Is The New York Times Co. overvalued or undervalued?

As of 6 August 2025, the valuation grade for The New York Times Co. moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears fairly valued based on its current metrics, with a P/E ratio of 31, a Price to Book Value of 5.30, and an EV to EBITDA ratio of 20.06. In comparison, its peer, which has a P/E of approximately 31.26 and an EV to EBITDA of 19.96, supports the notion that The New York Times Co. is aligned with industry standards.
Despite the fair valuation, the stock has underperformed against the S&P 500 in the short term, with a 1-year return of 6.21% compared to the S&P 500's 17.14%. However, over a 3-year period, it significantly outperformed the benchmark with a return of 95.45% versus 70.41%. This mixed performance underscores the importance of considering both current valuation metrics and historical performance when assessing the company's investment potential.