the recent drop in price on nyt is solely the result of a few analysts. It appears that the folks analyzing NYT were analyzing other industries (shoes or booze) last year and now are the ever all knowing experts in the Newspaper industry. I would guess that they take the company hand out and put there spin on it. From their comments, they have not a clue as to what makes a Newspaper click.
The NYT has performed the best it has ever this past year. About a year ago I obtained 100 shares at $43/share, then it went to $80/share a year later and split. This company is showing great earnings so why the 8 point drop from its high? All I can say, if you like this company, this is a great opportunity to purchase some shares and if you already own some, buy more! Look for this stock to perform well in a short time.
For what it's worth, my broker at PaineWebber called me today to recommend that I buy NYT, which I did. This broker is also a personal friend and even more conservative than I am about equity investing. She has actually dissuaded me from buying every stock that I've inquired about in recent months, telling me that the market is overpriced and that there was nothing she could recommend. But today, for the first time ever, she called to make this buy recommendation, citing chiefly the fact that the NYT has gone national with a series of "local" editions, which means that it can expand its ad revenue growth nationwide and get different advertisers in different geographic markets, instead of being limited to advertisers located in the NYC metro area. I (never having owned newspaper stock) did not realize that papers really get virtually ALL of their revenue from advertising, and almost nothing from newspaper sales. She also cited the now-more-attractive price, the fact that aparently the NYT is planning some kind of internet venture, and her belief that it adds good diversification to a portfolio that does not otherwise hold any publishing stocks. Good luck to us all; I hope she is right. So far I've been very pleased with her other picks for me.
Ive subscribed to the NYT from philadelphia to houston to Boston. I have my quibbles, but alas it still is a treasure to read some of the articles and sections. PW's identifies large cap companies with name recognition, and deliberate strategies supported by demographic changes; ie these companies will grow because the demand will be there, not becuase people toss money at the stock market.
In a time where CNN and Time-Warner are assailed for their truthfulness, the
long-standing reliability of the NYT is to its benefit (except for ENMD coverage). They have overcome some union problems which used to mire their ability to print the paper outside of NY. They have an active web-paper. The news is written in college-level vocabulary (pardon my elitism) which is lacking and fading from papers throughout the country. Quality will continue to have value. I am not concerned with the stock value of NYT today, but its value 5-10 years from now.
We need help. Any of you folks ever hear of the Journal Register Corp out of Trenton? Have been aquiring papers all over the eastern coast from CT to Pa. Problem is circ gets cut in 1/2 after 6 mos. Looking into stock pricing, employee wages/comp time. Cut quality of editorial content. Don't care. Making money for Pincus Warburg who lost alot from Ingersoll when they went belly-up. We need to get exposure on Robt Jelenec, See the 225 postings on JRC in Yahoo. Thank you.