Gray Media (NYSE:GTN) Shares Down 5.7% - What's Next?

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 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 Upgrades and Downgrades

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

Gray Media Stock Down 0.2%

The company has a market cap of $598.25 million, a price-to-earnings ratio of 3.88 and a beta of 1.21. The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 2.56. The business has a fifty day moving average price of $5.42 and a two-hundred day moving average price of $4.50.

Gray Media (NYSE:GTN - Get Free Report) last issued its earnings results on Friday, August 8th. The company reported ($0.42) earnings per share for the quarter, missing analysts' consensus estimates of ($0.23) by ($0.19). The business had revenue of $772.00 million during 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%. Gray Media's revenue for the quarter was down 6.5% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.09 EPS. Gray Media has set its Q3 2025 guidance at EPS. On average, equities analysts predict that Gray Media Inc. will post 3.32 earnings per share for the current year.

Gray Media Dividend Announcement

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

Insider Buying and Selling

In related news, Director Richard Lee Boger sold 20,000 shares of the stock in a transaction that occurred on Tuesday, September 9th. The stock was sold at an average price of $5.82, for a total value of $116,400.00. Following the transaction, the director owned 61,343 shares in the company, valued at approximately $357,016.26. This represents a 24.59% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 15.22% of the company's stock.

Hedge Funds Weigh In On Gray Media

Hedge funds have recently added to or reduced their stakes in the company. Acadian Asset Management LLC acquired a new position in Gray Media in the first quarter worth approximately $28,000. Harbor Capital Advisors Inc. increased its holdings in Gray Media by 157.6% in the first quarter. Harbor Capital Advisors Inc. now owns 8,752 shares of the company's stock worth $38,000 after buying an additional 5,355 shares during the last quarter. CWM LLC increased its holdings in Gray Media by 638.5% in the first quarter. CWM LLC now owns 9,615 shares of the company's stock worth $42,000 after buying an additional 8,313 shares during the last quarter. Ameriprise Financial Inc. acquired a new position in Gray Media in the fourth quarter worth approximately $33,000. Finally, Pallas Capital Advisors LLC acquired a new position in Gray Media in the second quarter worth approximately $55,000. Institutional investors and hedge funds own 78.64% of the company's stock.

About Gray Media

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.