Monday, February 02, 2009

Dipping further, GCI shares nearly touch new low

The company's stock has traded as low as $5.04 today -- just shy of its 52-week low of $5 -- as investors dump more shares following Friday's fourth-quarter earnings release. The S&P-500 index, a broad measure of overall stock market activity, was recently down less than 1%.
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7 comments:

  1. Anonymous2/02/2009 11:32 AM

    Didn't I read somewhere over the weekend that some stock analyst already downgraded Gannett stock to junk status?
    I'll Google around, but seems that the writedown was the reason.beepaph

    ReplyDelete
  2. Anonymous2/02/2009 11:36 AM

    Yes, here it is, as reported by Reuters:
    NEW YORK, Jan 30 (Reuters) - Standard & Poor's said on Friday it may cut its ratings on Gannett Co (GCI.N) into junk territory, citing concerns about the newspaper publisher's revenue and earnings declines.
    The largest U.S. newspaper chain and publisher of USA Today on Friday reported a 36 percent drop in its profit for the fourth quarter and said it plans to write down the value of its newspapers by up to $5.2 billion. Declines in revenue and earnings before interest, taxes, depreciation and amortization may not moderate enough over the intermediate term for Gannett to maintain its investment grade rating, S&P said.

    ReplyDelete
  3. Anonymous2/02/2009 11:36 AM

    Jim, how about a predict Dubow's bonus thread.

    ReplyDelete
  4. Anonymous2/02/2009 12:27 PM

    Stock doesn't get rated as junk, debt does. That would make it more expensive for Gannett to borrow.

    That being said, Gannett could be headed for territory once called penny stocks because they were worth, well, pennies. Time will tell about that.

    ReplyDelete
  5. Anonymous2/02/2009 12:49 PM

    After listening to the most recent conference call I can think of little reason to buy GCI stock let alone hold on to it. The company’s real revenue generators continue to get trashed of value and the dividend, the only thing of interest to remaining investors, will likely get cut this month – as it should.

    ReplyDelete
  6. Unknown2/02/2009 12:55 PM

    This comment has been removed by the author.

    ReplyDelete
  7. Anonymous2/02/2009 2:11 PM

    STOCK Downgrade today:
    2-Feb-09 Benchmark Downgrade from Buy to Hold.
    4-Feb-08 Bear Stearns Downgrade from Outperform to Peer Perform.

    ReplyDelete

Jim says: "Proceed with caution; this is a free-for-all comment zone. I try to correct or clarify incorrect information. But I can't catch everything. Please keep your posts focused on Gannett and media-related subjects. Note that I occasionally review comments in advance, to reject inappropriate ones. And I ignore hostile posters, and recommend you do, too."

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