Tribune Publishing Company (formerly tronc, Inc.), a media company, publishes newspapers worldwide. The company operates in two segments, troncM and troncX. It publishes daily newspapers; weekly newspapers; and digital platforms, such as Websites and mobile applications. The company also provides various digital marketing services, which include the development of mobile Websites, search engine marketing and optimization, social media account management, and content marketing for its customers' Web presence for small to medium size businesses. In addition, it offers TCA, a syndication and licensing business that provides daily news service and syndicated premium content to 1,700 media and digital information publishers; and forsalebyowner.com, a national consumer-to-consumer focused real estate Website. The company is based in Chicago, Illinois.
TPCO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for TPCO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Tribune Publishing Co ranked in the 21th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 69.17%. As for the metrics that stood out in our discounted cash flow analysis of Tribune Publishing Co, consider:
The compound growth rate in the free cash flow of Tribune Publishing Co over the past 5.21 years is -0.19%; that's better than only 12.47% of cash flow producing equities in the Consumer Cyclical sector, where it is classified.
The business' balance sheet suggests that 8% of the company's capital is sourced from debt; this is greater than merely 19.23% of the free cash flow producing stocks we're observing.
TPCO's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 42.85% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Consumer Cyclical that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as TPCO, try BURL, CROX, GME, NKE, and VAC.
Tribune Publishing ([[TPCO]] +2.8%) has extended its cooperation agreement with Alden Global Capital and has appointed Randall D. Smith of Alden to the BOD, effective immediately.The Board size has been increased from six to seven members. In addition, the agreement contains standstill and voting commitments surviving until the conclusion of...
Tribune Publishing Company (TPCO) today announced that it has extended its cooperation agreement with Alden Global Capital LLC (“Alden”) and has appointed Randall D. Smith of Alden to the Board of Directors, effective immediately. In addition, the cooperation agreement contains standstill and voting commitments surviving until the conclusion of the Company’s 2021 Annual Meeting, subject to certain exceptions. “We are pleased to extend our cooperation agreement with our largest stockholder and to welcome Randy to the Board,” said Philip G. Franklin, Chairman of the Board.
Tribune Publishing (TPCO -0.5%) is in discussions to give another board seat to Alden Global Capital, The Wall Street Journal reports. Specifically, that seat would go to Alden co-founder Randall Smith as part of an extended standstill agreement. The standstill agreement, originally set last year, expires Tuesday. Alden received two...
How do you pick the next stock to invest in? One way would be to spend days of research browsing through thousands of publicly traded companies. However, an easier way is to look at the stocks that smart money investors are collectively bullish on. Hedge funds and other institutional investors usually invest large amounts of […]
Ladies and gentlemen, thank you for standing by, and welcome to the first-quarter 2020 Tribune Publishing Company earnings conference call. Before we begin, I would like to remind you that management will make forward-looking statements during the course of this call, and our actual results could differ materially. Statements containing words such as may, believe, anticipate, expect, intent, plan, will, continue, estimate, outlook or other similar expressions are forward-looking statements.