Gannett Co., Inc. (GCI)

This met a high level screen to indicate a buy and strong outperform against its peers (other tickers in its industry). My 1st version of this spreadsheet devles deep into the company's balnace sheet and recent income statements, combined with other relevant price data for the company including insider/institutional holdings, short interest, debt levels, etc.
Testing capabilities of this 1st version of my automated, valuation spreadhseet matched with my personal criteria and see how it holds up.

Strong Move Up Likely on Volatile Stock

Because it's worth more than it's current price.

Come on. Newspapers are not going to die.

Negative earnings, whopping $3.5 bil debt, 18% of shares shorted, in a dying industry, this stock is simply too expensive at $9.00.

This one appears pretty risky... I was in Gannett before at $40 something per share, rode it down to $8 per share, and dumped out. I'm not buying it for the dividend - how long can an 11% dividend last? What I am looking at, however, is that the company has strong financials (other than revenue growth and profit...). If you believe that something will survive the newspaper shake out, I think that this stock is the one.

Don't argue with the upswing.

The new bull market has begun (the trickiest, but the biggest one ever).

rebound

tigerpack pick

The high amount of debt keeps me up at night but if I think about the ad revenue and the long history of newspapers I am able to go back to sleep.

$10 a share

Gannett's USA Today is a daily paper that is not affected by the reader defection to free Internet news. It contains well written articles and a weather map that would please the most demanding reader. As local and state papers fall to the wayside I expect to see USA Today pick up the slack and run for a touchdown.

if this was so hot, Rupert would of bought this, but its not!!!, the internet is eating its market share, the only place they can sell newspapers these days are at retirement homes and doggy parks!!

Good products sell themselves.

The S&P 500 will continue to suffer severe losses throughout year 2009.

This is an easy call to make.

Cheap stock, contrarian call. Eventually they will figure out how to make money again. Debt load is large but should be manageable. Cashflow is strong, 2008 loss of $29 / share was due to non cash write downs. Underlying cashflow was over a $billion vs. dividends of $366 million.

Need a strong stomach to ride, but should be worthwhile.

There not out of business yet .

And its priced under 3 times net earnings not cash flow net earnings with industry normal debt . A great portfolio of assets . They took a huge write down already . They may have to do more but at this point the % of tangable assets on the sheets are making up the larget protion . GCI has a diverse grouping of assets and is the right size to be aquired . Its cash flow positive if you lift the accounting smoke and mirrors while everyone talks about a depression . It is a proxy on the news business in the USA but has worldwide assets . This is a no brainer here for total return for people with a long term horizon . If they lowered the dividend to buy back shares and or lower debt I doubt the price would be effected . This is a wondeful opertunity at this price . They are taking the right steps to survive and grow out of the downturn . Don't think about where the PPS came from but where its going while your paid market interest if the dividendis maintained at 5% . God Bless .

top 20 stocks to sell (10/6/08 LN)

Picking the 10 stocks in the S&P 500 with the highest dividend yield every year. This is the second year, GCI is 7th with 9.40%.