NEW YORK TIMES CO-A (NYT) Stock Fundamental Analysis
NYSE:NYT - New York Stock Exchange, Inc. - US6501111073 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to NYT. NYT was compared to 98 industry peers in the Media industry. Both the health and profitability get an excellent rating, making NYT a very profitable company, without any liquidiy or solvency issues. NYT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NYT had positive earnings in the past year.
In the past year NYT had a positive cash flow from operations.
NYT had positive earnings in each of the past 5 years.
NYT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NYT has a Return On Assets of 10.34%. This is amongst the best in the industry. NYT outperforms 94.90% of its industry peers.
NYT has a Return On Equity of 15.25%. This is amongst the best in the industry. NYT outperforms 85.71% of its industry peers.
The Return On Invested Capital of NYT (12.84%) is better than 96.94% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NYT is above the industry average of 6.63%.
The last Return On Invested Capital (12.84%) for NYT is above the 3 year average (11.43%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.34% | ||
| ROE | 15.25% | ||
| ROIC | 12.84% |
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
With an excellent Profit Margin value of 11.36%, NYT belongs to the best of the industry, outperforming 87.76% of the companies in the same industry.
In the last couple of years the Profit Margin of NYT has grown nicely.
NYT has a better Operating Margin (14.40%) than 79.59% of its industry peers.
In the last couple of years the Operating Margin of NYT has grown nicely.
NYT has a Gross Margin of 49.36%. This is in the better half of the industry: NYT outperforms 62.24% of its industry peers.
In the last couple of years the Gross Margin of NYT has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.4% | ||
| PM (TTM) | 11.36% | ||
| GM | 49.36% |
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) just above the Cost of Capital (WACC), NYT is creating some value.
NYT has less shares outstanding than it did 1 year ago.
NYT has less shares outstanding than it did 5 years ago.
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.
2.2 Solvency
An Altman-Z score of 8.24 indicates that NYT is not in any danger for bankruptcy at the moment.
NYT's Altman-Z score of 8.24 is amongst the best of the industry. NYT outperforms 94.90% of its industry peers.
NYT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 8.24 |
ROIC/WACC1.43
WACC8.97%
2.3 Liquidity
A Current Ratio of 1.53 indicates that NYT should not have too much problems paying its short term obligations.
NYT has a Current ratio (1.53) which is in line with its industry peers.
NYT has a Quick Ratio of 1.53. 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 1.53, NYT is in line with its industry, outperforming 57.14% of the companies in the same industry.
NYT does not score too well on the current and quick ratio evaluation. However, as it has 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 | 1.53 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.56% over the past year.
NYT shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.92% yearly.
The Revenue for NYT has decreased by -13.42% in the past year. This is quite bad
NYT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.37% yearly.
EPS 1Y (TTM)22.56%
EPS 3Y16.23%
EPS 5Y16.92%
EPS Q2Q%14.29%
Revenue 1Y (TTM)-13.42%
Revenue growth 3Y7.62%
Revenue growth 5Y7.37%
Sales Q2Q%7.46%
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 10.16% yearly.
NYT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.68% yearly.
EPS Next Y6.5%
EPS Next 2Y8.3%
EPS Next 3Y9.1%
EPS Next 5Y10.16%
Revenue Next Year6.2%
Revenue Next 2Y6.08%
Revenue Next 3Y5.56%
Revenue Next 5Y5.68%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.02, NYT can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of NYT indicates a somewhat cheap valuation: NYT is cheaper than 64.29% of the companies listed in the same industry.
NYT's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.22.
A Price/Forward Earnings ratio of 24.44 indicates a rather expensive valuation of NYT.
Based on the Price/Forward Earnings ratio, NYT is valued a bit cheaper than the industry average as 65.31% of the companies are valued more expensively.
NYT is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.02 | ||
| Fwd PE | 24.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NYT is on the same level as its industry peers.
NYT's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.44 | ||
| EV/EBITDA | 16.74 |
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)4
PEG (5Y)1.54
EPS Next 2Y8.3%
EPS Next 3Y9.1%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.39%, NYT has a reasonable but not impressive dividend return.
NYT's Dividend Yield is a higher than the industry average which is at 4.98.
Compared to an average S&P500 Dividend Yield of 2.44, NYT's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
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 their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)21.48%
Div Incr Years6
Div Non Decr Years11
5.3 Sustainability
NYT pays out 28.20% 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.
DP28.2%
EPS Next 2Y8.3%
EPS Next 3Y9.1%
52.31
+0.55 (+1.06%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners93.87%
Inst Owner Change0.23%
Ins Owners0.68%
Ins Owner Change0.7%
Market Cap8.56B
Analysts75
Price Target55.5 (6.1%)
Short Float %4.77%
Short Ratio4.21
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
Yearly Dividend0.5
Dividend Growth(5Y)21.48%
DP28.2%
Div Incr Years6
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.47%
Min EPS beat(2)6.49%
Max EPS beat(2)8.46%
EPS beat(4)4
Avg EPS beat(4)20.04%
Min EPS beat(4)6.49%
Max EPS beat(4)55.15%
EPS beat(8)8
Avg EPS beat(8)26.77%
EPS beat(12)12
Avg EPS beat(12)28.29%
EPS beat(16)16
Avg EPS beat(16)31.05%
Revenue beat(2)0
Avg Revenue beat(2)-1.04%
Min Revenue beat(2)-1.09%
Max Revenue beat(2)-0.99%
Revenue beat(4)0
Avg Revenue beat(4)-0.93%
Min Revenue beat(4)-1.09%
Max Revenue beat(4)-0.64%
Revenue beat(8)2
Avg Revenue beat(8)-0.83%
Revenue beat(12)3
Avg Revenue beat(12)-0.7%
Revenue beat(16)7
Avg Revenue beat(16)-0.22%
PT rev (1m)0%
PT rev (3m)-4.89%
EPS NQ rev (1m)1.66%
EPS NQ rev (3m)3.6%
EPS NY rev (1m)0.93%
EPS NY rev (3m)1.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.02 | ||
| Fwd PE | 24.44 | ||
| P/S | 3.31 | ||
| P/FCF | 22.44 | ||
| P/OCF | 20.84 | ||
| P/B | 4.44 | ||
| P/tB | 6.81 | ||
| EV/EBITDA | 16.74 |
EPS(TTM)2.01
EY3.84%
EPS(NY)2.14
Fwd EY4.09%
FCF(TTM)2.33
FCFY4.46%
OCF(TTM)2.51
OCFY4.8%
SpS15.81
BVpS11.78
TBVpS7.68
PEG (NY)4
PEG (5Y)1.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.34% | ||
| ROE | 15.25% | ||
| ROCE | 16.72% | ||
| ROIC | 12.84% | ||
| ROICexc | 17.21% | ||
| ROICexgc | 28.83% | ||
| OM | 14.4% | ||
| PM (TTM) | 11.36% | ||
| GM | 49.36% | ||
| FCFM | 14.75% |
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 Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 35.18% | ||
| Cap/Sales | 1.13% | ||
| Interest Coverage | 520.2 | ||
| Cash Conversion | 90.14% | ||
| Profit Quality | 129.78% | ||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z | 8.24 |
F-Score8
WACC8.97%
ROIC/WACC1.43
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)22.56%
EPS 3Y16.23%
EPS 5Y16.92%
EPS Q2Q%14.29%
EPS Next Y6.5%
EPS Next 2Y8.3%
EPS Next 3Y9.1%
EPS Next 5Y10.16%
Revenue 1Y (TTM)-13.42%
Revenue growth 3Y7.62%
Revenue growth 5Y7.37%
Sales Q2Q%7.46%
Revenue Next Year6.2%
Revenue Next 2Y6.08%
Revenue Next 3Y5.56%
Revenue Next 5Y5.68%
EBIT growth 1Y11.05%
EBIT growth 3Y10.95%
EBIT growth 5Y15.46%
EBIT Next Year28.59%
EBIT Next 3Y14.93%
EBIT Next 5YN/A
FCF growth 1Y12.84%
FCF growth 3Y17.6%
FCF growth 5Y21.42%
OCF growth 1Y13.84%
OCF growth 3Y15.12%
OCF growth 5Y16.67%