaining reasonable margins and low leverage. The decline in revenue and equity over recent periods highlights potential financial instability, and consistent net losses are a significant concern for future growth.
Income Statement
45
Neutral
The company has seen fluctuating revenue with a notable decline from 2023 to TTM (Trailing-Twelve-Months). Gross profit margin remains strong at approximately 63.5% for TTM. However, the consistent negative EBIT and net loss indicate ongoing operational challenges and profitability issues, as evidenced by negative net profit margins.
Balance Sheet
55
Neutral
The balance sheet shows reasonable stability with a debt-to-equity ratio of about 0.11 in TTM, indicating low leverage. However, the decline in equity over the years and the low return on equity due to negative net income suggest potential financial stress. The equity ratio stands at 25.8%, showing moderate reliance on equity financing.
Cash Flow
50
Neutral
Cash flow analysis shows positive operating cash flow, but decreasing over the periods. Free cash flow is positive but has been inconsistent, reflecting challenges in maintaining cash generation. The operating cash flow to net income ratio is negative due to consistent net losses, highlighting potential cash flow sustainability concerns.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue87.98M51.90M117.70M101.25M80.01M58.68M
Gross Profit75.83M40.38M107.15M92.08M72.68M52.18M
EBITDA-162.81K2.98M9.14M7.89M10.07M8.18M
Net Income-8.68M-8.53M-9.75M626.71K7.57M13.17M
Balance Sheet
Total Assets77.19M80.42M87.15M91.94M84.04M65.73M
Cash, Cash Equivalents and Short-Term Investments21.92M25.05M18.15M9.75M19.53M20.55M
Total Debt2.25M448.29K2.86M26.06M23.62M18.48M
Total Liabilities57.26M62.48M62.38M60.90M56.75M44.75M
Stockholders Equity19.91M17.92M24.75M32.37M29.54M20.75M
Cash Flow
Free Cash Flow1.78M8.23M9.68M2.31M6.85M6.99M
Operating Cash Flow2.90M9.42M14.68M11.08M15.23M11.18M
Investing Cash Flow-578.01K-631.55K-6.19M-20.78M-14.14M-4.60M
Financing Cash Flow904.66K-2.00M174.12K328.61K-2.00M5.60M

Joint Technical Analysis

Technical Analysis Sentiment
Negative
Last Price10.70
Price Trends
50DMA
11.23
Negative
100DMA
10.87
Negative
200DMA
11.07
Negative
Market Momentum
MACD
-0.17
Negative
RSI
45.77
Neutral
STOCH
67.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JYNT, the sentiment is Negative. The current price of 10.7 is below the 20-day moving average (MA) of 10.80, below the 50-day MA of 11.23, and below the 200-day MA of 11.07, indicating a bearish trend. The MACD of -0.17 indicates Negative momentum. The RSI at 45.77 is Neutral, neither overbought nor oversold. The STOCH value of 67.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JYNT.

Joint Risk Analysis

Joint disclosed 40 risk factors in its most recent earnings report. Joint reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Joint Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$1.51B58.683.50%51.97%-64.10%
71
Outperform
$1.28B36.757.02%2.12%16.24%116.58%
69
Neutral
$1.73B16.6110.65%2.21%25.19%13.44%
55
Neutral
$326.33M-535.24%17.53%14.49%
52
Neutral
$166.94M-16.16%-40.65%85.56%
51
Neutral
$7.83B-0.18-40.10%2.29%21.46%-2.03%
41
Neutral
$8.29M-951.52%-0.70%-2.38%
* Healthcare Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JYNT
Joint
10.70
-0.53
-4.72%
NHC
National Healthcare
111.97
-20.63
-15.56%
MODV
ModivCare
0.43
-26.80
-98.42%
USPH
US Physical Therapy
84.61
2.03
2.46%
ASTH
Astrana Health
31.21
-16.34
-34.36%
TOI
Oncology Institute
3.46
3.08
810.53%

Joint Corporate Events

Executive/Board Changes
Joint Announces CFO Resignation and Separation Agreement
Neutral
Aug 27, 2025

Joint company announced the resignation of its Chief Financial Officer, Mr. Singleton, effective June 9, 2025. A separation agreement was established on August 22, 2025, which includes a general release of all claims. If Mr. Singleton does not revoke the agreement, he will receive separation benefits including cash payments and COBRA coverage. The agreement outlines the treatment of his equity awards, which will not receive accelerated vesting.

Business Operations and StrategyFinancial Disclosures
Joint Corp. Reports Q2 2025 Financial Results
Positive
Aug 7, 2025

The Joint Corp. reported its second quarter 2025 financial results, highlighting a 5% revenue growth to $13.3 million and a significant improvement in net income from a loss of $3.6 million in Q2 2024 to a profit of $93,000. The company refranchised 37 clinics, acquired rights to the Northwest regional developer territory, and increased its franchised clinics to 92% of its portfolio. The company is focusing on enhancing its brand campaign and improving its marketing infrastructure to drive long-term sales, while also planning nominal price increases to balance affordability and patient value.

M&A TransactionsBusiness Operations and Strategy
Joint Corp. Sells Clinics, Acquires Developer Rights
Positive
Jul 7, 2025

On June 30, 2025, The Joint Corp. completed the sale of 31 company-owned clinics in Arizona and New Mexico to Joint Ventures, LLC for $8.3 million and acquired regional developer rights in the Northwest Region. This transaction is part of The Joint Corp.’s strategy to strengthen and simplify its business by transferring clinics to proven franchise operators, while acquiring regional developer rights to reduce commission obligations and increase operating margins, thus enhancing value for stakeholders.

M&A TransactionsBusiness Operations and Strategy
Joint Corp. Sells Clinics in Strategic Move
Positive
Jun 27, 2025

On June 23, 2025, The Joint Corp. entered into an Asset Purchase Agreement with Joint Ventures, LLC to sell 31 company-owned clinics in Arizona and New Mexico for $11.07 million. This transaction, expected to close by June 30, 2025, also involves acquiring regional developer rights in the Northwest Region, which includes 46 existing franchised clinics and 30 future development sites. Additionally, The Joint Corp. refranchised five clinics in Kansas and Missouri to Chiro 93, LLC. These strategic moves aim to enhance The Joint’s profitability and solidify its position as the largest pure play chiropractic care franchise system.

Executive/Board ChangesBusiness Operations and Strategy
Joint Corp. Appoints New CFO Scott J. Bowman
Positive
Jun 10, 2025

On June 10, 2025, The Joint Corp. announced the appointment of Scott J. Bowman as its new Chief Financial Officer, succeeding Jake Singleton. Bowman, who brings over 30 years of experience in finance, has previously served as CFO at several public companies, including Leslie’s, Inc. and Dave & Buster’s. His expertise in capital markets and strategic planning is expected to support The Joint Corp.’s strategy to reignite growth and improve profitability. The company aims to transform into a pure play franchisor and enhance its position as a leading health and wellness services provider in the U.S.

Executive/Board ChangesStock BuybackBusiness Operations and Strategy
Joint Corp. Appoints New Director and Chair
Positive
Jun 5, 2025

On June 3, 2025, The Joint Corp.’s Board of Directors expanded its size and appointed Sandi Karrmann as a new director, who will also serve as Chair of the Compensation Committee. Karrmann, with extensive experience in human resources and healthcare, is expected to contribute to the company’s strategic goals of enhancing talent and culture to boost growth and profitability. Additionally, the Board approved a stock repurchase plan to buy back up to $5 million of common stock by June 2027, aiming to optimize capital structure and enhance shareholder value.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 19, 2025