Analyst predicts Gannett shares heading for $15

Updated at 6:03 p.m. ET: Lehman Brothers analyst Greg Huber now forecasts GCI’s stock will fall to $15. It closed today at $17.35, after trading as low as $16.43 on sales volume nearly twice the 4.6 million daily average.

Huber, in a report today, cited rising costs for newsprint (the paper used to print newspapers) and declining ad revenue, says Bloomberg News. Huber cut his forecast 29%, to $15, the sixth time he’s lowered his GCI target this year. He projected 2008 profit of $3.65 a share, down from a previous $3.70, on a more than 12% drop in newspaper ad sales. “We do not think it is too late to sell Gannett shares,” Bloomberg quotes Huber as saying.

Gannett will probably report second-quarter earnings of $1.03 a share tomorrow, Huber said. Analysts expect $1.04, the average of eight estimates compiled by Bloomberg.

Earlier: GCI stock has recovered considerably: It’s now at $17.35, down just 1.5%.

29 Responses to “Analyst predicts Gannett shares heading for $15”

  1. Anonymous Says:

    Here’s a preview on Wednesday’s call from http://www.thestreet.com:

    http://tinyurl.com/69nwnl

  2. Anonymous Says:

    Soon there will be no one left to write Kilroy on the Blue Ball.

  3. Anonymous Says:

    What an absolutely Pathetic stock. How low will this thing go??? It just keeps dropping and dropping, It will be at 10 dollars a share soon enough.

    I just turned 21 and my Grandmother died in 2004 left me at that time over 65,000 dollars worth of stock which was supposed to help me for college. However, since I was under 21 I could not touch it (why oh why did she not make it when I was 18??????) now i have around 11,000 follars and I just turned 21 a week ago. Ive lost over 50,000 dollars in three and a half years.

    So much for college, I’m a fucking stock boy at Kroger, I hate my fucking life.

  4. Anonymous Says:

    The blue ball is getting shipped to Des Moines to replace that 1942 globe in the lobby…

  5. Anonymous Says:

    5 newspaper stocks hit new lows – again

    (GateHouse dips to $1 / share)

    http://tinyurl.com/5dge6s

  6. Anonymous Says:

    Haven’t heard reference to the “Blue Ball” at USAT in awhile. Looking back on that, maybe everything going on with Gannett stock and the terrible morale at USAT is some sort of cosmic justice. Seems like ever since corporate and USAT moved into that building it’s been nothing but bad news, staff cuts and a host of other problems, many of which have been neglected or created by some of the managing editors – one who is showing early signs of dementia. And I am not kidding. What’s scary is that the people above haven’t even noticed or are choosing to do nothing about it. Ken P., wake up. You have a major problem brewing in one department. Need a hint? Which department lost three DMEs in the space of a year? All fled on their own. But I digress… Yeah, the stock is a problem. But look at the people and conditions in this company. There you will find some of the reasons for the financial issues.

  7. Anonymous Says:

    Digg pushing more traffic to traditional news sites:

    http://tinyurl.com/57jowr

  8. Anonymous Says:

    Call me crazy, and call me optimistic. But if we have the right leader we change change course.

    People thought Apple was dead when its stock tanked down to $12 a share. Jobs came in and has brought back quite an empire.

    Hmm…he could be a great Board member.

    Or, lets sway Obama from politics to running GCI. LOL

  9. Anonymous Says:

    Why doesn’t the Gannett Benefits page work anymore? I’m trying to sell some Gannett Shares and the site is down.

  10. Anonymous Says:

    You cannot pay Steve Jobs enough to work for Gannett.
    Gannett has lived long enough. This puppy will soon be put out of misery.

    R.I.P Gannett.

    Cash your stock while you can.

    http://washington.bizjournals.com/washington/stories/2008/07/14/daily22.html?ana=yfcpc

  11. Anonymous Says:

    @2:20

    Gannett’s YBR site links have been hosed for a couple of weeks, at least.

    Suspicious? Slightly. Hard to dump the stock if you can’t access the site.

    Go here instead:

    http://resources.hewitt.com/gannett/

    Do they really think Information Center journalists can’t use the Google?

  12. Anonymous Says:

    I just got this when I tried to log on.

    We’re sorry, but the Gannett’s Your Benefits Resource is temporarily unavailable due to system enhancements and will be available on Monday, July 7. We apologize for the inconvenience.

    Am I missing something… like a week.

  13. Anonymous Says:

    C’mon people — these conspiracy theorists are getting to be a bit much. The YBR website works just fine — I logged on five minute ago.

  14. Anonymous Says:

    “Gannett has lived long enough. This puppy will soon be put out of misery.
    R.I.P Gannett”

    Ithink you’re overstating the case. Gannett is not on the verge of going out of business. They are still making profits, still have free cash flow, still make debt payments with no problem, and all these newspapers and TV stations and and web sites and affiliations do in fact have market value even now. It’s dire, but it’s nowhere near as bad as, say, McClatchy.

    It’s still got a lot of bad patch ahead, but GCI isn’t going away. They’ll shake off a lot of journalists, maybe close or sell some properties, cut expenses as brutally as they need to (and that’s always been their specialty), but they’re a long way from insolvency.

  15. Anonymous Says:

    @4:21

    If you use the link provided by our HR Dep’t, you get the out of service message.

    If you use the direct link provided above, you should be able to log in.

    Of course, it might depend on what paper you’re at.

  16. Anonymous Says:

    For the benefits web site use…

    http://www.ybr.com/gannett

  17. Anonymous Says:

    yeah, YBR is up, but don’t count on it. I requested a hardship withdrawal from my account. It said the form would be in my hands within 3 business days. That was two weeks ago. I’ve had issues with YBR before. No wonder we are using them.

    Just wait till YBR takes over HR departments in the field. Oh, of course they will leave one person behind to field complaints and firings.

  18. Anonymous Says:

    No conspiracy here just obsolete links. More poor communication from Corporate.

    As far as HR not knowing or communicating, most astute observers noted years ago that that GCI hasn’t really had much of an HR department since Madelyn Jennings retired and her position wasn’t filled for quite a while. (I believe Tom Chapple was the surrogate) The HR function in Gannett is primarily for avoiding employee related legal problems, drug testing, maintaining a salary grade schedule and working out severence packages and notices. On the corporate level they stopped representing employees eons ago, around the time that the spousal surcharge was introduced

  19. Anonymous Says:

    I’m a former Gannetteer, and I haven’t been able to log in for a couple of weeks, either (I haven’t yet moved my 401k to an IRA, but fortunately, I changed my investment out of Gannett stock more than a year ago). And my husband can’t get in, either.

  20. Anonymous Says:

    Try this:

    http://resources.hewitt.com/gannett/

  21. Anonymous Says:

    http://resources.hewitt.com/gannett/

    This link works. Just moved another small amount of GCI to S&P 500.

  22. Anonymous Says:

    YBR’s site changed July 7. I did get the following e-mail at work, though the promised folo never arrived:

    We are pleased to tell you that effective July 7th, the YBR website for the 401(k) plan and our health plans will merge into one site. The address is still the same – http://www.ybr.com/gannett. Access to 401(k) and health plan information will be through a single sign-on. The new site is easier to navigate, contains new tools for retirement modeling and has the health information with which you are already familiar.

    Attached you’ll find a short brochure explaining a bit more about the site. In addition, on the evening of July 6th, we’ll send you a brief reminder about the launch of the new site.

    We’re excited about this change and the enhanced features of the new website as it will provide more tools and information for employees in a single location. If you have any questions, please contact your local Human Resources representative.

  23. Anonymous Says:

    Maybe we can get Roxy Horning to assist us? Do you think she even owns a computer?!?!

  24. Anonymous Says:

    We will continue to cut expenses to our way of profitability. What a joke. We continue to cut revenue generating expenses, then the VPs wonder why revenue is down.
    They are idiots.

  25. Anonymous Says:

    Are people so dumb they can’t get into a web site that thousands of others are. No wonder this company is going down the tubes.

    Oh, I forgot, they took the money and headed to Columbia…or was it Brazil?

  26. Anonymous Says:

    ANON 10:29: If you’re referring to the country, it’s Colombia, not Columbia.

    Dumb is as dumb does…

  27. Anonymous Says:

    Breaking News Forecast
    Date 07-16-08

    GCI closing at 52 week low.

    Gannett is proving all the gravitational theories right.

  28. Anonymous Says:

    “Are people so dumb they can’t get into a web site that thousands of others are. No wonder this company is going down the tubes.”

    The company’s going down the tubes b/c of crappy HR drones who can’t be bothered to change a hyperlink.

    Odd that the same error seems to be happening at every newspaper across the country…

  29. Anonymous Says:

    Yes, it is odd that these glitches are happening at multiple Gannett papers around the country.

    It it weren’t for this blog, I would have thought it was just me.

    I got to the web site, but couldn’t log on. They apparently ditched old names and/or passwords in this process. I got locked out and tried again several days later, rinse, repeat, rinse, repeat. Even though I’m pretty sure I had my name/password right, I finally gave up and ordered a new PIN, which was supposed to arrive in days.

    Three WEEKS after THAT, I got my PIN and was able to give myself a new password so I could move my mandatory Gannett stock over to fixed income, as I’ve always done every month.

    That delay, of course, let Gannett suck more off the top of those assets at a most opportune time for the corporation (and least opportune for me), so more than 1 out of every 3 dollars they contributed were taken back.

    Handy, huh? But I could just be a conspiracy theorist, LOL.

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