New York Times Co (NYT) stock analysis

P/E below its 5-year median

New York Times's P/E of 29.2 is below its own 5-year median of 32.6.

P/E above the industry

New York Times's P/E of 29.2 is above the Printing, Publishing, and Allied Industries median of 17.7.

EV/EBITDA below its 5-year median

New York Times's EV/EBITDA of 19.2 is below its 5-year median of 20.2.

P/B above the industry

New York Times's price-to-book of 5.73 is above the Printing, Publishing, and Allied Industries median of 2.39.

Trading above fair value

The share price of $72.70 is above our fair value estimate of $54.88.

Margin of safety under 20%

The price is 32.5% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew 7.0% a year over the last three fiscal years, short of the 10% we look for.

EPS growing 10%+ a year

Diluted EPS grew 26.2% a year over the last three fiscal years.

Earnings growth not accelerating

Net income grew 20.9% over the last twelve months, against a 5-year average of 28.0% a year.

Growing faster than the industry

Revenue grew 10.8% over the last twelve months; the Printing, Publishing, and Allied Industries median is 1.1%.

Guidance lowered

New York Times lowered its third quarter of 2026 Total subscription revenues outlook on Aug 5, 2026.

Gross margin improving

Gross margin was 51.7% over the last twelve months, against 50.5% a year earlier.

Return on equity under 15%

Return on equity was 20.3% over the last twelve months and averaged 14.7% over five years; we look for 15% on both.

Return on capital over 10%

Return on invested capital was 28.2%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

New York Times's return on equity of 20.3% is above the Printing, Publishing, and Allied Industries median of 7.4%.

Earnings grew over 5 years

Net income grew 28.0% a year on average over the last five fiscal years.

Net margin above its 5-year average

Net margin was 13.4% over the last twelve months, against a 5-year average of 10.3%.

Net margin above the industry

New York Times's net margin of 13.4% is above the Printing, Publishing, and Allied Industries median of 3.6%.

No debt

New York Times has no borrowings on its latest balance sheet.

Debt not rising

With no debt today, leverage cannot have risen.

Debt covered by cash flow

There is no debt to cover.

Interest well covered

No meaningful interest expense to cover.

Short-term assets cover short-term debts

Current assets are 1.52 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 10.19; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

New York Times paid dividends worth 1.2% of the share price over the last twelve months.

Yield below Treasuries

The 1.2% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; New York Times yields 1.2%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Covered by earnings

Dividends take 32.8% of net income.

Covered by free cash flow

Dividends take 22.6% of free cash flow.