Shares of newspaper publishers Gannett Co. and The New York Times Co. climbed to 52-week highs Wednesday after an industry analyst raised hopes that a brutal advertising slump is tapering off more quickly than expected.
Based on a review of how many ads are filling newspaper pages, Well Fargo Securities analyst John Janedis said December could prove to be the industry’s best month in more than three years.
In his Wednesday research note, Janedis predicted the momentum will carry over into next year, causing newspapers to post advertising declines in the 8 percent to 9 percent range. That would be less severe than most investors feared, heralding a dramatic improvement from this year’s devastating erosion.
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