New York Times (NYSE:NYT) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

New York Times (NYSE:NYT) issued its quarterly earnings data on Wednesday. The company reported $0.69 EPS for the quarter, topping the consensus estimate of $0.67 by $0.02, FiscalAI reports. The business had revenue of $762.46 million for the quarter, compared to the consensus estimate of $752.01 million. New York Times had a return on equity of 22.02% and a net margin of 13.18%.The firm’s revenue was up 11.2% compared to the same quarter last year. During the same quarter last year, the business posted $0.58 EPS.

Here are the key takeaways from New York Times’ conference call:

• Positive Sentiment: Q2 revenue grew 11%, adjusted operating profit increased 16% to approximately $155 million, and adjusted diluted EPS rose 19% to $0.69.
• Positive Sentiment: The company added 280,000 net new digital subscribers, reaching approximately 13.4 million; digital-only subscription revenue increased 16.4% to $408 million, supported by subscriber growth and favorable pricing-step-up performance.
• Positive Sentiment: Advertising exceeded expectations, with digital advertising revenue up 20.7% and total advertising revenue up approximately 11.3%; growth was broad-based across the portfolio, though video currently contributes only modestly to advertising growth.
• Neutral Sentiment: The Times is substantially increasing video production and investment, including reporter-led video, visual investigations, and long-form shows, viewing video as a long-term audience and monetization opportunity.
• Negative Sentiment: Adjusted operating costs rose 10%, above guidance, while management warned that major technology platforms are driving less traffic to publishers. Q3 digital subscription growth is expected to moderate to 12%–15%, and first-half free cash flow benefited from seasonal working-capital timing and a largely nonrecurring $60 million tax benefit.

New York Times Stock Performance

NYSE NYT traded down $10.65 during trading on Wednesday, hitting $64.96. The stock had a trading volume of 6,327,909 shares, compared to its average volume of 2,097,277. New York Times has a 12 month low of $54.10 and a 12 month high of $87.10. The company’s 50-day moving average price is $73.89 and its two-hundred day moving average price is $76.31. The company has a market capitalization of $10.51 billion, a PE ratio of 27.85, a P/E/G ratio of 1.56 and a beta of 0.95.

New York Times Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, July 23rd. Shareholders of record on Wednesday, July 8th were paid a $0.23 dividend. The ex-dividend date was Wednesday, July 8th. This represents a $0.92 annualized dividend and a yield of 1.4%. New York Times’s payout ratio is presently 39.48%.

Analyst Ratings Changes

Several brokerages have issued reports on NYT. Citigroup restated a “neutral” rating on shares of New York Times in a report on Wednesday, June 24th. Guggenheim lifted their price objective on New York Times from $63.00 to $70.00 and gave the company a “neutral” rating in a report on Thursday, May 7th. Morgan Stanley set a $90.00 price objective on New York Times in a research report on Thursday, May 7th. Evercore reissued an “outperform” rating and set a $92.00 target price on shares of New York Times in a research note on Thursday, May 7th. Finally, Barclays lifted their price target on shares of New York Times from $60.00 to $66.00 and gave the company an “equal weight” rating in a research note on Thursday, May 7th. Two investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, New York Times has a consensus rating of “Moderate Buy” and a consensus price target of $83.22.

Insider Transactions at New York Times

In related news, EVP Jacqueline M. Welch sold 4,000 shares of the stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $74.14, for a total transaction of $296,560.00. Following the completion of the transaction, the executive vice president owned 23,873 shares in the company, valued at approximately $1,769,944.22. This represents a 14.35% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director David S. Perpich sold 9,000 shares of the firm’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $77.06, for a total transaction of $693,540.00. Following the completion of the transaction, the director directly owned 28,469 shares of the company’s stock, valued at approximately $2,193,821.14. This trade represents a 24.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 17,121 shares of company stock valued at $1,310,920 in the last ninety days. 1.90% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On New York Times

Several hedge funds have recently modified their holdings of the stock. Advisory Services Network LLC boosted its position in New York Times by 23.6% during the third quarter. Advisory Services Network LLC now owns 6,190 shares of the company’s stock valued at $355,000 after purchasing an additional 1,180 shares during the last quarter. Guggenheim Capital LLC acquired a new position in shares of New York Times during the 4th quarter worth approximately $351,000. Parallel Advisors LLC increased its position in shares of New York Times by 67.3% during the 3rd quarter. Parallel Advisors LLC now owns 5,621 shares of the company’s stock worth $323,000 after purchasing an additional 2,262 shares during the last quarter. Rothschild Wealth LLC bought a new stake in shares of New York Times during the 4th quarter worth approximately $314,000. Finally, Laird Norton Wetherby Trust Company LLC bought a new stake in shares of New York Times during the 4th quarter worth approximately $282,000. Institutional investors own 95.37% of the company’s stock.

Key Stories Impacting New York Times

Here are the key news stories impacting New York Times this week:

• Positive Sentiment: NYT reported second-quarter earnings of $0.69 per share, above the $0.67 analyst consensus and up from $0.58 a year earlier. Revenue reached $762.46 million, exceeding estimates of $752.01 million and increasing 11.2% year over year. New York Times Co. Tops Q2 Earnings and Revenue Estimates
• Positive Sentiment: Unusually heavy options activity included 18,448 purchased call options, more than ten times typical call volume. This may indicate short-term bullish positioning or speculation, although options activity is not a fundamental signal by itself.
• Neutral Sentiment: The quarter’s results showed higher profit and revenue, but subscriber growth slowed sequentially, leaving investors to weigh strong financial performance against concerns about the company’s growth trajectory. New York Times Posts Higher Revenue, as Subscriber Growth Slows
• Negative Sentiment: NYT added approximately 280,000 net digital-only subscribers in the second quarter, below the estimated 295,300. The shortfall raised concerns that the company’s core digital-subscription growth is losing momentum. NYT Stock Drops as Digital Subscriber Growth Slows
• Negative Sentiment: Management issued a weaker-than-anticipated outlook for digital subscription revenue, intensifying investor concerns that future growth may not match the company’s otherwise solid earnings and revenue performance.

New York Times Company Profile

The New York Times Company is a publicly traded media organization best known for publishing The New York Times newspaper and operating the NYTimes.com digital platform. The company produces daily print and digital journalism covering national and international news, opinion pieces, feature stories, and multimedia content. Alongside its flagship newspaper, the firm offers a range of subscription-based services, including Times Cooking, NYT Games, podcasts and newsletters, designed to engage a broad audience of readers and advertisers.

Founded in 1851 by Henry Jarvis Raymond and George Jones, The New York Times has built a reputation for in-depth reporting and investigative journalism.