GRAY MEDIA INC (GTN) Stock Fundamental Analysis
NYSE:GTN - New York Stock Exchange, Inc. - US3893751061 - Common Stock - Currency: USD
Taking everything into account, GTN scores 5 out of 10 in our fundamental rating. GTN was compared to 97 industry peers in the Media industry. While GTN has a great profitability rating, there are quite some concerns on its financial health. GTN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. Finally GTN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
GTN had positive earnings in the past year.
GTN had a positive operating cash flow in the past year.
GTN had positive earnings in 4 of the past 5 years.
In the past 5 years GTN always reported a positive cash flow from operatings.
1.2 Ratios
GTN has a better Return On Assets (2.17%) than 70.10% of its industry peers.
The Return On Equity of GTN (7.78%) is better than 72.16% of its industry peers.
With a decent Return On Invested Capital value of 6.44%, GTN is doing good in the industry, outperforming 71.13% of the companies in the same industry.
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 7.56%.
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
Looking at the Profit Margin, with a value of 6.27%, GTN is in the better half of the industry, outperforming 78.35% of the companies in the same industry.
In the last couple of years the Profit Margin of GTN has grown nicely.
Looking at the Operating Margin, with a value of 23.23%, GTN belongs to the top of the industry, outperforming 94.85% of the companies in the same industry.
GTN's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 33.58%, GTN is in line with its industry, outperforming 47.42% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), GTN is creating some value.
The number of shares outstanding for GTN has been increased compared to 1 year ago.
GTN has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, GTN has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.83, we must say that GTN is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.83, GTN perfoms like the industry average, outperforming 45.36% of the companies in the same industry.
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.
Looking at the Debt to FCF ratio, with a value of 8.12, GTN is in the better half of the industry, outperforming 67.01% of the companies in the same industry.
A Debt/Equity ratio of 1.92 is on the high side and indicates that GTN has dependencies on debt financing.
The Debt to Equity ratio of GTN (1.92) is worse than 71.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.92 | ||
| Debt/FCF | 8.12 | ||
| Altman-Z | 0.83 |
ROIC/WACC1.07
WACC6.03%
2.3 Liquidity
GTN has a Current Ratio of 0.91. This is a bad value and indicates that GTN is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.91, GTN is doing worse than 73.20% of the companies in the same industry.
GTN has a Quick Ratio of 0.91. This is a bad value and indicates that GTN is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of GTN (0.91) is worse than 72.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 2075.00% over the past year.
GTN shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.70% yearly.
Looking at the last year, GTN shows a quite strong growth in Revenue. The Revenue has grown by 9.08% in the last year.
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
The Earnings Per Share is expected to decrease by -27.44% on average over the next years. This is quite bad
The Revenue is expected to decrease by -3.51% on average over the next years.
EPS Next Y-121.81%
EPS Next 2Y-13.39%
EPS Next 3Y-27.44%
EPS Next 5YN/A
Revenue Next Year-12.77%
Revenue Next 2Y0%
Revenue Next 3Y-3.51%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 2.26, which indicates a rather cheap valuation of GTN.
97.94% of the companies in the same industry are more expensive than GTN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.30. GTN is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 2.11, the valuation of GTN can be described as very cheap.
Based on the Price/Forward Earnings ratio, GTN is valued cheaply inside the industry as 98.97% of the companies are valued more expensively.
GTN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.26 | ||
| Fwd PE | 2.11 |
4.2 Price Multiples
GTN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. GTN is cheaper than 86.60% of the companies in the same industry.
GTN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. GTN is cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.79 | ||
| EV/EBITDA | 5.27 |
4.3 Compensation for Growth
The decent profitability rating of GTN may justify a higher PE ratio.
GTN's earnings are expected to decrease with -27.44% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.1
EPS Next 2Y-13.39%
EPS Next 3Y-27.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.69%, GTN is a good candidate for dividend investing.
GTN's Dividend Yield is rather good when compared to the industry average which is at 4.64. GTN pays more dividend than 90.72% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.35, GTN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.69% |
5.2 History
The dividend of GTN is nicely growing with an annual growth rate of 15.86%!
GTN has been paying a dividend for at least 10 years, so it has 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
GTN pays out 37.17% of its income as dividend. This is a sustainable payout ratio.
DP37.17%
EPS Next 2Y-13.39%
EPS Next 3Y-27.44%
5.36
-0.26 (-4.63%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners75.74%
Inst Owner Change0%
Ins Owners5.81%
Ins Owner Change27.19%
Market Cap545.59M
Analysts74
Price Target5.2 (-2.99%)
Short Float %4.56%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.69% |
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)0%
PT rev (3m)-5.56%
EPS NQ rev (1m)2.22%
EPS NQ rev (3m)-117.28%
EPS NY rev (1m)-12.27%
EPS NY rev (3m)-2.81%
Revenue NQ rev (1m)-0.14%
Revenue NQ rev (3m)-3.18%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-1.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.26 | ||
| Fwd PE | 2.11 | ||
| P/S | 0.15 | ||
| P/FCF | 0.79 | ||
| P/OCF | 0.67 | ||
| P/B | 0.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.27 |
EPS(TTM)2.37
EY44.22%
EPS(NY)2.54
Fwd EY47.45%
FCF(TTM)6.79
FCFY126.65%
OCF(TTM)8.01
OCFY149.38%
SpS35.4
BVpS28.53
TBVpS-52.18
PEG (NY)N/A
PEG (5Y)0.1
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 | 0.83 |
F-Score7
WACC6.03%
ROIC/WACC1.07
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-121.81%
EPS Next 2Y-13.39%
EPS Next 3Y-27.44%
EPS Next 5YN/A
Revenue 1Y (TTM)9.08%
Revenue growth 3Y14.73%
Revenue growth 5Y11.42%
Sales Q2Q%-4.98%
Revenue Next Year-12.77%
Revenue Next 2Y0%
Revenue Next 3Y-3.51%
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%