NEW YORK TIMES CO-A (NYT) Stock Fundamental Analysis
NYSE:NYT - New York Stock Exchange, Inc. - US6501111073 - Common Stock - Currency: USD
Taking everything into account, NYT scores 7 out of 10 in our fundamental rating. NYT was compared to 98 industry peers in the Media industry. NYT scores excellent points on both the profitability and health parts. This is a solid base for a good stock. NYT is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NYT was profitable.
In the past year NYT had a positive cash flow from operations.
In the past 5 years NYT has always been profitable.
Each year in the past 5 years NYT had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NYT (11.08%) is better than 92.86% of its industry peers.
The Return On Equity of NYT (16.07%) is better than 84.69% of its industry peers.
Looking at the Return On Invested Capital, with a value of 13.68%, NYT belongs to the top of the industry, outperforming 94.90% of the companies in the same industry.
NYT had an Average Return On Invested Capital over the past 3 years of 11.43%. This is above the industry average of 7.63%.
The 3 year average ROIC (11.43%) for NYT is below the current ROIC(13.68%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.08% | ||
| ROE | 16.07% | ||
| ROIC | 13.68% |
ROA(3y)8.59%
ROA(5y)7.74%
ROE(3y)13.1%
ROE(5y)12.23%
ROIC(3y)11.43%
ROIC(5y)10.49%
1.3 Margins
NYT has a Profit Margin of 11.53%. This is amongst the best in the industry. NYT outperforms 83.67% of its industry peers.
NYT's Profit Margin has improved in the last couple of years.
The Operating Margin of NYT (14.78%) is better than 76.53% of its industry peers.
In the last couple of years the Operating Margin of NYT has grown nicely.
The Gross Margin of NYT (49.49%) is better than 60.20% of its industry peers.
NYT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.78% | ||
| PM (TTM) | 11.53% | ||
| GM | 49.49% |
OM growth 3Y3.09%
OM growth 5Y7.54%
PM growth 3Y2.34%
PM growth 5Y8.02%
GM growth 3Y-0.36%
GM growth 5Y-4.15%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NYT is destroying value.
The number of shares outstanding for NYT has been reduced compared to 1 year ago.
The number of shares outstanding for NYT has been reduced compared to 5 years ago.
NYT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 9.14 indicates that NYT is not in any danger for bankruptcy at the moment.
NYT has a better Altman-Z score (9.14) than 92.86% of its industry peers.
There is no outstanding debt for NYT. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 9.14 |
ROIC/WACC0.85
WACC16.01%
2.3 Liquidity
NYT has a Current Ratio of 1.44. This is a normal value and indicates that NYT is financially healthy and should not expect problems in meeting its short term obligations.
NYT has a Current ratio (1.44) which is comparable to the rest of the industry.
NYT has a Quick Ratio of 1.44. This is a normal value and indicates that NYT is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.44, NYT is in line with its industry, outperforming 58.16% of the companies in the same industry.
The current and quick ratio evaluation for NYT is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.89% over the past year.
Measured over the past years, NYT shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.92% on average per year.
NYT shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -12.99%.
The Revenue has been growing slightly by 7.37% on average over the past years.
EPS 1Y (TTM)19.89%
EPS 3Y16.23%
EPS 5Y16.92%
EPS Q2Q%32.26%
Revenue 1Y (TTM)-12.99%
Revenue growth 3Y7.62%
Revenue growth 5Y7.37%
Sales Q2Q%7.05%
3.2 Future
NYT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.28% yearly.
Based on estimates for the next years, NYT will show a small growth in Revenue. The Revenue will grow by 6.00% on average per year.
EPS Next Y10.25%
EPS Next 2Y8.62%
EPS Next 3Y9.66%
EPS Next 5Y10.28%
Revenue Next Year6.62%
Revenue Next 2Y6.26%
Revenue Next 3Y5.99%
Revenue Next 5Y6%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 26.36, which means the current valuation is very expensive for NYT.
Based on the Price/Earnings ratio, NYT is valued a bit cheaper than the industry average as 64.29% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of NYT to the average of the S&P500 Index (26.31), we can say NYT is valued inline with the index average.
NYT is valuated rather expensively with a Price/Forward Earnings ratio of 23.45.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NYT is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, NYT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 23.45 |
4.2 Price Multiples
NYT's Enterprise Value to EBITDA ratio is in line with the industry average.
Based on the Price/Free Cash Flow ratio, NYT is valued a bit cheaper than 62.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.36 | ||
| EV/EBITDA | 17.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NYT does not grow enough to justify the current Price/Earnings ratio.
NYT has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.57
PEG (5Y)1.56
EPS Next 2Y8.62%
EPS Next 3Y9.66%
5. Dividend
5.1 Amount
NYT has a Yearly Dividend Yield of 1.30%.
NYT's Dividend Yield is a higher than the industry average which is at 4.91.
With a Dividend Yield of 1.30, NYT pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
5.2 History
On average, the dividend of NYT grows each year by 21.48%, which is quite nice.
NYT has paid a dividend for at least 10 years, which is a reliable track record.
NYT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)21.48%
Div Incr Years6
Div Non Decr Years11
5.3 Sustainability
NYT pays out 28.49% of its income as dividend. This is a sustainable payout ratio.
The dividend of NYT is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP28.49%
EPS Next 2Y8.62%
EPS Next 3Y9.66%
55.62
+0.03 (+0.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners96.15%
Inst Owner Change2.67%
Ins Owners0.62%
Ins Owner Change0.65%
Market Cap9.07B
Analysts75
Price Target58.25 (4.73%)
Short Float %5.41%
Short Ratio5
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.3% |
Yearly Dividend0.5
Dividend Growth(5Y)21.48%
DP28.49%
Div Incr Years6
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.32%
Min EPS beat(2)6.49%
Max EPS beat(2)18.14%
EPS beat(4)4
Avg EPS beat(4)10.79%
Min EPS beat(4)6.49%
Max EPS beat(4)18.14%
EPS beat(8)8
Avg EPS beat(8)27.77%
EPS beat(12)12
Avg EPS beat(12)29.35%
EPS beat(16)16
Avg EPS beat(16)26.74%
Revenue beat(2)0
Avg Revenue beat(2)-0.91%
Min Revenue beat(2)-0.99%
Max Revenue beat(2)-0.82%
Revenue beat(4)0
Avg Revenue beat(4)-0.98%
Min Revenue beat(4)-1.09%
Max Revenue beat(4)-0.82%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)3
Avg Revenue beat(12)-0.56%
Revenue beat(16)6
Avg Revenue beat(16)-0.34%
PT rev (1m)4.96%
PT rev (3m)1.96%
EPS NQ rev (1m)0.4%
EPS NQ rev (3m)3.92%
EPS NY rev (1m)0%
EPS NY rev (3m)4.48%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 23.45 | ||
| P/S | 3.45 | ||
| P/FCF | 21.36 | ||
| P/OCF | 19.87 | ||
| P/B | 4.81 | ||
| P/tB | 7.44 | ||
| EV/EBITDA | 17.39 |
EPS(TTM)2.11
EY3.79%
EPS(NY)2.37
Fwd EY4.26%
FCF(TTM)2.6
FCFY4.68%
OCF(TTM)2.8
OCFY5.03%
SpS16.12
BVpS11.56
TBVpS7.48
PEG (NY)2.57
PEG (5Y)1.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.08% | ||
| ROE | 16.07% | ||
| ROCE | 17.82% | ||
| ROIC | 13.68% | ||
| ROICexc | 17.99% | ||
| ROICexgc | 30.06% | ||
| OM | 14.78% | ||
| PM (TTM) | 11.53% | ||
| GM | 49.49% | ||
| FCFM | 16.16% |
ROA(3y)8.59%
ROA(5y)7.74%
ROE(3y)13.1%
ROE(5y)12.23%
ROIC(3y)11.43%
ROIC(5y)10.49%
ROICexc(3y)14.65%
ROICexc(5y)14.2%
ROICexgc(3y)25.48%
ROICexgc(5y)21.57%
ROCE(3y)14.89%
ROCE(5y)13.67%
ROICexcg growth 3Y17%
ROICexcg growth 5Y17.39%
ROICexc growth 3Y3.36%
ROICexc growth 5Y8.52%
OM growth 3Y3.09%
OM growth 5Y7.54%
PM growth 3Y2.34%
PM growth 5Y8.02%
GM growth 3Y-0.36%
GM growth 5Y-4.15%
F-Score8
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 38.26% | ||
| Cap/Sales | 1.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.71% | ||
| Profit Quality | 140.13% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 9.14 |
F-Score8
WACC16.01%
ROIC/WACC0.85
Cap/Depr(3y)35.41%
Cap/Depr(5y)44.4%
Cap/Sales(3y)1.22%
Cap/Sales(5y)1.45%
Profit Quality(3y)113.54%
Profit Quality(5y)142.07%
High Growth Momentum
Growth
EPS 1Y (TTM)19.89%
EPS 3Y16.23%
EPS 5Y16.92%
EPS Q2Q%32.26%
EPS Next Y10.25%
EPS Next 2Y8.62%
EPS Next 3Y9.66%
EPS Next 5Y10.28%
Revenue 1Y (TTM)-12.99%
Revenue growth 3Y7.62%
Revenue growth 5Y7.37%
Sales Q2Q%7.05%
Revenue Next Year6.62%
Revenue Next 2Y6.26%
Revenue Next 3Y5.99%
Revenue Next 5Y6%
EBIT growth 1Y8.17%
EBIT growth 3Y10.95%
EBIT growth 5Y15.46%
EBIT Next Year30.83%
EBIT Next 3Y16.27%
EBIT Next 5YN/A
FCF growth 1Y133.63%
FCF growth 3Y17.6%
FCF growth 5Y21.42%
OCF growth 1Y111.28%
OCF growth 3Y15.12%
OCF growth 5Y16.67%