NEXSTAR MEDIA GROUP INC (NXST) Stock Fundamental Analysis
NASDAQ:NXST - US65336K1034 - Common Stock
204.53 USD
+3.4 (+1.69%)
204.53 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to NXST. NXST was compared to 99 industry peers in the Media industry. While NXST has a great profitability rating, there are some minor concerns on its financial health. NXST is valued quite cheap, while showing a decent growth score. This is a good combination! Finally NXST also has an excellent dividend rating. This makes NXST very considerable for value and dividend investing!
1. Profitability
1.1 Basic Checks
NXST had positive earnings in the past year.
In the past year NXST had a positive cash flow from operations.
Each year in the past 5 years NXST has been profitable.
In the past 5 years NXST always reported a positive cash flow from operatings.
1.2 Ratios
NXST has a better Return On Assets (5.53%) than 78.79% of its industry peers.
With an excellent Return On Equity value of 27.75%, NXST belongs to the best of the industry, outperforming 92.93% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 7.97%, NXST belongs to the top of the industry, outperforming 85.86% of the companies in the same industry.
NXST had an Average Return On Invested Capital over the past 3 years of 7.17%. This is in line with the industry average of 8.87%.
The last Return On Invested Capital (7.97%) for NXST is above the 3 year average (7.17%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.53% | ||
| ROE | 27.75% | ||
| ROIC | 7.97% |
ROA(3y)5.61%
ROA(5y)5.83%
ROE(3y)27.49%
ROE(5y)28.8%
ROIC(3y)7.17%
ROIC(5y)7.11%
1.3 Margins
The Profit Margin of NXST (11.78%) is better than 81.82% of its industry peers.
In the last couple of years the Profit Margin of NXST has grown nicely.
NXST has a Operating Margin of 22.74%. This is amongst the best in the industry. NXST outperforms 94.95% of its industry peers.
In the last couple of years the Operating Margin of NXST has grown nicely.
With a decent Gross Margin value of 58.58%, NXST is doing good in the industry, outperforming 69.70% of the companies in the same industry.
NXST's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.74% | ||
| PM (TTM) | 11.78% | ||
| GM | 58.58% |
OM growth 3Y-2.43%
OM growth 5Y3.14%
PM growth 3Y-9.4%
PM growth 5Y12%
GM growth 3Y-0.59%
GM growth 5Y1.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NXST is still creating some value.
The number of shares outstanding for NXST has been reduced compared to 1 year ago.
The number of shares outstanding for NXST has been reduced compared to 5 years ago.
The debt/assets ratio for NXST is higher compared to a year ago.
2.2 Solvency
NXST has an Altman-Z score of 1.76. This is a bad value and indicates that NXST is not financially healthy and even has some risk of bankruptcy.
NXST has a better Altman-Z score (1.76) than 65.66% of its industry peers.
NXST has a debt to FCF ratio of 5.18. This is a neutral value as NXST would need 5.18 years to pay back of all of its debts.
NXST's Debt to FCF ratio of 5.18 is fine compared to the rest of the industry. NXST outperforms 76.77% of its industry peers.
A Debt/Equity ratio of 2.78 is on the high side and indicates that NXST has dependencies on debt financing.
NXST's Debt to Equity ratio of 2.78 is on the low side compared to the rest of the industry. NXST is outperformed by 74.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.78 | ||
| Debt/FCF | 5.18 | ||
| Altman-Z | 1.76 |
ROIC/WACC1.16
WACC6.87%
2.3 Liquidity
NXST has a Current Ratio of 1.69. This is a normal value and indicates that NXST is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of NXST (1.69) is better than 66.67% of its industry peers.
NXST has a Quick Ratio of 1.69. This is a normal value and indicates that NXST is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.69, NXST is doing good in the industry, outperforming 67.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
NXST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 54.95%, which is quite impressive.
The Earnings Per Share has been growing by 39.47% on average over the past years. This is a very strong growth
Looking at the last year, NXST shows a small growth in Revenue. The Revenue has grown by 6.55% in the last year.
NXST shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.21% yearly.
EPS 1Y (TTM)54.95%
EPS 3Y4.27%
EPS 5Y39.47%
EPS Q2Q%-0.85%
Revenue 1Y (TTM)6.55%
Revenue growth 3Y5.17%
Revenue growth 5Y12.21%
Sales Q2Q%-3.15%
3.2 Future
NXST is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.24% yearly.
Based on estimates for the next years, NXST will show a decrease in Revenue. The Revenue will decrease by -3.56% on average per year.
EPS Next Y-34.6%
EPS Next 2Y10.06%
EPS Next 3Y-4.59%
EPS Next 5Y0.24%
Revenue Next Year-8.94%
Revenue Next 2Y0.21%
Revenue Next 3Y-2.06%
Revenue Next 5Y-3.56%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.38, the valuation of NXST can be described as very reasonable.
78.79% of the companies in the same industry are more expensive than NXST, based on the Price/Earnings ratio.
NXST's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.13.
NXST is valuated cheaply with a Price/Forward Earnings ratio of 7.84.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NXST indicates a somewhat cheap valuation: NXST is cheaper than 79.80% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.76, NXST is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.38 | ||
| Fwd PE | 7.84 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NXST indicates a rather cheap valuation: NXST is cheaper than 80.81% of the companies listed in the same industry.
NXST's Price/Free Cash Flow ratio is rather cheap when compared to the industry. NXST is cheaper than 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.03 | ||
| EV/EBITDA | 6.11 |
4.3 Compensation for Growth
The excellent profitability rating of NXST may justify a higher PE ratio.
A cheap valuation may be justified as NXST's earnings are expected to decrease with -4.59% in the coming years.
PEG (NY)N/A
PEG (5Y)0.26
EPS Next 2Y10.06%
EPS Next 3Y-4.59%
5. Dividend
5.1 Amount
NXST has a Yearly Dividend Yield of 3.70%.
NXST's Dividend Yield is rather good when compared to the industry average which is at 4.75. NXST pays more dividend than 86.87% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, NXST pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.7% |
5.2 History
The dividend of NXST is nicely growing with an annual growth rate of 30.53%!
NXST has paid a dividend for at least 10 years, which is a reliable track record.
NXST has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)30.53%
Div Incr Years11
Div Non Decr Years11
5.3 Sustainability
35.14% of the earnings are spent on dividend by NXST. This is a low number and sustainable payout ratio.
NXST's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP35.14%
EPS Next 2Y10.06%
EPS Next 3Y-4.59%
204.53
+3.4 (+1.69%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners100.28%
Inst Owner Change-0.99%
Ins Owners6.65%
Ins Owner Change10.16%
Market Cap6.20B
Analysts81.33
Price Target228.88 (11.91%)
Short Float %6.33%
Short Ratio5.65
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.7% |
Yearly Dividend6.82
Dividend Growth(5Y)30.53%
DP35.14%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.86%
Min EPS beat(2)2.04%
Max EPS beat(2)27.68%
EPS beat(4)2
Avg EPS beat(4)4.3%
Min EPS beat(4)-8%
Max EPS beat(4)27.68%
EPS beat(8)3
Avg EPS beat(8)-4.71%
EPS beat(12)6
Avg EPS beat(12)-1.94%
EPS beat(16)10
Avg EPS beat(16)1.92%
Revenue beat(2)0
Avg Revenue beat(2)-1%
Min Revenue beat(2)-1.59%
Max Revenue beat(2)-0.41%
Revenue beat(4)0
Avg Revenue beat(4)-1.53%
Min Revenue beat(4)-2.11%
Max Revenue beat(4)-0.41%
Revenue beat(8)0
Avg Revenue beat(8)-2.46%
Revenue beat(12)0
Avg Revenue beat(12)-2.37%
Revenue beat(16)1
Avg Revenue beat(16)-1.95%
PT rev (1m)12.23%
PT rev (3m)12.02%
EPS NQ rev (1m)-12.02%
EPS NQ rev (3m)-23.3%
EPS NY rev (1m)4.81%
EPS NY rev (3m)2.08%
Revenue NQ rev (1m)-1.84%
Revenue NQ rev (3m)-4.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.38 | ||
| Fwd PE | 7.84 | ||
| P/S | 1.17 | ||
| P/FCF | 5.03 | ||
| P/OCF | 4.49 | ||
| P/B | 2.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.11 |
EPS(TTM)19.71
EY9.64%
EPS(NY)26.08
Fwd EY12.75%
FCF(TTM)40.63
FCFY19.87%
OCF(TTM)45.58
OCFY22.29%
SpS175.33
BVpS74.41
TBVpS-176.38
PEG (NY)N/A
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.53% | ||
| ROE | 27.75% | ||
| ROCE | 11.51% | ||
| ROIC | 7.97% | ||
| ROICexc | 8.15% | ||
| ROICexgc | 31.4% | ||
| OM | 22.74% | ||
| PM (TTM) | 11.78% | ||
| GM | 58.58% | ||
| FCFM | 23.18% |
ROA(3y)5.61%
ROA(5y)5.83%
ROE(3y)27.49%
ROE(5y)28.8%
ROIC(3y)7.17%
ROIC(5y)7.11%
ROICexc(3y)7.27%
ROICexc(5y)7.21%
ROICexgc(3y)26.43%
ROICexgc(5y)25.55%
ROCE(3y)10.35%
ROCE(5y)10.27%
ROICexcg growth 3Y11.09%
ROICexcg growth 5Y21.54%
ROICexc growth 3Y7.99%
ROICexc growth 5Y20.33%
OM growth 3Y-2.43%
OM growth 5Y3.14%
PM growth 3Y-9.4%
PM growth 5Y12%
GM growth 3Y-0.59%
GM growth 5Y1.16%
F-Score8
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.78 | ||
| Debt/FCF | 5.18 | ||
| Debt/EBITDA | 3.1 | ||
| Cap/Depr | 18.47% | ||
| Cap/Sales | 2.82% | ||
| Interest Coverage | 3.02 | ||
| Cash Conversion | 68.38% | ||
| Profit Quality | 196.81% | ||
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 1.76 |
F-Score8
WACC6.87%
ROIC/WACC1.16
Cap/Depr(3y)20.53%
Cap/Depr(5y)43.5%
Cap/Sales(3y)3.16%
Cap/Sales(5y)5.82%
Profit Quality(3y)172%
Profit Quality(5y)141.43%
High Growth Momentum
Growth
EPS 1Y (TTM)54.95%
EPS 3Y4.27%
EPS 5Y39.47%
EPS Q2Q%-0.85%
EPS Next Y-34.6%
EPS Next 2Y10.06%
EPS Next 3Y-4.59%
EPS Next 5Y0.24%
Revenue 1Y (TTM)6.55%
Revenue growth 3Y5.17%
Revenue growth 5Y12.21%
Sales Q2Q%-3.15%
Revenue Next Year-8.94%
Revenue Next 2Y0.21%
Revenue Next 3Y-2.06%
Revenue Next 5Y-3.56%
EBIT growth 1Y38.17%
EBIT growth 3Y2.62%
EBIT growth 5Y15.73%
EBIT Next Year13.56%
EBIT Next 3Y5.86%
EBIT Next 5Y13.06%
FCF growth 1Y11.83%
FCF growth 3Y6.08%
FCF growth 5YN/A
OCF growth 1Y8.56%
OCF growth 3Y0.96%
OCF growth 5Y24.52%