Australia's Fairfax Media Ltd lags on analyst revisions among 55 companies in the country's consumer discretionary sector tracked by at least three analysts, data from Thomson Reuters StarMine shows.
The publisher has Analyst Revision (ARM) and Smartholdings (SH) scores of 4 each, the lowest in the sector. The low SH score suggests a potential decline in institutional ownership.
The firm's net margin for for 2012 lags the industry average by 132 percent. Its free cash flow declined nearly 32 percent to A$115 million between June 2011 and June 2012.
Ten of 11 analysts have cut their EPS estimates on the firm for 2013 by an average of 21.5 percent since Aug. 23. Also, all twelve analysts covering the stock have decreased estimates for 2014 by an average of 34.4 percent.
The stock currently trades at 46 percent of its intrinsic value of A$1.03, as determined by StarMine.
Of the 12 analysts tracking the stock, four give it a 'strong buy' or 'buy' rating, three recommend a 'hold' while five have 'sell' or 'strong sell' ratings.
The stock is up over 14 percent month-to-date, while the broader index gained 1.64 percent in the same period, as of Friday's close.
StarMine's Analyst Revision Model ranks stocks based on analysts' revision of earnings and revenue estimates and changes in their ratings and usually gives additional weight to analysts who have been more accurate in the past.
StarMine's SmartHoldings model is a global stock selection model that ranks stocks based on expected future increase or decrease in institutional ownership. (Reporting By Reshma Apte; Editing by Sunil Nair)