Gray Media, Inc. (GTN) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Gray Media, Inc. (GTN) Media & Communications Profile

Gray Media, Inc. is a television broadcasting company operating in 113 U.S. markets, delivering content through its owned and operated stations and digital assets. The company differentiates itself through its diverse network affiliations, including ABC, CBS, NBC, and FOX, and a wide array of digital channels.

What Is the Investment Thesis for GTN?

Gray Media, Inc. presents a mixed investment case. The company's extensive reach across 113 U.S. television markets and diverse network affiliations provide a solid foundation. The dividend yield of 5.84% may attract income-focused investors. However, the negative profit margin of -2.7% raises concerns about profitability. Key value drivers include potential growth in digital advertising revenue and increased viewership of its local news and weather channels. Upcoming regulatory changes in broadcasting could present both opportunities and challenges. Investors should closely monitor the company's ability to improve profitability and manage its debt levels. The beta of 0.92 suggests lower volatility compared to the overall market.

Based on FMP financials and quantitative analysis

GTN Key Highlights

Operates in 113 television markets across the United States, providing extensive coverage.

• Maintains a high gross margin of 96.6%, indicating efficient cost management in content delivery.
• Offers a dividend yield of 5.84%, potentially attractive to income-seeking investors.
• Employs 9118 individuals, reflecting a significant operational scale.
• Has a beta of 0.92, suggesting lower volatility compared to the broader market.

Who Are GTN's Competitors?

GTN is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are GTN's Key Strengths?

Extensive network of television stations across the U.S.

• Strong affiliations with major broadcast networks.
• Established presence in local news and weather.
• High gross margin indicates efficient operations.

What Are GTN's Weaknesses?

Negative profit margin raises concerns about financial performance.

• Exposure to the declining traditional television viewership.
• Dependence on advertising revenue, which can be cyclical.
• High debt levels may limit financial flexibility.

What Could Drive GTN Stock Higher?

Potential increase in advertising revenue due to the 2026 midterm elections.

• Expansion of digital advertising platforms and targeted advertising solutions.
• Continued investment in local news and weather programming to attract viewers.
• Potential acquisitions of smaller broadcasting companies to expand market reach.

What Are the Key Risks for GTN?

Financial-distress signal — its Altman Z-Score of 0.55 sits in the distress zone (elevated bankruptcy risk).

• Negative return on equity (-3.4%) — the business is not currently generating profit on shareholder capital.
• Decline in traditional television viewership due to the rise of streaming services.
• Economic downturn impacting advertising spending.
• Competition from other broadcasters and digital media companies.
• Regulatory changes in the broadcasting industry impacting operations.
• High debt levels may limit financial flexibility.

What Are the Growth Opportunities for GTN?

• Expansion of Digital Advertising: Gray Media can leverage its local market presence to expand its digital advertising revenue. The digital advertising market is projected to reach $600 billion by 2026, offering significant growth potential. By offering targeted advertising solutions to local businesses, Gray Media can capture a larger share of this market. Timeline: Ongoing.
• Increased Focus on Local News and Weather: Local news and weather remain highly valued by viewers, providing a stable audience base for Gray Media. By investing in high-quality local news programming and weather forecasting, the company can attract more viewers and advertisers. This strategy can also help to differentiate Gray Media from national news networks and streaming services. Timeline: Ongoing.
• Strategic Acquisitions: Gray Media can pursue strategic acquisitions to expand its market reach and programming portfolio. The broadcasting industry is consolidating, creating opportunities for companies to acquire smaller players. By acquiring complementary businesses, Gray Media can increase its revenue and profitability. Timeline: 2026-2028.
• Development of Original Content: Gray Media can develop original content to attract new viewers and generate additional revenue streams. By creating high-quality original programming, the company can differentiate itself from competitors and build a loyal audience. This strategy can also help to reduce the company's reliance on network programming fees. Timeline: 2027-2029.
• Leveraging ATSC 3.0 Technology: The rollout of ATSC 3.0, the next generation broadcast standard, presents a significant opportunity for Gray Media. ATSC 3.0 allows for improved picture and sound quality, as well as new interactive features. By upgrading its broadcasting infrastructure to support ATSC 3.0, Gray Media can enhance the viewing experience for its customers and attract new advertisers. Timeline: 2026-2028.

What Are GTN's Competitive Advantages?

• Extensive reach across 113 U.S. television markets.
• Strong relationships with major network affiliations.
• Established presence in local news and weather broadcasting.
• Diversified programming portfolio across multiple channels.

What Does GTN Do?

Gray Media, Inc., formerly known as Gray Communications Systems, Inc., was founded in 1891 and rebranded as Gray Television, Inc. in 2002. Headquartered in Atlanta, Georgia, the company has evolved into a significant player in the television broadcasting industry. Gray Media owns and operates television stations and digital assets across 113 markets in the United States. These stations broadcast content from major networks such as ABC, CBS, NBC, and FOX, providing viewers with a wide range of programming including news, entertainment, and sports. In addition to its primary network affiliations, Gray Media operates secondary digital channels, including CW Plus Network, MY Network, the MeTV Network, Justice, This TV Network, Antenna TV, Telemundo, Cozi, Heroes and Icons, and MOVIES! Network, further diversifying its content offerings. The company also provides local news and weather channels in various markets, catering to the specific needs of local communities. Beyond broadcasting, Gray Media offers video program production services, leveraging its infrastructure and expertise to create original content. The company's extensive reach and diverse programming portfolio position it as a key player in the U.S. broadcasting landscape.

What Products and Services Does GTN Offer?

• Owns and operates television stations in the United States.
• Broadcasts content from major networks like ABC, CBS, NBC, and FOX.
• Operates secondary digital channels such as CW Plus Network and MeTV Network.
• Provides local news and weather channels in various markets.
• Offers video program production services.
• Manages digital assets related to its broadcasting operations.

How Does GTN Make Money?

• Generates revenue through advertising sales on its television stations and digital platforms.
• Receives fees from network affiliations for broadcasting their content.
• Provides video program production services for external clients.
• Monetizes its digital assets through online advertising and content distribution.

What Industry Does GTN Operate In?

Gray Media operates within the broadcasting industry, which is undergoing significant transformation due to the rise of digital media and streaming services. While traditional television viewership is declining, local news and sports remain strongholds. The industry is characterized by intense competition among broadcasters, cable networks, and streaming platforms. Consolidation is a key trend, as companies seek to gain scale and improve their negotiating power with content providers. Gray Media's focus on local markets and diverse network affiliations positions it to capitalize on the demand for local content and targeted advertising.

Who Are GTN's Key Customers?

• Viewers who watch its television stations and digital channels.
• Advertisers who purchase airtime and digital advertising space.
• Affiliated networks (ABC, CBS, NBC, FOX) that provide content.
• Local businesses seeking advertising solutions.

Over the past six months, Gray Media, Inc. insiders filed 12 SEC Form 4 transactions — 3 sales and 9 purchases. On net that is roughly 176K shares acquired (about $442K) — insiders putting money in tends to read as conviction.

Quarterly Financial Performance: Gray Media, Inc.

Revenue for Gray Media, Inc. came in at $839.0M during Q2 FY2026, a 9.2% improvement versus the preceding quarter. The company recorded net income of $14.0M, with diluted EPS of $0.14. Quarter-over-quarter revenue has been mixed, typical for a small-cap company operating in Communication Services. Across the four most recent quarters, GTN averaged $-0.07 in diluted EPS.

GTN Valuation & Market Position

With a $476M market cap, Gray Media, Inc. sits in the small-cap segment of the market. Analyst price targets span from $7.00 to $7.00, with a consensus of $7.00. At the current price of $4.87, that implies approximately 44% upside potential. Relative to its peer group, GTN's quantitative score of 43/100 is roughly in line with the peer average of 45/100.

Return on equity for Gray Media, Inc. stands at -3.4%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -0.9%, showing how much profit it generates from its asset base. Its free cash flow yield is 11.3%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.20 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -25.1%, the inverse of the P/E and a quick read on earnings relative to price.

Gray Media, Inc.'s Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.55 places it in the distress zone, a signal of elevated financial risk.

Gray Media, Inc. has beaten Wall Street's EPS estimate in 4 of its last 8 reported quarters — more hits than misses. Reported results have landed about 37.8% above estimates on average.

Company Profile

Gray Media, Inc. operates in the Broadcasting industry within the Communication Services sector. It is headquartered in Atlanta, US. The company is led by CEO Hilton Hatchett Howell Jr.. GTN has traded publicly since 2002.

GTN Financials

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GTN Analyst Consensus

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Latest Gray Media, Inc. Analysis

Gray Media, Inc. Communication Services Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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