Gray Media (NYSE:GTN – Get Free Report) and Gaia (NASDAQ:GAIA – Get Free Report) are both small-cap consumer discretionary companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, profitability, risk, analyst recommendations, valuation, earnings and institutional ownership.
Institutional and Insider Ownership
78.6% of Gray Media shares are held by institutional investors. Comparatively, 40.5% of Gaia shares are held by institutional investors. 15.2% of Gray Media shares are held by company insiders. Comparatively, 28.6% of Gaia shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Analyst Ratings
This is a breakdown of current ratings for Gray Media and Gaia, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Gray Media | 0 | 2 | 2 | 0 | 2.50 |
Gaia | 0 | 0 | 2 | 1 | 3.33 |
Volatility and Risk
Gray Media has a beta of 1.2, meaning that its share price is 20% more volatile than the S&P 500. Comparatively, Gaia has a beta of 0.96, meaning that its share price is 4% less volatile than the S&P 500.
Profitability
This table compares Gray Media and Gaia’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Gray Media | 7.72% | 12.75% | 2.63% |
Gaia | -5.62% | -5.41% | -3.64% |
Earnings & Valuation
This table compares Gray Media and Gaia”s revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Gray Media | $3.64 billion | 0.12 | $375.00 million | $2.31 | 1.93 |
Gaia | $90.36 million | 1.10 | -$5.23 million | ($0.21) | -18.95 |
Gray Media has higher revenue and earnings than Gaia. Gaia is trading at a lower price-to-earnings ratio than Gray Media, indicating that it is currently the more affordable of the two stocks.
Summary
Gray Media beats Gaia on 9 of the 14 factors compared between the two stocks.
About Gray Media
Gray Television, Inc., a television broadcasting company, owns and/or operates television stations and digital assets in the United States. It also broadcasts secondary digital channels affiliated to ABC, CBS, NBC, and FOX, as well as various other networks and program services, including CW Plus Network, MY Network, the MeTV Network, Circle, Telemundo, THE365, and Outlaw; and local news/weather channels in various markets. It owns and operates television stations and digital assets that serve television markets in the United States. The company was formerly known as Gray Communications Systems, Inc. and changed its name to Gray Television, Inc. in August 2002. Gray Television, Inc. was founded in 1891 and is headquartered in Atlanta, Georgia.
About Gaia
Gaia, Inc. operates a digital video subscription service and online community for underserved member base in the United States, Canada, Australia, and internationally. The company has a digital content library with various titles in Spanish, German, and French languages available to its subscribers on internet connected devices. Its network includes Yoga channel, which provides access to streaming yoga, Eastern arts, and other movement based classes; Transformation channel that offers content in the areas of spiritual growth, personal development, and expanded consciousness; Alternative Healing channel, which features content focused on food and nutrition, holistic healing, alternative and integrative medicines, and longevity; and Seeking Truth channel that provides access to interviews and presentations in the ancient wisdom and metaphysics genre. The company was formerly known as Gaiam, Inc. and changed its name to Gaia, Inc. in July 2016. Gaia, Inc. was incorporated in 1988 and is headquartered in Louisville, Colorado.
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