Should You Bet on a New Day at Publisher Houghton Mifflin Harcourt?
Publisher Houghton Mifflin Harcourt has had a decent reception in its return to the public markets, with a solid gain since its November 2013 initial public offering. The company was a victim of the changes sweeping the book-publishing business, including a shift to digital distribution delivered via e-readers and tablets, which has generally led to lower product pricing and profit compression for publishers. After a trip through bankruptcy court in 2012, Houghton Mifflin Harcourt has reemerged more focused and lighter, having rid itself of close to $3 billion in debt. So, is it a worthwhile play for investors?