GRAY MEDIA INC (GTN) Stock Fundamental Analysis
NYSE:GTN - New York Stock Exchange, Inc. - US3893751061 - Common Stock - Currency: USD
Overall GTN gets a fundamental rating of 5 out of 10. We evaluated GTN against 98 industry peers in the Media industry. GTN scores excellent on profitability, but there are concerns on its financial health. GTN is valued quite cheap, while showing a decent growth score. This is a good combination! GTN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year GTN was profitable.
GTN had a positive operating cash flow in the past year.
GTN had positive earnings in 4 of the past 5 years.
Each year in the past 5 years GTN had a positive operating cash flow.
1.2 Ratios
GTN's Return On Assets of 2.17% is fine compared to the rest of the industry. GTN outperforms 72.45% of its industry peers.
With a decent Return On Equity value of 7.78%, GTN is doing good in the industry, outperforming 74.49% of the companies in the same industry.
The Return On Invested Capital of GTN (6.44%) is better than 71.43% of its industry peers.
GTN had an Average Return On Invested Capital over the past 3 years of 5.68%. This is in line with the industry average of 7.63%.
The last Return On Invested Capital (6.44%) for GTN is above the 3 year average (5.68%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 7.78% | ||
| ROIC | 6.44% |
ROA(3y)1.82%
ROA(5y)2.1%
ROE(3y)6.9%
ROE(5y)7.44%
ROIC(3y)5.68%
ROIC(5y)5.66%
1.3 Margins
GTN has a Profit Margin of 6.27%. This is in the better half of the industry: GTN outperforms 78.57% of its industry peers.
In the last couple of years the Profit Margin of GTN has grown nicely.
The Operating Margin of GTN (23.23%) is better than 94.90% of its industry peers.
In the last couple of years the Operating Margin of GTN has remained more or less at the same level.
GTN has a Gross Margin (33.58%) which is in line with its industry peers.
GTN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.23% | ||
| PM (TTM) | 6.27% | ||
| GM | 33.58% |
OM growth 3Y10.89%
OM growth 5Y0.17%
PM growth 3Y77.88%
PM growth 5Y8.17%
GM growth 3Y0.85%
GM growth 5Y-1.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so GTN is still creating some value.
The number of shares outstanding for GTN has been increased compared to 1 year ago.
The number of shares outstanding for GTN has been reduced compared to 5 years ago.
The debt/assets ratio for GTN has been reduced compared to a year ago.
2.2 Solvency
GTN has an Altman-Z score of 0.82. This is a bad value and indicates that GTN is not financially healthy and even has some risk of bankruptcy.
GTN has a Altman-Z score of 0.82. This is comparable to the rest of the industry: GTN outperforms 46.94% of its industry peers.
GTN has a debt to FCF ratio of 8.12. This is a slightly negative value and a sign of low solvency as GTN would need 8.12 years to pay back of all of its debts.
The Debt to FCF ratio of GTN (8.12) is better than 67.35% of its industry peers.
A Debt/Equity ratio of 1.92 is on the high side and indicates that GTN has dependencies on debt financing.
GTN has a Debt to Equity ratio of 1.92. This is in the lower half of the industry: GTN underperforms 69.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.92 | ||
| Debt/FCF | 8.12 | ||
| Altman-Z | 0.82 |
ROIC/WACC1.12
WACC5.77%
2.3 Liquidity
A Current Ratio of 0.91 indicates that GTN may have some problems paying its short term obligations.
With a Current ratio value of 0.91, GTN is not doing good in the industry: 72.45% of the companies in the same industry are doing better.
A Quick Ratio of 0.91 indicates that GTN may have some problems paying its short term obligations.
The Quick ratio of GTN (0.91) is worse than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
GTN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 2075.00%, which is quite impressive.
The Earnings Per Share has been growing by 21.70% on average over the past years. This is a very strong growth
The Revenue has grown by 9.08% in the past year. This is quite good.
GTN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.42% yearly.
EPS 1Y (TTM)2075%
EPS 3Y46.87%
EPS 5Y21.7%
EPS Q2Q%-129.11%
Revenue 1Y (TTM)9.08%
Revenue growth 3Y14.73%
Revenue growth 5Y11.42%
Sales Q2Q%-4.98%
3.2 Future
Based on estimates for the next years, GTN will show a very negative growth in Earnings Per Share. The EPS will decrease by -26.16% on average per year.
GTN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.67% yearly.
EPS Next Y-119.43%
EPS Next 2Y-11.78%
EPS Next 3Y-26.16%
EPS Next 5YN/A
Revenue Next Year-12.71%
Revenue Next 2Y0.08%
Revenue Next 3Y-3.67%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 1.62, the valuation of GTN can be described as very cheap.
Based on the Price/Earnings ratio, GTN is valued cheaper than 97.96% of the companies in the same industry.
GTN is valuated cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 1.45, which indicates a rather cheap valuation of GTN.
Based on the Price/Forward Earnings ratio, GTN is valued cheaply inside the industry as 98.98% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, GTN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.62 | ||
| Fwd PE | 1.45 |
4.2 Price Multiples
88.78% of the companies in the same industry are more expensive than GTN, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, GTN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.56 | ||
| EV/EBITDA | 5.13 |
4.3 Compensation for Growth
GTN has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as GTN's earnings are expected to decrease with -26.16% in the coming years.
PEG (NY)N/A
PEG (5Y)0.07
EPS Next 2Y-11.78%
EPS Next 3Y-26.16%
5. Dividend
5.1 Amount
GTN has a Yearly Dividend Yield of 8.79%, which is a nice return.
Compared to an average industry Dividend Yield of 5.08, GTN pays a better dividend. On top of this GTN pays more dividend than 94.90% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.39, GTN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.79% |
5.2 History
On average, the dividend of GTN grows each year by 15.86%, which is quite nice.
GTN has paid a dividend for at least 10 years, which is a reliable track record.
GTN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)15.86%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
37.17% of the earnings are spent on dividend by GTN. This is a low number and sustainable payout ratio.
DP37.17%
EPS Next 2Y-11.78%
EPS Next 3Y-26.16%
3.83
-0.08 (-2.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners73.72%
Inst Owner Change5.36%
Ins Owners4.85%
Ins Owner Change26.78%
Market Cap389.86M
Analysts74
Price Target5.2 (35.77%)
Short Float %4.31%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.79% |
Yearly Dividend0.86
Dividend Growth(5Y)15.86%
DP37.17%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)42.45%
Min EPS beat(2)29.9%
Max EPS beat(2)55%
EPS beat(4)2
Avg EPS beat(4)17.66%
Min EPS beat(4)-7.38%
Max EPS beat(4)55%
EPS beat(8)4
Avg EPS beat(8)51.61%
EPS beat(12)6
Avg EPS beat(12)25.81%
EPS beat(16)7
Avg EPS beat(16)19.33%
Revenue beat(2)1
Avg Revenue beat(2)-0.09%
Min Revenue beat(2)-0.38%
Max Revenue beat(2)0.2%
Revenue beat(4)1
Avg Revenue beat(4)-1.27%
Min Revenue beat(4)-2.79%
Max Revenue beat(4)0.2%
Revenue beat(8)2
Avg Revenue beat(8)-0.78%
Revenue beat(12)5
Avg Revenue beat(12)-0.73%
Revenue beat(16)8
Avg Revenue beat(16)0%
PT rev (1m)-5.56%
PT rev (3m)-8.93%
EPS NQ rev (1m)-122.22%
EPS NQ rev (3m)-176.92%
EPS NY rev (1m)8.43%
EPS NY rev (3m)-3.16%
Revenue NQ rev (1m)-3.05%
Revenue NQ rev (3m)-3.33%
Revenue NY rev (1m)-1.14%
Revenue NY rev (3m)-1.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 1.62 | ||
| Fwd PE | 1.45 | ||
| P/S | 0.11 | ||
| P/FCF | 0.56 | ||
| P/OCF | 0.48 | ||
| P/B | 0.13 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.13 |
EPS(TTM)2.37
EY61.88%
EPS(NY)2.64
Fwd EY68.88%
FCF(TTM)6.79
FCFY177.25%
OCF(TTM)8.01
OCFY209.05%
SpS35.4
BVpS28.53
TBVpS-52.18
PEG (NY)N/A
PEG (5Y)0.07
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 7.78% | ||
| ROCE | 8.45% | ||
| ROIC | 6.44% | ||
| ROICexc | 6.58% | ||
| ROICexgc | 43.11% | ||
| OM | 23.23% | ||
| PM (TTM) | 6.27% | ||
| GM | 33.58% | ||
| FCFM | 19.18% |
ROA(3y)1.82%
ROA(5y)2.1%
ROE(3y)6.9%
ROE(5y)7.44%
ROIC(3y)5.68%
ROIC(5y)5.66%
ROICexc(3y)5.72%
ROICexc(5y)5.89%
ROICexgc(3y)32.02%
ROICexgc(5y)33.23%
ROCE(3y)7.45%
ROCE(5y)7.43%
ROICexcg growth 3Y30.28%
ROICexcg growth 5Y1.83%
ROICexc growth 3Y29.97%
ROICexc growth 5Y2.69%
OM growth 3Y10.89%
OM growth 5Y0.17%
PM growth 3Y77.88%
PM growth 5Y8.17%
GM growth 3Y0.85%
GM growth 5Y-1.16%
F-Score7
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.92 | ||
| Debt/FCF | 8.12 | ||
| Debt/EBITDA | 4.95 | ||
| Cap/Depr | 42.47% | ||
| Cap/Sales | 3.44% | ||
| Interest Coverage | 1.9 | ||
| Cash Conversion | 72.19% | ||
| Profit Quality | 305.75% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 0.82 |
F-Score7
WACC5.77%
ROIC/WACC1.12
Cap/Depr(3y)84.75%
Cap/Depr(5y)76.04%
Cap/Sales(3y)8.8%
Cap/Sales(5y)7.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2075%
EPS 3Y46.87%
EPS 5Y21.7%
EPS Q2Q%-129.11%
EPS Next Y-119.43%
EPS Next 2Y-11.78%
EPS Next 3Y-26.16%
EPS Next 5YN/A
Revenue 1Y (TTM)9.08%
Revenue growth 3Y14.73%
Revenue growth 5Y11.42%
Sales Q2Q%-4.98%
Revenue Next Year-12.71%
Revenue Next 2Y0.08%
Revenue Next 3Y-3.67%
Revenue Next 5YN/A
EBIT growth 1Y69.43%
EBIT growth 3Y27.22%
EBIT growth 5Y11.61%
EBIT Next Year-19.22%
EBIT Next 3Y-5.26%
EBIT Next 5YN/A
FCF growth 1Y14.98%
FCF growth 3Y86.99%
FCF growth 5Y17.2%
OCF growth 1Y-25.91%
OCF growth 3Y35.78%
OCF growth 5Y14.3%