Gray Media Inc. (GTN) vs Newsmax Inc. (NMAX)

Gray Media Inc. and Newsmax Inc. are both Broadcasting companies. Newsmax Inc. is the larger, with a market value of $1.4B against $479.3M — 3.0× the size. Gray Media Inc. has negative trailing earnings, so its P/E is not meaningful; Newsmax Inc. trades at 208×. Newsmax Inc. grew revenue faster over the last twelve months: 11.1% against −11.3%. Gray Media Inc. has the higher net margin (−1.84% vs −3.15%) and the higher return on invested capital (3.25% vs 0.00%). Across the 17 metrics below, Gray Media Inc. leads on 10 and Newsmax Inc. on 7.

Valuation

Metric GTN NMAX Broadcasting median
P/E n/m 208.24 —
P/S 0.14 6.87 0.14
P/B 0.21 12.34 0.86
Price to free cash flow 3.07 n/m 6.42
EV/EBITDA 8.53 n/m 8.64
EV/Sales 1.93 6.24 1.31
Earnings yield (14.78%) 0.48% (16.05%)
Free cash flow yield 32.53% (5.13%) 0.00%

Profitability

Metric GTN NMAX Broadcasting median
Gross margin 26.05% 39.64% 40.36%
Operating margin 13.82% (7.40%) (12.31%)
Net margin (1.84%) (3.15%) (8.55%)
Free cash flow margin 4.64% (35.23%) (0.22%)
Return on equity (2.69%) (5.82%) (5.70%)
Return on assets (0.56%) (2.62%) (5.59%)
Return on invested capital 3.25% 0.00% (0.41%)

Growth

Metric GTN NMAX Broadcasting median
Revenue growth (TTM) (11.30%) 11.13% (11.30%)
EPS growth (last fiscal year) (141.96%) 45.38% —
Revenue growth, 5-year CAGR 5.39% — 1.91%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric GTN NMAX Broadcasting median
Debt to equity 2.13 0.00 0.46
Current ratio 0.95 2.39 1.41
Net debt to EBITDA 7.66 1.40 3.66

Dividend

Metric GTN NMAX Broadcasting median
Dividend yield 4.14% — 4.14%
Payout ratio 0.14 — 0.00

Size

Metric GTN NMAX Broadcasting median
Market cap 479.31m 1.43b 185.13m

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