Gray Television (GTN) AI Stock Analysis

• Market Cap: $552.57M
• Dividend Yield: 6.96%
• Average Volume (3M): 1.05M
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.30
• Revenue Growth: -3.32%
• EPS Growth: -69.63%
• Country: US
• Employees: 9,118
• Sector: Communication Services
• Sector Strength: 97
• Industry: Broadcasting
• EPS (TTM): -0.24
• Shares Outstanding: 92,500,244
• 10 Day Avg. Volume: 1,277,457
• 30 Day Avg. Volume: 1,046,970
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.10
• Price to Sales (P/S): 0.08
• P/FCF Ratio: 0.49
• Enterprise Value/Market Cap: 12.14
• Enterprise Value/Revenue: 2.00
• Enterprise Value/Gross Profit: 4.41
• Enterprise Value/Ebitda: 7.88
• 1Y Price Target: $7.25
• Price Target Upside: 47.66% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): -1.38
• Revenue Forecast (FY): $3.11B

• Rating: 66 Neutral
• Price Target: $5.00 ▲(1.83% Upside)

Gray Television's overall stock score reflects its operational efficiency and attractive valuation, offset by technical weakness and challenges highlighted in the earnings call. The company's strategic initiatives and strong cash flow position are positive, but high leverage and recent net losses pose risks.

Positive Factors

Strategic Acquisitions

Strategic acquisitions into new markets can enhance market position and revenue potential, strengthening long-term competitive advantage.

Cash Flow Generation

Robust cash flow generation supports financial stability and provides flexibility for strategic investments and debt reduction.

Content Expansion

Expanding digital content through partnerships enhances viewer engagement and diversifies revenue streams, supporting long-term growth.

Negative Factors

High Leverage

High leverage can strain financial flexibility and increase risk, especially if revenue growth does not meet expectations.

Net Loss

Sustained net losses can erode shareholder value and limit resources available for growth initiatives, affecting long-term profitability.

Carriage Dispute Impact

Carriage disputes can disrupt revenue streams and viewer access, potentially weakening market position and affiliate relations.

Gray Television Business Overview & Revenue Model

Company Description

Gray Television, Inc. (GTN) is a leading television broadcasting company based in the United States. It operates a portfolio of television stations and provides content across various platforms, including traditional broadcast and digital media. GTN's core services include the production and distribution of local news, sports, and entertainment programming, as well as advertising services that connect local businesses with viewers. The company is committed to delivering high-quality content and maintaining strong relationships with its audience and advertisers.

How the Company Makes Money

Gray Television generates revenue primarily through advertising sales on its television stations. Local and national advertisers pay for commercial slots during the broadcasts, which contribute significantly to the company's earnings. Additionally, GTN earns revenue from retransmission consent fees, where cable and satellite operators pay to carry its content. The company also benefits from digital revenue streams, including online advertising and streaming services on its digital platforms. Strategic partnerships with content providers and local businesses enhance its advertising reach and revenue potential. Furthermore, acquisitions of additional television stations and media properties allow GTN to expand its market presence and diversify its revenue sources.

Gray Television Financial Statement Overview

Summary

Gray Television demonstrates operational efficiency with strong gross and EBIT margins, but faces challenges with revenue growth and high leverage. The cash flow position is robust, supporting the company's ability to generate cash despite profitability pressures. Strategic focus on reducing debt and enhancing profitability could improve financial health.

Income Statement

Gray Television's income statement shows mixed performance. The TTM data indicates a slight decline in revenue growth, with a negative growth rate of -1.5%. However, the company maintains a healthy gross profit margin of 48.1% and an EBIT margin of 21.8%, indicating operational efficiency. The net profit margin is relatively low at 5.6%, suggesting room for improvement in profitability.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 2.0, indicating significant leverage, which could pose a risk if not managed properly. The return on equity is moderate at 7.0%, showing some profitability from equity investments. The equity ratio is not explicitly provided, but the company's leverage suggests a need for careful financial management.

Cash Flow

Cash flow analysis reveals a positive trend in free cash flow growth at 2.46% and a strong operating cash flow to net income ratio of 1.51, indicating good cash generation relative to net income. The free cash flow to net income ratio is 0.86, suggesting efficient conversion of profits into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.35B	3.64B	3.28B	3.68B	2.41B	2.38B
Gross Profit	1.52B	1.24B	898.00M	1.43B	803.00M	989.00M
EBITDA	852.00M	1.25B	697.00M	1.33B	594.00M	936.00M
Net Income	94.00M	375.00M	-76.00M	455.00M	90.00M	410.00M
Balance Sheet
Total Assets	0.00	10.54B	10.64B	11.15B	11.11B	7.64B
Cash, Cash Equivalents and Short-Term Investments	0.00	135.00M	21.00M	61.00M	189.00M	773.00M
Total Debt	73.00M	5.69B	6.24B	6.53B	6.83B	4.03B
Total Liabilities	7.51B	7.61B	8.02B	8.39B	8.70B	5.24B
Stockholders Equity	2.16B	2.93B	2.62B	2.77B	2.41B	2.40B
Cash Flow
Free Cash Flow	440.00M	608.00M	300.00M	393.00M	93.00M	542.00M
Operating Cash Flow	545.00M	751.00M	648.00M	829.00M	300.00M	652.00M
Investing Cash Flow	-72.00M	-28.00M	-291.00M	-503.00M	-3.53B	-211.00M
Financing Cash Flow	-360.00M	-609.00M	-397.00M	-454.00M	2.65B	120.00M

Gray Television Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.91
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GTN, the sentiment is Positive. The current price of 4.91 is above the 20-day moving average (MA) of 4.71, below the 50-day MA of 5.21, and above the 200-day MA of 4.49, indicating a neutral trend. The MACD of -0.08 indicates Negative momentum. The RSI at 51.19 is Neutral, neither overbought nor oversold. The STOCH value of 83.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GTN.

Gray Television Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTN	66 Neutral	$552.57M	12.17	3.36%	6.96%	-3.32%	-69.63%
TGNA	64 Neutral	$3.21B	9.41	11.50%	2.48%	-2.73%	-25.06%
SGA	63 Neutral	$77.28M	35.99	0.18%	8.33%	-0.77%	-93.46%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SSP	58 Neutral	$191.68M	4.46	1.81%	―	-3.27%	86.01%
EVC	51 Neutral	$265.65M	―	-81.68%	10.10%	-45.95%	-75.87%
BBGI	43 Neutral	$8.95M	-0.97	-5.90%	―	-7.78%	-369.53%

Gray Television Corporate Events

Gray Television Exceeds Q3 Guidance with Strategic Moves

Gray Television, a leading multimedia company based in Atlanta, Georgia, operates the largest portfolio of top-rated local television stations and digital assets across the United States, reaching approximately 37% of US television households. In its latest earnings report for the third quarter of 2025, Gray Television announced that it exceeded its financial guidance, with total revenue reaching $749 million, and expenses coming in below expectations. The company also highlighted strategic moves, including a historic station swap, planned acquisitions, and the renewal of its FOX network affiliation agreements.

Gray Media’s Earnings Call: A Mixed Outlook

Gray Media’s recent earnings call presented a mixed outlook, reflecting both achievements and challenges. The company highlighted its robust M&A activity, debt reduction efforts, and operational successes, yet faced significant revenue declines and reported a net loss. This balance of positive developments and financial hurdles resulted in an overall neutral sentiment.

Gray Media Reports Q2 2025 Financial Results

Gray Media, Inc., headquartered in Atlanta, Georgia, is the largest owner of top-rated local television stations and digital assets in the United States, reaching approximately 37% of US television households and operating in 113 markets. The company also owns a digital marketing agency and several video production companies.

Gray Television Engages with Investors Starting August 2025

Gray Media, Inc. announced that starting August 8, 2025, it plans to engage with prospective investors through meetings and presentations. This initiative is part of the company’s strategy to potentially enhance its investor relations and market presence, although the information shared in these meetings will not be considered filed under certain securities regulations.

The most recent analyst rating on (GTN) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Gray Television stock, see the GTN Stock Forecast page.