According to Zacks, “After seven straight quarters of earnings beat, The New York Times Company succumbed to a negative earnings surprise in second-quarter 2016, wherein its bottom line declined on a year-over-year basis. Total revenue also slid and fell short of the estimate. The quarter marked an increase in digital subscribers and a rise in circulation revenue but witnessed decline across print and digital advertising revenues. Total advertising revenue fell 11.7% during the quarter. Management expects total advertising revenue to decline in the mid-single digits in the third quarter. However, it projects solid revenue growth from both digital advertising and digital consumer business in the third quarter. The company is diversifying its business, adding new revenue streams, strengthening its balance sheet and restructuring its portfolio. It had offloaded assets in order to re-focus on its core newspapers and pay more attention to its online activities.”
A number of other equities analysts have also weighed in on NYT. TheStreet upgraded shares of The New York Times from a hold rating to a buy rating in a research report on Thursday, August 4th. Jefferies Group reiterated a hold rating and set a $13.00 target price on shares of The New York Times in a research report on Friday, July 29th. One analyst has rated the stock with a sell rating, four have issued a hold rating and one has assigned a buy rating to the company. The stock presently has a consensus rating of Hold and an average price target of $13.60.
Shares of The New York Times (NYSE:NYT) opened at 12.30 on Tuesday. The New York Times has a one year low of $11.45 and a one year high of $14.27. The company’s 50 day moving average is $12.74 and its 200-day moving average is $12.49. The firm has a market capitalization of $1.98 billion, a price-to-earnings ratio of 37.96 and a beta of 1.82.
The New York Times (NYSE:NYT) last posted its quarterly earnings results on Thursday, July 28th. The company reported $0.11 earnings per share for the quarter, meeting the Thomson Reuters’ consensus estimate of $0.11. The company earned $372.60 million during the quarter, compared to analyst estimates of $377.15 million. The New York Times had a net margin of 3.36% and a return on equity of 13.70%. The firm’s revenue for the quarter was down 2.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.13 earnings per share. Equities analysts expect that The New York Times will post $0.58 EPS for the current year.
The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 20th. Stockholders of record on Wednesday, October 5th will be given a $0.04 dividend. The ex-dividend date is Monday, October 3rd. This represents a $0.16 dividend on an annualized basis and a dividend yield of 1.30%. The New York Times’s dividend payout ratio (DPR) is currently 50.00%.
In related news, EVP Levien Meredith A. Kopit sold 26,728 shares of the firm’s stock in a transaction that occurred on Thursday, August 25th. The shares were sold at an average price of $13.06, for a total value of $349,067.68. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Kenneth A. Richieri sold 24,942 shares of the firm’s stock in a transaction that occurred on Thursday, August 18th. The shares were sold at an average price of $12.95, for a total transaction of $322,998.90. Following the completion of the sale, the executive vice president now directly owns 50,203 shares in the company, valued at $650,128.85. The disclosure for this sale can be found here. 6.20% of the stock is currently owned by insiders.
A number of large investors have recently made changes to their positions in NYT. BlackRock Institutional Trust Company N.A. increased its stake in shares of The New York Times by 1.5% in the first quarter. BlackRock Institutional Trust Company N.A. now owns 3,644,246 shares of the company’s stock worth $45,407,000 after buying an additional 53,991 shares in the last quarter. Advance Capital I Inc. bought a new stake in shares of The New York Times during the second quarter worth $189,000. Wellington Management Group LLP increased its stake in shares of The New York Times by 2.7% in the first quarter. Wellington Management Group LLP now owns 4,293,243 shares of the company’s stock worth $53,494,000 after buying an additional 111,681 shares in the last quarter. SG Americas Securities LLC increased its stake in shares of The New York Times by 292.1% in the second quarter. SG Americas Securities LLC now owns 186,314 shares of the company’s stock worth $2,254,000 after buying an additional 138,797 shares in the last quarter. Finally, State Street Corp increased its stake in shares of The New York Times by 2.9% in the first quarter. State Street Corp now owns 4,254,562 shares of the company’s stock worth $53,008,000 after buying an additional 120,483 shares in the last quarter. 62.86% of the stock is currently owned by institutional investors and hedge funds.
About The New York Times
The New York Times Company is a media organization focused on creating, collecting and distributing news and information. The Company includes newspapers, digital businesses and investments. Its businesses include newspapers, such as The New York Times; the International New York Times (INYT), the international edition of The Times; Websites, including NYTimes.com and international.nytimes.com; mobile applications, including The Times’s news applications, as well as interest-specific applications, such as NYT Cooking, Crossword and others, and related businesses, such as The Times news services division, digital archive distribution, NYT Live, and other products and services under The Times brand.
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