1. Gray Media, Inc. (NYSE:GTN)
Stock Price: $3.80
Number of hedge fund holders: 24
Gray Media, Inc. (NYSE:GTN), formerly known as Gray Television, Inc., is a prominent American television broadcasting company. The company has expanded its reach to cover over 36% of U.S. television households. The broadcaster’s portfolio includes affiliations with major networks such as ABC, CBS, NBC, and Fox, positioning it as a significant player in the broadcast television industry.
Gray Media, Inc. (NYSE:GTN), in its recent outlook, has indicated intentions to capitalize on the burgeoning demand for content creation facilities. In this line, the company announced an acquisition plan for the television division of Meredith Corporation for $2.7 billion, expanding its station footprint and audience reach. Moves like these will solidify its stand as a leader in the broadcasting industry.
There is a strong trend among major players in the industry to adapt and survive in an atmosphere of changing consumer preferences and the rise of digital streaming platforms. Overcoming these challenges, traditional broadcasters continue to play a vital role mainly in delivering local news and content, maintaining their relevance in the media landscape. From a stock standpoint, Gray Media, Inc. (NYSE:GTN) is considered a strong dividend-paying option, appealing to income-focused investors. The company maintains a trailing annual dividend yield of 8%, with a payout ratio of 21.33%. Over the past five years, the stock has maintained an average dividend yield of 4.83%.
Gray Media, Inc. (NYSE:GTN) has demonstrated a commitment to delivering value to its shareholders through consistent dividend payouts, garnering attention from hedge funds. The company’s focus on expanding its digital footprint and exploring new content delivery avenues has positioned it well to meet the evolving media consumption trends. The company aims to leverage its extensive network and production capabilities to capitalize on emerging opportunities in content creation and distribution. With notable acquisitions and investments in infrastructure, the future trajectory looks positive for continued growth for the company, making it the best dividend penny stock to buy according to hedge funds.
Overall Gray Media, Inc. (NYSE:GTN) ranks first on our list of the best penny stocks that pay dividends. While we acknowledge the potential of GTN as an investment, our conviction lies in the belief that some stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for a stock that is more promising than GTN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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