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 research analysts have also recently issued reports on the stock. Jefferies Group restated a hold rating and set a $13.00 price objective on shares of The New York Times in a report on Wednesday, September 28th. TheStreet upgraded shares of The New York Times from a hold rating to a buy rating in a report on Thursday, August 4th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating and one has given a buy rating to the company’s stock. The company has an average rating of Hold and a consensus target price of $13.60.
The New York Times (NYSE:NYT) opened at 12.14 on Monday. The stock’s 50 day moving average is $12.66 and its 200-day moving average is $12.47. The company has a market cap of $1.95 billion, a P/E ratio of 37.47 and a beta of 1.62. The New York Times has a 12-month low of $11.45 and a 12-month high of $14.27.
The New York Times (NYSE:NYT) last issued its quarterly earnings data on Thursday, July 28th. The company reported $0.11 earnings per share (EPS) for the quarter, meeting the Zacks’ consensus estimate of $0.11. The firm earned $372.60 million during the quarter, compared to analysts’ expectations of $377.15 million. The New York Times had a net margin of 3.36% and a return on equity of 13.70%. The business’s revenue for the quarter was down 2.7% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.13 earnings per share. Analysts predict that The New York Times will post $0.58 earnings per share for the current fiscal year.
The business also recently declared a quarterly dividend, which will be paid on Thursday, October 20th. Stockholders of record on Wednesday, October 5th will be issued a $0.04 dividend. This represents a $0.16 annualized dividend and a dividend yield of 1.32%. The ex-dividend date is Monday, October 3rd. The New York Times’s dividend payout ratio (DPR) is presently 50.00%.
In other news, EVP Levien Meredith A. Kopit sold 26,728 shares of the company’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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Kenneth A. Richieri sold 24,942 shares of the company’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 transaction, the executive vice president now owns 50,203 shares of the company’s stock, valued at approximately $650,128.85. The disclosure for this sale can be found here. 6.20% of the stock is currently owned by insiders.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in NYT. Dimensional Fund Advisors LP raised its stake in shares of The New York Times by 11.0% in the second quarter. Dimensional Fund Advisors LP now owns 4,642,155 shares of the company’s stock worth $56,169,000 after buying an additional 458,376 shares in the last quarter. Wellington Management Group LLP raised 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. State Street Corp raised 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. Lord Abbett & CO. LLC raised its stake in shares of The New York Times by 2.6% in the second quarter. Lord Abbett & CO. LLC now owns 4,017,005 shares of the company’s stock worth $48,606,000 after buying an additional 102,905 shares in the last quarter. Finally, BlackRock Institutional Trust Company N.A. raised 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. Institutional investors own 62.86% of the company’s stock.
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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