NEXSTAR MEDIA GROUP INC (NXST)
US65336K1034 - Common Stock
We assign a fundamental rating of 5 out of 10 to NXST. NXST was compared to 96 industry peers in the Media industry. NXST has a medium profitability rating, but doesn't score so well on its financial health evaluation. A decent growth rate in combination with a cheap valuation! Better keep an eye on NXST. Finally 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.
Each year in the past 5 years NXST had a positive operating cash flow.
1.2 Ratios
NXST has a better Return On Assets (2.86%) than 71.58% of its industry peers.
NXST has a better Return On Equity (15.05%) than 85.26% of its industry peers.
NXST's Return On Invested Capital of 4.84% is fine compared to the rest of the industry. NXST outperforms 66.32% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NXST is in line with the industry average of 7.68%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 15.05% | ||
| ROIC | 4.84% |
ROA(3y)5.61%
ROA(5y)4.9%
ROE(3y)26.59%
ROE(5y)24.67%
ROIC(3y)6.89%
ROIC(5y)6.37%
1.3 Margins
NXST's Profit Margin of 7.01% is fine compared to the rest of the industry. NXST outperforms 77.89% of its industry peers.
In the last couple of years the Profit Margin of NXST has declined.
NXST's Operating Margin of 15.06% is amongst the best of the industry. NXST outperforms 82.11% of its industry peers.
In the last couple of years the Operating Margin of NXST has declined.
NXST's Gross Margin of 56.94% is fine compared to the rest of the industry. NXST outperforms 69.47% of its industry peers.
In the last couple of years the Gross Margin of NXST has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.06% | ||
| PM (TTM) | 7.01% | ||
| GM | 56.94% |
OM growth 3Y-20.65%
OM growth 5Y-11.73%
PM growth 3Y-26.99%
PM growth 5Y-13.01%
GM growth 3Y-2.97%
GM growth 5Y-0.91%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NXST is destroying value.
NXST has less shares outstanding than it did 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
Based on the Altman-Z score of 1.36, we must say that NXST is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.36, NXST is in line with its industry, outperforming 57.89% of the companies in the same industry.
The Debt to FCF ratio of NXST is 8.42, which is on the high side as it means it would take NXST, 8.42 years of fcf income to pay off all of its debts.
NXST's Debt to FCF ratio of 8.42 is fine compared to the rest of the industry. NXST outperforms 67.37% of its industry peers.
NXST has a Debt/Equity ratio of 2.92. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 2.92, NXST is not doing good in the industry: 84.21% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.92 | ||
| Debt/FCF | 8.42 | ||
| Altman-Z | 1.36 |
ROIC/WACC0.7
WACC6.89%
2.3 Liquidity
A Current Ratio of 1.53 indicates that NXST should not have too much problems paying its short term obligations.
The Current ratio of NXST (1.53) is comparable to the rest of the industry.
A Quick Ratio of 1.53 indicates that NXST should not have too much problems paying its short term obligations.
NXST has a Quick ratio (1.53) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.53 |
3. Growth
3.1 Past
NXST shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -60.12%.
The Earnings Per Share has been growing slightly by 3.24% on average over the past years.
The Revenue has decreased by -5.33% in the past year.
NXST shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.26% yearly.
EPS 1Y (TTM)-60.12%
EPS 3Y-17.75%
EPS 5Y3.24%
EPS growth Q2Q-37.36%
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y3.1%
Revenue growth 5Y12.26%
Revenue growth Q2Q-12.29%
3.2 Future
The Earnings Per Share is expected to grow by 22.46% on average over the next years. This is a very strong growth
Based on estimates for the next years, NXST will show a small growth in Revenue. The Revenue will grow by 0.26% on average per year.
EPS Next Y167.51%
EPS Next 2Y35.23%
EPS Next 3Y44.12%
EPS Next 5Y22.46%
Revenue Next Year12.65%
Revenue Next 2Y2.01%
Revenue Next 3Y4.2%
Revenue Next 5Y0.26%
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 accelerating.
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
Based on the Price/Earnings ratio of 16.94, the valuation of NXST can be described as correct.
Based on the Price/Earnings ratio, NXST is valued a bit cheaper than 66.32% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.20, NXST is valued a bit cheaper.
A Price/Forward Earnings ratio of 6.33 indicates a rather cheap valuation of NXST.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NXST indicates a rather cheap valuation: NXST is cheaper than 91.58% of the companies listed in the same industry.
NXST is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.60, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.94 | ||
| Fwd PE | 6.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NXST is valued a bit cheaper than 72.63% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NXST indicates a rather cheap valuation: NXST is cheaper than 86.32% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.72 | ||
| EV/EBITDA | 7.18 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of NXST may justify a higher PE ratio.
NXST's earnings are expected to grow with 44.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.1
PEG (5Y)5.22
EPS Next 2Y35.23%
EPS Next 3Y44.12%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.17%, NXST is a good candidate for dividend investing.
NXST's Dividend Yield is rather good when compared to the industry average which is at 4.35. NXST pays more dividend than 89.47% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.45, NXST pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
5.2 History
The dividend of NXST is nicely growing with an annual growth rate of 29.40%!
NXST has been paying a dividend for at least 10 years, so it has a reliable track record.
NXST has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)29.4%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
55.20% of the earnings are spent on dividend by NXST. This is a bit on the high side, but may be sustainable.
NXST's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP55.2%
EPS Next 2Y35.23%
EPS Next 3Y44.12%
NEXSTAR MEDIA GROUP INC
NASDAQ:NXST (4/23/2024, 6:18:09 PM)
After market: 163.11 0 (0%)163.11
+2.1 (+1.3%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap5.45B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
Dividend Growth(5Y)
DP
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Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue NQ rev (1m)
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.94 | ||
| Fwd PE | 6.33 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.1
PEG (5Y)5.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 15.05% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 15.06% | ||
| PM (TTM) | 7.01% | ||
| GM | 56.94% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.92 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.53 | ||
| Quick Ratio | 1.53 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-60.12%
EPS 3Y-17.75%
EPS 5Y
EPS growth Q2Q
EPS Next Y167.51%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-5.33%
Revenue growth 3Y3.1%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
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