New York Times (NYT) AI Stock Analysis

• Market Cap: $9.13B
• Dividend Yield: 1.17%
• Average Volume (3M): 1.45M
• Price to Earnings (P/E): 29.6
• Beta (1Y): 0.59
• Revenue Growth: 7.82%
• EPS Growth: 19.39%
• Country: US
• Employees: 5,900
• Sector: Communication Services
• Sector Strength: 97
• Industry: Publishing
• EPS (TTM): 0.58
• Shares Outstanding: 162,038,100
• 10 Day Avg. Volume: 1,321,901
• 30 Day Avg. Volume: 1,454,795
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 3.22
• Enterprise Value/Gross Profit: 6.44
• Enterprise Value/Ebitda: 16.94
• 1Y Price Target: $61.00
• Price Target Upside: 6.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 74 Outperform
• Price Target: $63.00 ▲(9.72% Upside)

The New York Times Company exhibits strong financial performance and positive earnings call sentiment, driven by digital growth and strategic initiatives. However, technical indicators suggest potential short-term weakness, and the valuation appears high, which tempers the overall score.

Positive Factors

Digital Subscription Growth

The strong growth in digital subscriptions indicates a successful transition to digital platforms, enhancing long-term revenue stability and market reach.

Strategic Partnerships

The partnership with Amazon and focus on AI integration could expand audience reach and improve content delivery, strengthening competitive positioning.

Financial Flexibility

The credit agreement enhances financial flexibility, allowing strategic investments and shareholder returns, supporting long-term growth and stability.

Negative Factors

Traffic Headwinds Due to AI

AI-driven traffic reductions from tech platforms could impact content visibility and ad revenue, posing a challenge to maintaining audience engagement.

General Traffic Challenges

Ongoing traffic challenges from tech companies' policies may affect long-term audience growth and digital ad revenue, impacting overall business performance.

Activist Investor Pressure

Activist investor pressure to adopt AI strategies could lead to strategic shifts, potentially disrupting current operations and requiring significant resource allocation.

New York Times Business Overview & Revenue Model

Company Description

The New York Times Company is a leading global media organization, primarily known for its flagship publication, The New York Times, which provides news, analysis, and opinion on various topics including politics, business, technology, arts, and culture. The company operates in the digital and print media sectors, offering products and services that include newspapers, magazines, and a strong digital presence through its website and mobile applications. Additionally, it has expanded into related areas such as cooking and games, further diversifying its content offerings.

How the Company Makes Money

The New York Times generates revenue through multiple key streams. The primary source is subscription revenue, which includes digital subscriptions to its online content and traditional print subscriptions. The company has seen significant growth in its digital subscriber base, particularly in recent years, as it focuses on delivering high-quality journalism. Advertising revenue is another important stream, encompassing both print and digital ads, though it has been more volatile due to shifts in media consumption. Additionally, the New York Times has diversified revenue through ancillary products, including its Cooking and Games sections, which offer subscription-based models. Partnerships with various organizations and platforms for content distribution also contribute to its earnings, enhancing its reach and engagement with audiences.

New York Times Financial Statement Overview

Summary

New York Times demonstrates strong financial health with robust revenue and profit growth, effective cost management, and strong cash flow generation. The elimination of debt reduces financial risk, although the absence of key balance sheet metrics in 2024 limits a complete financial assessment.

Income Statement

New York Times has demonstrated strong revenue growth, increasing from $2.42 billion in 2023 to $2.59 billion in 2024, reflecting a growth rate of 6.58%. The gross profit margin has improved to 49.37% in 2024, and the net profit margin is 11.36%, showing efficient cost management and profitability. EBIT and EBITDA margins are healthy at 13.57% and 18.03% respectively, indicating operational efficiency.

Balance Sheet

The balance sheet shows a strong position with zero total debt in 2024, reducing financial risk. However, the lack of reported stockholders' equity in 2024 limits the calculation of debt-to-equity ratio and return on equity, which could impact comprehensive financial assessment. The equity ratio in 2023 was 64.95%, reflecting solid equity base relative to assets.

Cash Flow

Operating cash flow has increased to $410.51 million, supporting a robust free cash flow of $381.34 million in 2024. The free cash flow growth rate of 12.82% from 2023 indicates strong cash generation capability. Operating cash flow to net income ratio of 1.40 suggests efficient conversion of earnings to cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.69B	2.59B	2.43B	2.31B	2.07B	1.78B
Gross Profit	1.35B	1.28B	1.18B	1.10B	1.04B	824.33M
EBITDA	511.18M	476.46M	398.95M	328.58M	358.26M	186.86M
Net Income	320.36M	293.82M	232.39M	173.91M	219.97M	100.10M
Balance Sheet
Total Assets	2.81B	2.84B	2.71B	2.53B	2.56B	2.31B
Cash, Cash Equivalents and Short-Term Investments	540.25M	565.92M	451.57M	347.36M	661.05M	595.16M
Total Debt	0.00	37.26M	42.91M	59.12M	63.61M	52.70M
Total Liabilities	869.33M	914.27M	951.38M	933.78M	1.02B	979.58M
Stockholders Equity	1.94B	1.93B	1.76B	1.60B	1.54B	1.33B
Cash Flow
Free Cash Flow	455.24M	381.34M	337.95M	113.73M	234.46M	263.48M
Operating Cash Flow	489.93M	410.51M	360.62M	150.69M	269.10M	297.93M
Investing Cash Flow	-262.00M	-306.09M	-159.69M	-73.56M	-180.81M	-199.08M
Financing Cash Flow	-252.12M	-192.72M	-132.71M	-174.31M	-54.95M	-44.97M

New York Times Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 57.42
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NYT, the sentiment is Neutral. The current price of 57.42 is above the 20-day moving average (MA) of 55.87, above the 50-day MA of 57.40, and above the 200-day MA of 53.51, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.89 is Neutral, neither overbought nor oversold. The STOCH value of 63.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NYT.

New York Times Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NYT	―	$9.13B	29.56	17.13%	1.17%	7.82%	19.39%
PSO	―	$9.37B	16.98	11.74%	2.04%	1.93%	34.40%
WLY	―	$1.96B	21.20	13.45%	3.75%	-8.50%	―
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GCI	―	$602.60M	6.33	47.54%	―	-8.00%	―
DALN	―	―	―	―	―	-8.00%	-46.22%
LEE	―	$28.62M	-0.67	―	―	-5.68%	-127.26%

New York Times Corporate Events

The New York Times Company Reports Strong Q2 2025 Growth

The New York Times Company, a leading media organization known for its quality journalism, has reported its second-quarter 2025 financial results, showcasing significant growth in digital subscriptions and advertising revenues. The company added 230,000 net digital-only subscribers, bringing the total to 11.88 million, and saw a 15.1% increase in digital subscription revenues. Digital advertising revenues also rose by 18.7%, contributing to a total revenue increase of 9.7% year-over-year. Operating profit surged by 34.2% to $106.6 million, with adjusted operating profit reaching $133.8 million, reflecting a robust financial performance. Looking ahead, the company remains confident in its strategy to invest in journalism and product offerings, aiming for continued growth and profitability.

The New York Times Shines in Earnings Call

The New York Times Company’s recent earnings call painted a picture of optimism and strategic growth. The company celebrated substantial achievements in subscriber growth and digital advertising revenue, alongside strategic partnerships, notably with Amazon. Despite these successes, challenges remain, particularly with traffic headwinds due to AI developments affecting traffic from tech companies.