NEXSTAR MEDIA GROUP INC (NXST) Stock Fundamental Analysis
NASDAQ:NXST - Nasdaq - US65336K1034 - Common Stock - Currency: USD
NXST gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 97 industry peers in the Media industry. NXST scores excellent on profitability, but 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! NXST also has an excellent dividend rating.
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.
NXST had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 6.30%, NXST belongs to the best of the industry, outperforming 88.66% of the companies in the same industry.
NXST has a better Return On Equity (31.99%) than 94.85% of its industry peers.
NXST has a better Return On Invested Capital (8.37%) than 83.51% of its industry peers.
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 6.63%.
The 3 year average ROIC (7.17%) for NXST is below the current ROIC(8.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 31.99% | ||
| ROIC | 8.37% |
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
NXST has a Profit Margin of 13.36%. This is amongst the best in the industry. NXST outperforms 89.69% of its industry peers.
NXST's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 23.88%, NXST belongs to the best of the industry, outperforming 93.81% of the companies in the same industry.
In the last couple of years the Operating Margin of NXST has grown nicely.
NXST has a better Gross Margin (59.43%) than 73.20% of its industry peers.
NXST's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.88% | ||
| PM (TTM) | 13.36% | ||
| GM | 59.43% |
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
NXST has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for NXST has been reduced compared to 1 year ago.
NXST has less shares outstanding than it did 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 1.63. This is a bad value and indicates that NXST is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of NXST (1.63) is better than 63.92% of its industry peers.
The Debt to FCF ratio of NXST is 5.90, which is a neutral value as it means it would take NXST, 5.90 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of NXST (5.90) is better than 72.16% of its industry peers.
A Debt/Equity ratio of 2.84 is on the high side and indicates that NXST has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 2.84, NXST is doing worse than 72.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.84 | ||
| Debt/FCF | 5.9 | ||
| Altman-Z | 1.63 |
ROIC/WACC1.14
WACC7.37%
2.3 Liquidity
A Current Ratio of 1.66 indicates that NXST should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.66, NXST is in line with its industry, outperforming 59.79% of the companies in the same industry.
A Quick Ratio of 1.66 indicates that NXST should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.66, NXST is in the better half of the industry, outperforming 61.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.66 |
3. Growth
3.1 Past
NXST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 123.57%, 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 quite strong growth in Revenue. The Revenue has grown by 9.59% in the last year.
Measured over the past years, NXST shows a quite strong growth in Revenue. The Revenue has been growing by 12.21% on average per year.
EPS 1Y (TTM)123.57%
EPS 3Y4.27%
EPS 5Y39.47%
EPS Q2Q%127.71%
Revenue 1Y (TTM)9.59%
Revenue growth 3Y5.17%
Revenue growth 5Y12.21%
Sales Q2Q%14.11%
3.2 Future
The Earnings Per Share is expected to grow by 2.12% on average over the next years.
The Revenue is expected to decrease by -3.81% on average over the next years.
EPS Next Y-31.06%
EPS Next 2Y11.46%
EPS Next 3Y-4.97%
EPS Next 5Y2.12%
Revenue Next Year-8.09%
Revenue Next 2Y0.43%
Revenue Next 3Y-2.11%
Revenue Next 5Y-3.81%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.97, the valuation of NXST can be described as very cheap.
NXST's Price/Earnings ratio is rather cheap when compared to the industry. NXST is cheaper than 86.60% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.75, NXST is valued rather cheaply.
NXST is valuated reasonably with a Price/Forward Earnings ratio of 10.12.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NXST indicates a somewhat cheap valuation: NXST is cheaper than 79.38% of the companies listed in the same industry.
NXST is valuated cheaply when we compare the Price/Forward Earnings ratio to 20.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.97 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
NXST's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NXST is cheaper than 87.63% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NXST is valued cheaply inside the industry as 89.69% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.15 | ||
| EV/EBITDA | 5.14 |
4.3 Compensation for Growth
NXST has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as NXST's earnings are expected to decrease with -4.97% in the coming years.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y11.46%
EPS Next 3Y-4.97%
5. Dividend
5.1 Amount
NXST has a Yearly Dividend Yield of 4.93%, which is a nice return.
NXST's Dividend Yield is rather good when compared to the industry average which is at 4.96. NXST pays more dividend than 88.66% of the companies in the same industry.
NXST's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.93% |
5.2 History
On average, the dividend of NXST grows each year by 30.53%, which is quite nice.
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
30.33% of the earnings are spent on dividend by NXST. This is a low number and sustainable payout ratio.
The dividend of NXST is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP30.33%
EPS Next 2Y11.46%
EPS Next 3Y-4.97%
NASDAQ:NXST (5/2/2025, 3:36:03 PM)
150.17
+5.49 (+3.79%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners97.07%
Inst Owner Change0.76%
Ins Owners6.03%
Ins Owner Change6.67%
Market Cap4.58B
Analysts81.25
Price Target205.95 (37.14%)
Short Float %6.5%
Short Ratio3.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.93% |
Yearly Dividend6.82
Dividend Growth(5Y)30.53%
DP30.33%
Div Incr Years11
Div Non Decr Years11
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-6.27%
Min EPS beat(2)-8%
Max EPS beat(2)-4.54%
EPS beat(4)1
Avg EPS beat(4)-0.46%
Min EPS beat(4)-16.76%
Max EPS beat(4)27.46%
EPS beat(8)3
Avg EPS beat(8)-6.02%
EPS beat(12)6
Avg EPS beat(12)-2.1%
EPS beat(16)10
Avg EPS beat(16)2.49%
Revenue beat(2)0
Avg Revenue beat(2)-2.06%
Min Revenue beat(2)-2.11%
Max Revenue beat(2)-2.01%
Revenue beat(4)0
Avg Revenue beat(4)-2.64%
Min Revenue beat(4)-4.08%
Max Revenue beat(4)-2.01%
Revenue beat(8)0
Avg Revenue beat(8)-2.5%
Revenue beat(12)1
Avg Revenue beat(12)-2.26%
Revenue beat(16)2
Avg Revenue beat(16)-1.88%
PT rev (1m)2.8%
PT rev (3m)0.4%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-12.06%
EPS NY rev (1m)-0.42%
EPS NY rev (3m)-0.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.95%
Revenue NY rev (1m)-0.76%
Revenue NY rev (3m)-1.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.97 | ||
| Fwd PE | 10.12 | ||
| P/S | 0.85 | ||
| P/FCF | 4.15 | ||
| P/OCF | 3.67 | ||
| P/B | 2.03 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.14 |
EPS(TTM)21.53
EY14.34%
EPS(NY)14.84
Fwd EY9.88%
FCF(TTM)36.22
FCFY24.12%
OCF(TTM)40.97
OCFY27.28%
SpS177.19
BVpS73.98
TBVpS-178.33
PEG (NY)N/A
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.3% | ||
| ROE | 31.99% | ||
| ROCE | 12.08% | ||
| ROIC | 8.37% | ||
| ROICexc | 8.48% | ||
| ROICexgc | 31.46% | ||
| OM | 23.88% | ||
| PM (TTM) | 13.36% | ||
| GM | 59.43% | ||
| FCFM | 20.44% |
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 | 2.84 | ||
| Debt/FCF | 5.9 | ||
| Debt/EBITDA | 3.05 | ||
| Cap/Depr | 17.95% | ||
| Cap/Sales | 2.68% | ||
| Interest Coverage | 3 | ||
| Cash Conversion | 59.55% | ||
| Profit Quality | 153.05% | ||
| Current Ratio | 1.66 | ||
| Quick Ratio | 1.66 | ||
| Altman-Z | 1.63 |
F-Score8
WACC7.37%
ROIC/WACC1.14
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)123.57%
EPS 3Y4.27%
EPS 5Y39.47%
EPS Q2Q%127.71%
EPS Next Y-31.06%
EPS Next 2Y11.46%
EPS Next 3Y-4.97%
EPS Next 5Y2.12%
Revenue 1Y (TTM)9.59%
Revenue growth 3Y5.17%
Revenue growth 5Y12.21%
Sales Q2Q%14.11%
Revenue Next Year-8.09%
Revenue Next 2Y0.43%
Revenue Next 3Y-2.11%
Revenue Next 5Y-3.81%
EBIT growth 1Y73.76%
EBIT growth 3Y2.62%
EBIT growth 5Y15.73%
EBIT Next Year15.95%
EBIT Next 3Y5.86%
EBIT Next 5Y12.32%
FCF growth 1Y36.08%
FCF growth 3Y6.08%
FCF growth 5YN/A
OCF growth 1Y25.13%
OCF growth 3Y0.96%
OCF growth 5Y24.52%