Nexstar Media Group Inc. (NASDAQ: NXST) stock fell -3.68% on Friday to $152.04 against a previous-day closing price of $157.85. With 1.73 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.4 million shares. During the session, the Entertainment company that operates in wider Communication Services sector, reached to the highest price of $159.47 whereas the lowest price it dropped to was $151.79. The 52-week range on NXST shows that it touched its highest point at $217.76 and its lowest point at $133.09 during that stretch. It currently has a 1-year price target of $212.78. With its current market cap of 5.54 billion, NXST has annualized dividend of $5.40 while the current yield stands at 3.55%. Beta for the stock currently stands at 1.50.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of NXST was up-trending over the past week, with a rise of 13.52%, but this was down by -2.89% over a month. Three-month performance dropped to -8.90% while six-month performance fell -7.34%. The stock lost -20.49% in the past year, while it has lost -13.13% so far this year. A look at the trailing 12-month EPS for NXST yields 18.21 with Next year EPS estimates of 27.79. For the next quarter, that number is 1.56. This implies an EPS growth rate of 27.30% for this year and 147.62% for next year. EPS is expected to grow by 5.54% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 49.50%.
Float and Shares Shorts:
At present, 35.79 million NXST shares are outstanding with a float of 33.24 million shares on hand for trading. On Aug 30, 2023, short shares totaled 2.35 million, which was 6.69% higher than short shares on Jul 30, 2023. In addition to Mr. Perry A. Sook as the firm’s Founder, Chairman & CEO, Ms. Lee Ann Gliha serves as its Exec. VP & CFO.
Through their ownership of 100.29% of NXST’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 55.79% of NXST, in contrast to 41.82% held by mutual funds. Shares owned by individuals account for 16.76%. As the largest shareholder in NXST with 9.40% of the stake, The Vanguard Group, Inc. holds 3,297,996 shares worth 3,297,996. A second-largest stockholder of NXST, BlackRock Fund Advisors, holds 2,886,152 shares, controlling over 8.23% of the firm’s shares. Boston Partners Global Investors, is the third largest shareholder in NXST, holding 1,603,784 shares or 4.57% stake. With a 3.30% stake in NXST, the iShares Core S&P Mid Cap ETF is the largest stakeholder. A total of 1,157,538 shares are owned by the mutual fund manager. The Vanguard Total Stock Market ETF, which owns about 3.04% of NXST stock, is the second-largest Mutual Fund holder. It holds 1,065,778 shares valued at 173.51 million. Neuberger Berman Genesis Fund holds 2.85% of the stake in NXST, owning 998,905 shares worth 162.62 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, NXST reported revenue of $1.25B and operating income of $332.80M. The EBITDA in the recently reported quarter was $517.60M and diluted EPS was $5.56.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for NXST since 0 analysts follow the stock currently. In the same way, a target price assigned to a stock can also reveal much about its potential. With NXST analysts setting a high price target of $235.00 and a low target of $175.00, the average target price over the next 12 months is $212.78. Based on these targets, NXST could surge 54.56% to reach the target high and rise by 15.1% to reach the target low. Reaching the average price target will result in a growth of 39.95% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy.
Summary of Insider Activity:
Insiders traded NXST stock several times over the past three months with 5 Buys and 6 Sells. In these transactions, 68,750 shares were bought while 34,786 shares were sold. The number of buy transactions has increased to 77 while that of sell transactions has risen to 63 over the past year. The total number of shares bought during that period was 433,624 while 243,020 shares were sold.