fbpx

Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

New York Times shares fall the most in four years on Wednesday as company adds fewer digital subscribers, second-quarter earnings beat

New York Times (NYT) added fewer paid digital subscribers during the second quarter, which led to the largest single-day drop in its shares in four years during New Yorks trading session yesterday. Quarterly earnings, on the other hand, topped Wall Street estimates.

Shares of New York Times Company closed lower for a second consecutive trading session on NYSE on Wednesday. It has also been the steepest daily loss since July 29th 2014. The stock went down 6.58% ($1.60) to $22.70, after touching an intraday low at $22.50, or a price level not seen since May 31st ($22.45).

Shares of New York Times Company have risen 22.70% so far in 2018 compared with a 6.89% gain for the underlying index, S&P 500 (SPX).

In 2017, New York Times stock soared 39.10%, thus, it again outperformed the S&P 500, which registered a 19.42% return.

Total revenue went up to $414.6 million during the second quarter from $407.1 million in the year-ago period. In comparison, analysts on average had expected $412.3 million in revenue.

New York Times digital advertising revenue, which comprises over 30% of its total advertising revenue, shrank 7.5% year-on-year to $51 million during the past quarter.

As many as 109 000 paid digital subscribers were added during the second quarter in comparison with 114 000 in the year-ago period, when the company offered considerable discounts on annual subscriptions.

Meanwhile, net income attributable to shareholders soared 51% to $23.6 million ($0.14 per share) during the second quarter.

New York Times earnings per share, excluding special items, were reported at $0.17 during the latest quarter, which outstripped the median analyst forecast pointing to earnings of $0.15 per share.

According to CNN Money, the 3 analysts, offering 12-month forecasts regarding New York Times’ stock price, have a median target of $24.00, with a high estimate of $27.00 and a low estimate of $20.00. The median estimate represents a 5.73% upside compared to the closing price of $22.70 on August 8th.

The same media also reported that 3 out of 4 surveyed investment analysts had rated New York Times’ stock as “Hold”, while 1 – as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the New York Times stock are presented as follows:

R1 – $22.82
R2 – $22.94
R3 (Range Resistance – Sell) – $23.06
R4 (Long Breakout) – $23.42
R5 (Breakout Target 1) – $23.83
R6 (Breakout Target 2) – $24.01

S1 – $22.58
S2 – $22.46
S3 (Range Support – Buy) – $22.34
S4 (Short Breakout) – $21.99
S5 (Breakout Target 1) – $21.57
S6 (Breakout Target 2) – $21.39

By using the traditional method of calculation, the weekly levels of importance for New York Times Company (NYT) are presented as follows:

Central Pivot Point – $24.24
R1 – $24.76
R2 – $25.33
R3 – $25.85
R4 – $26.38

S1 – $23.67
S2 – $23.15
S3 – $22.58
S4 – $22.02

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News