Citi sees ‘plenty of reasons to remain bullish’ on New York Times

Citi analyst Jason Bazinet sees “plenty of reasons to remain bullish” on New York Times (NYT). The firm keeps a Buy rating on the shares with a $64 price target Many clients Citi speaks with are bearish on the New York Times, believing its subscriber growth will falter, average revenue per user will deteriorate, and the stock’s valuation is demanding, the analyst tells investors in a research note. The firm does not share these views. Citi sees four reasons to remain bullish: improving bundled average revenue per user, rising diversity of bundled net adds, “robust” customer lifetime value to customer acquisition cost, and an improving mix of annual subscriptions. Further, the firm does not view the stock’s valuation as demanding.