Gray Media (NYSE:GTN) Announces Quarterly Earnings Results, Misses Expectations By $0.20 EPS

Gray Media (NYSE:GTN) issued its earnings results on Friday. The company reported $0.66 earnings per share for the quarter, missing the consensus estimate of $0.86 by ($0.20), FiscalAI reports. The company had revenue of $972.00 million for the quarter, compared to analysts’ expectations of $955.75 million. Gray Media had a negative net margin of 0.83% and a negative return on equity of 1.12%. The company’s revenue was up 29.8% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.24) earnings per share.

Here are the key takeaways from Gray Media’s conference call:

• Political advertising hit a record: Q3 political revenue was $198 million, above guidance, and Gray expects $630 million–$640 million through Election Day for 2026, surpassing its prior record.
• Debt reduction and refinancing are expected to lower interest costs: Gray plans to pay down another $175 million–$200 million of debt by year-end and anticipates at least $40 million in lower interest costs in 2027.
• Retransmission revenue is showing improvement: Q3 net retransmission revenue was $150 million, at the high end of guidance, and management expects gross and net retransmission revenue to grow in 2027.
• Underlying core advertising remains pressured: Q3 core ad revenue excluding acquisitions was down mid-single digits, while Q4 is pacing down low to mid-single digits amid political crowd-out and macroeconomic softness. Management said early Q1 same-station pacing is positive, though comparisons are challenging.
• Digital revenue and acquisition integration are progressing: Digital revenue grew 12% year over year, and Gray expects acquired-station expenses to decline as integration continues, with the benefits largely flowing through in 2027.

Gray Media Price Performance

GTN opened at $4.89 on Friday. The firm has a market cap of $504.11 million, a PE ratio of 16.88, a P/E/G ratio of 0.10 and a beta of 1.01. The stock has a 50-day moving average price of $4.65 and a 200-day moving average price of $4.59. Gray Media has a 1 year low of $3.55 and a 1 year high of $6.43. The company has a debt-to-equity ratio of 2.73, a current ratio of 0.95 and a quick ratio of 0.95.

Gray Media Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 31st. Stockholders of record on Tuesday, December 15th will be given a $0.08 dividend. This represents a $0.32 annualized dividend and a dividend yield of 6.5%. The ex-dividend date of this dividend is Tuesday, December 15th. Gray Media’s payout ratio is currently 110.34%.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently commented on the stock. Zacks Research lowered shares of Gray Media from a “strong-buy” rating to a “hold” rating in a report on Wednesday, October 28th. Wall Street Zen downgraded shares of Gray Media from a “buy” rating to a “hold” rating in a research note on Saturday. Finally, Weiss Ratings lowered Gray Media from a “sell (d+)” rating to a “sell (d)” rating in a research report on Friday, October 9th. Three investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $7.88.

Trending Headlines about Gray Media

Here are the key news stories impacting Gray Media this week:

• Positive Sentiment: Full-year 2026 revenue guidance is $3.7 billion, above the $3.6 billion consensus estimate. Fourth-quarter revenue guidance of $1.1 billion is in line with expectations. Gray Media Announces Third Quarter Financial Results
• Positive Sentiment: Third-quarter revenue was $972 million, topping analysts’ $955.75 million estimate and rising 29.8% year over year. Gray Media third-quarter earnings report
• Positive Sentiment: Gray Media authorized a quarterly cash dividend of $0.08 per share, payable December 31 to shareholders of record on December 15. Gray announces quarterly cash dividend
• Negative Sentiment: Third-quarter EPS was $0.66, below analysts’ estimates of roughly $0.84–$0.86. The earnings shortfall may weigh on sentiment despite the revenue beat; the company also reported a negative net margin. Gray Media misses Q3 earnings estimates

About Gray Media

Gray Media, formerly known as Gray Television, is a multimedia company that owns and operates local television stations and related digital media properties in markets across the United States. Its stations provide local news, weather, sports, public affairs and entertainment programming, while also distributing content through websites, mobile platforms and other digital channels.

The company’s broadcast portfolio includes affiliates of major networks such as ABC, CBS, NBC, FOX and The CW, as well as independent and specialty stations.