The McClatchy Company (NYSE:MNI) Proves Publishing Not Dead, Up 9.02%

Posted by Ryan Mandell April 25, 2013 0 Comment 1321 views


Northern, WI 04/25/2013 (GDPInsider) –  The McClatchy Company (NYSE:MNI) released its first quarter earnings for 2013 recently and despite losses in certain key areas, revenue trends improved slightly over figures reported in 2012. The stock is up 9.02% having opened the day’s trading at $2.46.

The McClatchy Company is half digital, half print advertising and news company and the company has a wide array of product offerings in a diverse market. The McClatchy Company has 30 daily newspapers in its stable of offerings and several niche publications. There is also a direct marketing and direct mail offering which adds to the company’s revenues of $276.7 million for the first quarter of 2013.

Losses were sustained in Q1 2013 and totalled $12.7 million or 15 cents a share. Analysts point to the increase in net loss in this present quarter which is up significantly on the $2.1 million or 2 cents a share loss reported for Q1 2012. There were however some positive signs and the company exceeded expectations with sales in its digital subscription packages. Indeed the numbers under The McClatchy Company’s digital side of the business is a quite a silver lining and the company reported an increase in digital-only advertising revenues of 8.9% on figures recorded in Q1 2012.

The company’s earnings report shows that revenues from non-traditional sources (print ads etc.) has climbed to 38.5% of total advertising revenues. A good sign for a publishing company, given the strong trends towards customer interaction in a wholly digital environment. President and CEO Pat Talamantes, said in a release that there was general satisfaction at the growth in circulation revenues and that these programs “continue to exceed our expectations.”

Insider transactions on the stock increased 99.46% and analysts have set a target price of $3.00. The stock is trading 4.25% above its 20-day moving average and is up 76.67% on its 52-week low of $1.50. The stock has a forward P/E of 6.10 and the market cap is $211.30 million. The RSI for the stock is 54.12 and the technical chart has seen a northward climb from the steep drop shown at the end of March 2013.

 Is MNI a solid investment at these levels? Get valuable updates and exclusive insights here.

 

Disclosure:

WallStreetAnalyzed.com is not a registered investment advisor and nothing contained in any materials should be construed as a recommendation to buy or sell securities. Investors should always conduct their own due diligence with any potential investment. Please visit WallStreetAnalyzed.com website, for complete risks and disclosures.


About Ryan Mandell

Ryan Mandell is our senior staff writer covering the White House for Political Report, Ryan also coordinates with the main newsroom news items and contributing write-ups on cultural, social and political activities. Ryan holds an undergraduate degree in journalism, a Doctorate in international relations and a Master Degree in mass communications with an emphasis in print journalism. Ryan also covered the International Society of Social Defense congress in Spain in 2007 and taken part in the Global Forum on economic policies

View all post by Ryan Mandell Visit author's website

Write Your Comment