New York Times (NYSE:NYT) Lowered to Hold Rating by Zacks Research

Zacks Research downgraded shares of New York Times (NYSE:NYT) from a strong-buy rating to a hold rating in a research note released on Thursday morning,Zacks.com reports.

A number of other equities analysts have also recently commented on the company. UBS Group set a $80.00 price target on New York Times in a research note on Wednesday, June 24th. Wall Street Zen lowered New York Times from a “buy” rating to a “hold” rating in a research note on Saturday. Citigroup restated a “neutral” rating on shares of New York Times in a report on Wednesday, June 24th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of New York Times in a research note on Friday, July 17th. Finally, Morgan Stanley set a $90.00 price target on shares of New York Times in a report on Thursday, May 7th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat.com, New York Times has a consensus rating of “Moderate Buy” and an average target price of $82.89.

New York Times Trading Down 1.9%

Shares of NYSE:NYT opened at $63.53 on Thursday. The stock has a market capitalization of $10.28 billion, a P/E ratio of 26.47, a price-to-earnings-growth ratio of 1.34 and a beta of 0.95. The stock’s 50-day moving average price is $73.26 and its 200-day moving average price is $76.13. New York Times has a 12-month low of $54.10 and a 12-month high of $87.10.

New York Times (NYSE:NYT) last released its earnings results on Wednesday, August 5th. The company reported $0.69 earnings per share for the quarter, beating analysts’ consensus estimates of $0.67 by $0.02. The company had revenue of $762.46 million during the quarter, compared to analyst estimates of $752.01 million. New York Times had a return on equity of 22.64% and a net margin of 13.19%.New York Times’s revenue for the quarter was up 11.2% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.58 EPS. As a group, research analysts predict that New York Times will post 2.92 EPS for the current year.

New York Times Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 23rd. Stockholders of record on Wednesday, July 8th were given a $0.23 dividend. This represents a $0.92 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date was Wednesday, July 8th. New York Times’s dividend payout ratio (DPR) is currently 38.33%.

Insider Transactions at New York Times

In other news, EVP Jacqueline M. Welch sold 4,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $74.14, for a total transaction of $296,560.00. Following the transaction, the executive vice president directly owned 23,873 shares of the company’s stock, valued at approximately $1,769,944.22. The trade was a 14.35% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director David S. Perpich sold 9,000 shares of the company’s stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $77.06, for a total value of $693,540.00. Following the transaction, the director owned 28,469 shares of the company’s stock, valued at approximately $2,193,821.14. This represents a 24.02% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 17,121 shares of company stock worth $1,310,920. 1.90% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. Wedge Capital Management L L P NC raised its holdings in New York Times by 7.5% in the 2nd quarter. Wedge Capital Management L L P NC now owns 478,416 shares of the company’s stock worth $33,480,000 after purchasing an additional 33,552 shares in the last quarter. Hennion & Walsh Asset Management Inc. boosted its stake in shares of New York Times by 174.9% during the 2nd quarter. Hennion & Walsh Asset Management Inc. now owns 28,981 shares of the company’s stock valued at $2,028,000 after purchasing an additional 18,438 shares in the last quarter. Versant Capital Management Inc boosted its stake in shares of New York Times by 940.4% during the 2nd quarter. Versant Capital Management Inc now owns 1,186 shares of the company’s stock valued at $83,000 after purchasing an additional 1,072 shares in the last quarter. Basecamp Wealth Advisors LLC increased its position in shares of New York Times by 1,191.7% during the first quarter. Basecamp Wealth Advisors LLC now owns 310 shares of the company’s stock valued at $26,000 after buying an additional 286 shares during the period. Finally, Pacer Advisors Inc. increased its position in shares of New York Times by 12.8% during the first quarter. Pacer Advisors Inc. now owns 48,909 shares of the company’s stock valued at $4,095,000 after buying an additional 5,558 shares during the period. 95.37% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting New York Times

Here are the key news stories impacting New York Times this week:

• Positive Sentiment: Q2 results exceeded expectations. The New York Times reported earnings of $0.69 per share versus the $0.67 consensus estimate, while revenue rose 11.2% year over year to $762.5 million, helped by digital subscriptions, higher average revenue per user and stronger digital advertising. The New York Times Q2 Earnings Beat Estimates as Digital Ads Rise
• Positive Sentiment: Digital growth and pricing power support the long-term investment case. The company’s subscription ecosystem, ability to raise prices and continued digital expansion could support recurring revenue and profitability over time. Should Investors Buy Hold or Wait on NYT Amid Growth and Valuation
• Positive Sentiment: Options activity points to some bullish positioning. Investors purchased NYT call options in unusually high volume, suggesting that some market participants anticipate a rebound or further upside, although options activity is speculative and does not change the company’s fundamentals. Investors Buy High Volume of New York Times Call Options
• Neutral Sentiment: Recent weakness has created a valuation debate. NYT shares have decreased 12.8% over the past month and trade below their 50-day and 200-day moving averages. That decline could attract value-oriented buyers, but investors remain divided over whether the stock’s valuation adequately reflects its growth prospects. NYT Stock Fell 12.8% in One Month Can Weakness Create Opportunity
• Negative Sentiment: Subscriber momentum moderated. While digital performance remained strong, slower subscriber additions raise concerns about how easily NYT can sustain its growth rate and expand its subscription base.
• Negative Sentiment: Costs and valuation remain headwinds. Rising expenses could limit margin expansion, while the stock’s valuation leaves less room for execution setbacks. These concerns are contributing to a “hold or wait” stance among some investors. NYT Earnings Show Digital Growth as Subscriber Momentum Moderates

About New York Times

The New York Times Company is a publicly traded media organization best known for publishing The New York Times newspaper and operating the NYTimes.com digital platform. The company produces daily print and digital journalism covering national and international news, opinion pieces, feature stories, and multimedia content. Alongside its flagship newspaper, the firm offers a range of subscription-based services, including Times Cooking, NYT Games, podcasts and newsletters, designed to engage a broad audience of readers and advertisers.

Founded in 1851 by Henry Jarvis Raymond and George Jones, The New York Times has built a reputation for in-depth reporting and investigative journalism.