Today, The Zacks Investment Research lowers the Stock rating of New Media Investment Group Inc. (NEWM)

Today, The Zacks Investment Research lowers the Stock rating of New Media Investment Group Inc. (NEWM)
New Media Investment Group Inc. (NYSE:NEWM) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Wednesday.

According to Zacks, “New Media Investment Group, Inc. is an online advertising and digital marketing company. The company’s core products include daily newspapers; weekly newspapers; locally focused Websites; mobile sites and yellow page directories. Its print and online products provide local market news and information that covers various topics, such as local news and politics, community and regional events, youth sports, opinion and editorial pages, and local schools. It also invests in diversified portfolio of local media assets. New Media Investment Group Inc. is based in New York. “

Several other brokerages have also recently issued reports on NEWM. Barrington Research cut New Media Investment Group from an “outperform” rating to a “market perform” rating in a research report on Thursday, September 29th. Citigroup Inc. cut New Media Investment Group from a “neutral” rating to a “sell” rating and cut their target price for the company from $17.00 to $13.00 in a research report on Wednesday, August 24th. TheStreet cut New Media Investment Group from a “buy” rating to a “hold” rating in a research report on Monday, August 29th. Finally, Compass Point cut New Media Investment Group from a “buy” rating to a “neutral” rating and cut their target price for the company from $21.00 to $20.00 in a research report on Friday, July 29th. Two equities research analysts have rated the stock with a sell rating, three have given a hold rating and one has given a buy rating to the stock. New Media Investment Group presently has a consensus rating of “Hold” and a consensus price target of $17.00.

New Media Investment Group (NYSE:NEWM) opened at 15.71 on Wednesday. New Media Investment Group has a one year low of $13.95 and a one year high of $20.11. The firm has a 50-day moving average price of $15.13 and a 200-day moving average price of $16.61. The firm has a market capitalization of $699.66 million, a price-to-earnings ratio of 9.59 and a beta of 1.28.

New Media Investment Group (NYSE:NEWM) last announced its earnings results on Thursday, October 27th. The company reported $0.06 earnings per share (EPS) for the quarter, missing the Thomson Reuters’ consensus estimate of $0.13 by $0.07. The company had revenue of $306.80 million for the quarter, compared to analysts’ expectations of $308.80 million. New Media Investment Group had a net margin of 5.86% and a return on equity of 6.50%. The firm’s quarterly revenue was down 1.7% on a year-over-year basis. During the same period in the previous year, the firm earned $0.14 EPS. Analysts expect that New Media Investment Group will post $0.85 EPS for the current year.

The firm also recently declared a quarterly dividend, which was paid on Thursday, November 17th. Investors of record on Wednesday, November 9th were issued a dividend of $0.35 per share. This is a positive change from New Media Investment Group’s previous quarterly dividend of $0.33. This represents a $1.40 dividend on an annualized basis and a yield of 8.91%. The ex-dividend date of this dividend was Monday, November 7th. New Media Investment Group’s dividend payout ratio (DPR) is 85.37%.

In other news, CFO Gregory William Freiberg bought 85,000 shares of the stock in a transaction on Monday, November 7th. The shares were purchased at an average cost of $15.01 per share, for a total transaction of $1,275,850.00. Following the completion of the purchase, the chief financial officer now directly owns 107,769 shares in the company, valued at approximately $1,617,612.69. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CEO Michael Reed bought 50,000 shares of the stock in a transaction on Thursday, November 3rd. The stock was purchased at an average price of $14.34 per share, for a total transaction of $717,000.00. Following the completion of the purchase, the chief executive officer now owns 165,769 shares of the company’s stock, valued at $2,377,127.46. The disclosure for this purchase can be found here. Corporate insiders own 3.46% of the company’s stock.

Several hedge funds have recently modified their holdings of the stock. Teacher Retirement System of Texas raised its stake in shares of New Media Investment Group by 19.2% in the second quarter. Teacher Retirement System of Texas now owns 6,207 shares of the company’s stock valued at $112,000 after buying an additional 999 shares during the last quarter. Springbok Capital Management LLC raised its stake in shares of New Media Investment Group by 69.4% in the first quarter. Springbok Capital Management LLC now owns 8,300 shares of the company’s stock valued at $138,000 after buying an additional 3,400 shares during the last quarter. SG Americas Securities LLC purchased a new stake in shares of New Media Investment Group during the third quarter valued at about $152,000. Crow Point Partners LLC purchased a new stake in shares of New Media Investment Group during the third quarter valued at about $156,000. Finally, Eqis Capital Management Inc. purchased a new stake in shares of New Media Investment Group during the third quarter valued at about $169,000. Hedge funds and other institutional investors own 78.69% of the company’s stock.

About New Media Investment Group

New Media Investment Group Inc (New Media) is a holding company. The Company owns, operates and invests in local media assets. It has a focus on owning and acquiring local media assets in small to mid-size markets. The Company is a publisher of locally based print and online media. The Company’s operating segments include Eastern US Publishing, Central US Publishing and Western US Publishing.

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