Financial Contrast: Gaia (NASDAQ:GAIA) & Gray Media (NYSE:GTN.A)

Gaia (NASDAQ:GAIA) and Gray Media (NYSE:GTN.A) are both small-cap consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, dividends and analyst recommendations.

Institutional & Insider Ownership

40.5% of Gaia shares are held by institutional investors. Comparatively, 0.3% of Gray Media shares are held by institutional investors. 28.6% of Gaia shares are held by company insiders. Comparatively, 13.3% of Gray Media 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 Gaia and Gray Media, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gaia	1	0	0	0	1.00
Gray Media	0	0	0	0	0.00

Profitability

This table compares Gaia and Gray Media’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gaia	-4.54%	-4.39%	-2.94%
Gray Media	-2.75%	-2.51%	-0.53%

Valuation & Earnings

This table compares Gaia and Gray Media”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gaia	$98.95 million	0.66	-$4.49 million	($0.18)	-14.44
Gray Media	$3.10 billion	0.38	-$85.00 million	$1.51	7.44

Gaia has higher earnings, but lower revenue than Gray Media. 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.

Volatility and Risk

Gaia has a beta of 0.93, meaning that its share price is 7% less volatile than the S&P 500. Comparatively, Gray Media has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500.

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.

About Gray Media

Gray Television, Inc., a television broadcast company, owns and operates television stations and digital assets in the United States. As of February 28, 2019, it owned and operated television stations in 91 television markets broadcasting approximately 400 program streams, including approximately 150 channels affiliated with the CBS Network, the NBC Network, the ABC Network, and the FOX Network. The company also broadcasts secondary digital channels affiliated to ABC, CBS, and FOX, as well as channels affiliated with various other networks and program services, including CW Plus Network, MY Network, the MeTV Network, This TV Network, Antenna TV, Telemundo, Cozi, Heroes and Icons, and MOVIES! Network; and local news/weather channels in various markets. In addition, it is also involved in the video program production, marketing, and digital businesses including Raycom Sports, Tupelo-Raycom, and RTM Studios; and production of PowerNation programs and content. 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 1897 and is headquartered in Atlanta, Georgia.