NEW YORK — Shares of The New York Times Company (NYSE: NYT) surged to a new all-time high on Thursday, February 19, 2026, as investors rallied behind the media giant following a high-profile endorsement from one of the world's most disciplined value investors. The stock reached a peak of $77.00 during mid-day trading, marking a historic milestone for a company that has successfully navigated the treacherous transition from the printing press to a digital-first subscription powerhouse.
The primary catalyst for the rally was a regulatory disclosure revealing that Berkshire Hathaway Inc. (NYSE: BRK.A, BRK.B) has taken a significant new stake in the company. This unexpected move by the Omaha-based conglomerate has signaled to the broader market that the New York Times' "bundle" strategy—integrating news with lifestyle products like games, cooking, and sports—is no longer just a recovery story, but a blue-chip business model with a formidable competitive moat.
The surge in valuation follows a period of intense volatility for the publisher. Earlier this month, on February 4, 2026, the company’s stock suffered a sharp 9.3% pre-market drop after its fourth-quarter earnings report. While the company beat earnings-per-share estimates—reporting $0.89 against a projected $0.86—investors initially balked at rising operating costs tied to a massive expansion into high-end video production and a slight miss in Adjusted EBITDA. The sentiment shifted dramatically on February 17, when Berkshire Hathaway’s latest 13F filing revealed it had acquired 5.1 million shares, a roughly 3% stake valued at over $350 million.
The investment marks a significant strategic pivot for Berkshire Hathaway, coming just weeks after Greg Abel officially succeeded Warren Buffett as CEO on January 1, 2026. For years, Berkshire had been retreating from the media sector, famously selling its portfolio of 31 local daily newspapers in 2020. This "re-entry" into the industry suggests that under new leadership, Berkshire views the "Gray Lady" as a unique digital asset rather than a traditional newspaper. The timeline of this investment, occurring during the final quarter of 2025, highlights a deliberate move to capitalize on the Times' widening lead over its struggling peers.
Market reaction has been overwhelmingly positive, with trading volume for NYT stock tripling its 30-day average. Analysts noted that the "Buffett stamp of approval" has traditionally served as a signal of long-term stability and cash flow reliability. By the close of business on February 19, the stock had fully erased its early February losses, securing a 52.5% gain over the trailing 12-month period and cementing its status as the top performer in the media sector.
The success of The New York Times has created a stark "winner-takes-most" environment in the journalism industry. While NYT shareholders celebrate record highs, legacy-heavy competitors like Gannett Co., Inc. (NYSE: GCI) continue to grapple with the secular decline of print advertising and high debt loads. While NYT has successfully transitioned to a $2 billion annual digital revenue stream, regional chains are finding it increasingly difficult to convince local readers to pay for digital subscriptions at the same scale, leading to a widening valuation gap.
In the broader media landscape, News Corp (NASDAQ: NWSA) remains a formidable but slower-growing rival. While News Corp’s Dow Jones division remains profitable, it lacks the "lifestyle bundle" synergy that the Times has cultivated. Meanwhile, IAC Inc. (NASDAQ: IAC), the parent company of Dotdash Meredith, has emerged as a partial winner in this trend; its specialized, high-intent digital brands have seen a 14% growth in early 2026, validating the Times' theory that niche, high-quality content (like NYT Cooking and Wirecutter) is the most resilient against the volatility of the digital ad market.
However, the "losers" in this scenario are primarily the mid-sized digital publishers and non-diversified newsrooms. The Washington Post, though privately held and not traded, has served as a cautionary tale for the industry, recently reporting subscription plateaus and staff reductions. The Times' ability to scale its "all-access" bundle—which now accounts for over 51% of its 12.8 million subscribers—has effectively raised the "cost of entry" for any competitor trying to build a sustainable digital subscription business from scratch.
The resurgence of the New York Times reflects a broader industrial trend: the consolidation of consumer attention into "super-apps" and multifaceted bundles. Much like the streaming wars before it, the digital news industry is moving away from single-product offerings toward ecosystems. The NYT "bundle"—consisting of News, The Athletic, Games (including Wordle and Connections), Cooking, and Wirecutter—has proven that variety reduces churn and increases the Average Revenue Per User (ARPU), which reached a record $9.72 at the end of 2025.
This event also highlights the shifting landscape of institutional investment. Berkshire Hathaway’s move suggests that the market now classifies premium media companies more as technology and software-as-a-service (SaaS) entities than as traditional cyclical advertising plays. With the rise of AI-driven search changes, such as Google’s AI Overviews, smaller publishers are seeing their organic traffic decimated. In contrast, the Times’ direct-to-consumer relationship provides a protective barrier, as millions of users bypass search engines to go directly to the NYT app or website.
Historically, this moment draws parallels to the early 2000s, before the total collapse of the print ad model. However, unlike that era, the current growth is built on recurring, high-margin digital revenue rather than the fleeting whims of classified ads. Regulators are also watching closely; as the Times nears its goal of 15 million subscribers, concerns regarding a "monopoly on truth" or the homogenization of the national discourse may eventually lead to increased scrutiny of the company's aggressive acquisition strategy, such as its 2022 purchase of The Athletic.
Looking ahead, the New York Times is poised to double down on its "video-first" strategy. Management has indicated that the next phase of growth will involve scaling video production to compete more directly for high-value digital video advertising dollars. The goal is to reach 15 million total subscribers by 2027, a milestone that seemed impossible a decade ago. The company’s $550 million in annual free cash flow also suggests that more acquisitions could be on the horizon, potentially targeting niche audio platforms or data-driven specialized newsletters.
The primary challenge for the company will be maintaining its editorial standards while managing its "lifestyle" brands. There is a delicate balance between being the "paper of record" and being a provider of daily puzzles and recipes. Furthermore, as the company enters the 2026 election cycle, the pressure to maintain subscriber growth without alienating diverse segments of its audience will be a major test for management. If the Times can maintain its low churn rates as it raises subscription prices, its path to a $15 billion market capitalization seems likely.
The New York Times hitting an all-time high is more than just a stock market success story; it is a validation of a decade-long gamble on the value of premium, bundled content. With 12.8 million subscribers and the backing of Berkshire Hathaway, the company has transformed from a struggling legacy institution into a modern digital powerhouse. The "Buffett Rally" of February 2026 serves as a definitive signal that the "New York Times model" is the gold standard for the future of the media industry.
Investors should keep a close eye on the company's ARPU growth and its ability to integrate video content in the coming months. As the media sector continues to bifurcate into dominant leaders and struggling laggards, the Times' ability to maintain its "moat" against AI disruption will be the ultimate measure of its long-term value. For now, the "Gray Lady" has never looked more vibrant on Wall Street.
This content is intended for informational purposes only and is not financial advice.
