Wondering if New York Times shares are a bargain right now? Let’s dig into what’s really behind the price so you can make a smart decision.
The stock has made solid moves lately, rising 13.2% in the last month and up 23.3% year-to-date, making both the growth story and valuation conversation timely.
Recently, New York Times hit the headlines with its continued digital subscription growth and innovative content partnerships, sparking renewed investor interest. Wall Street seems to be reacting to the company’s evolving digital strategy, which may be driving recent share price activity.
As it stands, New York Times scores a 2 out of 6 on our value checklist, which is not exactly a slam dunk for undervaluation at first glance. We’ll break down the usual ways to size up value in a moment, and share an even more insightful approach at the end of this article.
New York Times scores just 2/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.
A Discounted Cash Flow (DCF) model estimates a company’s intrinsic value by projecting its future cash flows and discounting them back to today’s dollars. The idea is to figure out how much New York Times is really worth if you consider what it might earn in the future and adjust for the time value of money.
Currently, New York Times has a trailing twelve-month free cash flow of $540 million. Analyst forecasts project its free cash flow to gradually increase, reaching $548 million by 2027. Beyond the publicly available five-year estimates, additional projections are conservatively extrapolated by Simply Wall St, with free cash flow estimates continuing to edge up over the next decade.
According to the two-stage Free Cash Flow to Equity model, the estimated intrinsic value for New York Times comes in at $83.83 per share. This model suggests the stock is currently trading at a 23.1% discount to its true value based on those forward-looking cash flows.
In short, if you put your faith in the DCF approach, New York Times stock appears to be meaningfully undervalued at the moment.
Result: UNDERVALUED
Our Discounted Cash Flow (DCF) analysis suggests New York Times is undervalued by 23.1%. Track this in your watchlist or portfolio, or discover 913 more undervalued stocks based on cash flows.
NYT Discounted Cash Flow as at Nov 2025
Price-to-Earnings (PE) is a widely used valuation metric for profitable companies like New York Times because it directly compares what investors are paying for each dollar of earnings. This makes it particularly effective for evaluating businesses with stable profitability, as it reflects both earnings capacity and market expectations in a single figure.
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A company’s “normal” or “fair” PE ratio depends on several factors. Firms with higher growth prospects, stronger profitability, or lower risk generally justify higher PE ratios. In contrast, those with less robust growth or greater uncertainty often trade at lower multiples. Essentially, the market is willing to pay more for companies it expects to outperform over time.
Currently, New York Times trades at a PE of 31x. That is noticeably higher than both the average PE for media peers (17x) and the broader industry average (15.4x). What also stands out is the proprietary Fair Ratio from Simply Wall St, which sits at 20.5x. This Fair Ratio uses a more holistic approach than a simple peer or industry average by factoring in not just the company’s sector but also its earnings growth trends, margins, market capitalization, and overall risk profile. Because of this, it is a more meaningful benchmark for judging value.
Comparing the actual PE of 31x to the Fair Ratio of 20.5x, it appears New York Times stock is trading at a premium that outpaces what fundamentals suggest is justified. This points to the shares being potentially overvalued relative to their long-term earnings power.
Result: OVERVALUED
NYSE:NYT PE Ratio as at Nov 2025
PE ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1437 companies where insiders are betting big on explosive growth.
Earlier we mentioned that there’s an even better way to understand valuation, so let’s introduce you to Narratives. A Narrative is your personalized story about a company, where you connect your perspective on New York Times, such as its digital innovations, subscriber growth, or competitive risks, to your own financial forecast and what you believe is a fair value. Narratives help you see beyond just numbers by tying what you know and expect about the business directly to future revenue, earnings, and margins, and then to a target price.
This approach is accessible to everyone on Simply Wall St’s Community page, where millions of investors create and update their own Narratives to clarify when they think it is time to buy or sell, by comparing their Fair Value to the current share price. The real power lies in how Narratives are dynamic because they automatically update when news breaks or fresh earnings are released, so your insights can stay ahead of the market.
For example, some investors think New York Times could rise to $70 due to its strong digital expansion and global reach, while others are more cautious, targeting $52 because of concerns about rising competition and tech disruption. Narratives let you see and test both sides, so you can make smarter, story-driven investment decisions in real time.
Do you think there’s more to the story for New York Times? Head over to our Community to see what others are saying!
NYSE:NYT Community Fair Values as at Nov 2025
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include NYT.
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