Gray Media (NYSE:GTN) Trading Down 5.7% - Here's What Happened

Key Points

• Gray Media's stock dropped by 5.7%, closing at $5.86, significantly lower than its previous close of $6.21, with trading volume down 56% compared to its average.
• Several analysts revised their ratings for Gray Media, with Benchmark raising its price target from $7.00 to $9.00, while Wall Street Zen downgraded the stock from "hold" to "sell," showing a mixed sentiment in the market.
• The company reported a quarterly earnings miss with a loss of ($0.42) per share, below the expected ($0.23), and an annual revenue decline of 6.5%, indicating potential challenges ahead.

Shares of Gray Media Inc. (NYSE:GTN - Get Free Report) traded down 5.7% during mid-day trading on Tuesday . The company traded as low as $5.86 and last traded at $5.86. 648,992 shares were traded during trading, a decline of 56% from the average session volume of 1,483,942 shares. The stock had previously closed at $6.21.

Analyst Ratings Changes

GTN has been the topic of a number of research reports. Wells Fargo & Company upped their price target on Gray Media from $4.50 to $5.00 and gave the stock an "equal weight" rating in a report on Monday, August 11th. Guggenheim raised their price target on Gray Media from $6.00 to $7.00 and gave the company a "buy" rating in a research report on Thursday, August 14th. Benchmark reaffirmed a "buy" rating and set a $9.00 price target (up previously from $7.00) on shares of Gray Media in a research note on Monday, August 11th. Wall Street Zen cut shares of Gray Media from a "hold" rating to a "sell" rating in a research note on Saturday, August 9th. Finally, Barrington Research upgraded shares of Gray Media from a "market perform" rating to an "outperform" rating and set a $6.50 target price for the company in a report on Monday, August 11th. Three research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $6.88.

Gray Media Trading Down 0.3%

The company has a quick ratio of 0.87, a current ratio of 0.87 and a debt-to-equity ratio of 2.56. The firm has a market cap of $597.74 million, a price-to-earnings ratio of 3.87 and a beta of 1.21. The business has a 50 day moving average of $5.41 and a 200 day moving average of $4.48.

Gray Media (NYSE:GTN - Get Free Report) last posted its quarterly earnings data on Friday, August 8th. The company reported ($0.42) EPS for the quarter, missing analysts' consensus estimates of ($0.23) by ($0.19). The company had revenue of $772.00 million for the quarter, compared to analyst estimates of $765.16 million. Gray Media had a net margin of 5.64% and a return on equity of 10.31%. The firm's revenue was down 6.5% on a year-over-year basis. During the same period in the previous year, the business earned $0.09 EPS. Gray Media has set its Q3 2025 guidance at EPS. On average, research analysts forecast that Gray Media Inc. will post 3.32 earnings per share for the current fiscal year.

Gray Media Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Investors of record on Monday, September 15th will be paid a dividend of $0.08 per share. The ex-dividend date of this dividend is Monday, September 15th. This represents a $0.32 dividend on an annualized basis and a dividend yield of 5.5%. Gray Media's dividend payout ratio (DPR) is presently 21.19%.

Insider Activity at Gray Media

In related news, Director Richard Lee Boger sold 20,000 shares of the stock in a transaction on Tuesday, September 9th. The stock was sold at an average price of $5.82, for a total transaction of $116,400.00. Following the sale, the director owned 61,343 shares of the company's stock, valued at $357,016.26. This trade represents a 24.59% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 15.22% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Gray Media

Several large investors have recently added to or reduced their stakes in GTN. Capital Management Corp VA lifted its position in Gray Media by 19.2% during the first quarter. Capital Management Corp VA now owns 6,867,026 shares of the company's stock worth $29,666,000 after buying an additional 1,103,690 shares during the period. Millennium Management LLC lifted its position in Gray Media by 903.0% during the fourth quarter. Millennium Management LLC now owns 719,201 shares of the company's stock worth $2,265,000 after buying an additional 808,764 shares during the period. Charles Schwab Investment Management Inc. lifted its position in Gray Media by 60.0% during the first quarter. Charles Schwab Investment Management Inc. now owns 1,956,635 shares of the company's stock worth $8,453,000 after buying an additional 734,085 shares during the period. Nuveen LLC purchased a new position in Gray Media during the first quarter worth about $2,876,000. Finally, AQR Capital Management LLC lifted its position in Gray Media by 76.6% during the second quarter. AQR Capital Management LLC now owns 1,361,807 shares of the company's stock worth $6,169,000 after buying an additional 590,704 shares during the period. 78.64% of the stock is currently owned by hedge funds and other institutional investors.

Gray Media Company Profile

Gray Television, Inc, a television broadcasting company, owns and/or operates television stations and digital assets in the United States. It also broadcasts secondary digital channels affiliated to ABC, CBS, NBC, and FOX, as well as various other networks and program services, including CW Plus Network, MY Network, the MeTV Network, Circle, Telemundo, THE365, and Outlaw; and local news/weather channels in various markets.