Nexstar Media Group (NASDAQ:NXST) Releases Quarterly Earnings Results, Misses Expectations By $0.16 EPS

Key Points

• Nexstar reported quarterly EPS of $7.92, missing the $8.08 consensus estimate by $0.16, while revenue rose 78% year over year to a record $2.13 billion, above expectations.
• Record political advertising, including $1.1 billion in combined 2026 revenue, boosted results; however, non-political advertising fell 5%, and management expects a high-single-digit decline in the fourth quarter.
• Nexstar reduced debt by $1.3 billion year to date but ended the quarter with $11.4 billion in debt. A preliminary injunction also continues to block integration of TEGNA as litigation proceeds.

Nexstar Media Group (NASDAQ:NXST - Get Free Report) posted its quarterly earnings results on Thursday. The company reported $7.92 EPS for the quarter, missing analysts' consensus estimates of $8.08 by ($0.16), Briefing.com reports. Nexstar Media Group had a return on equity of 33.40% and a net margin of 5.48%. The company had revenue of $2.13 billion during the quarter, compared to the consensus estimate of $2.07 billion. During the same period last year, the firm posted $2.14 EPS. The company's revenue for the quarter was up 78.0% compared to the same quarter last year.

Here are the key takeaways from Nexstar Media Group's conference call:

• Nexstar reported record third-quarter revenue of $2.13 billion and Adjusted EBITDA of $756 million. Results included TEGNA’s contribution and benefited from strong political advertising and distribution revenue.
• Combined political advertising revenue reached a record $1.1 billion for 2026, up 31% from 2022 and 29% from 2024. Management said broadcast gained share and sees the expanded use of lowest-unit-rate pricing as supportive of future political spending.
• Combined non-political advertising declined 5% in the third quarter, and management expects a high-single-digit decline in the fourth quarter, citing political ad crowd-out. The company also noted that the World Cup provided a boost that will not recur next year.
• Nexstar reduced debt by $1.3 billion year to date, but quarter-end debt was $11.4 billion and total net leverage was 4.04x. Management said excess cash will continue to go toward debt repayment, with leverage closer to 3x an objective.
• A preliminary injunction continues to prevent Nexstar from integrating TEGNA while litigation proceeds; the company is appealing and seeking to narrow the injunction and remove the states from the case. A trial on the merits is scheduled for July 2027, leaving uncertainty around integration.

Nexstar Media Group Stock Performance

Shares of NXST stock traded up $2.05 during trading on Friday, reaching $190.02. 484,758 shares of the company's stock traded hands, compared to its average volume of 343,976. The company has a market capitalization of $5.85 billion, a P/E ratio of 17.29 and a beta of 0.97. The company has a current ratio of 1.56, a quick ratio of 1.56 and a debt-to-equity ratio of 5.09. The firm's 50-day moving average is $167.80 and its 200 day moving average is $191.75. Nexstar Media Group has a 1 year low of $153.17 and a 1 year high of $254.30.

Nexstar Media Group Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Stockholders of record on Friday, November 13th will be given a $1.86 dividend. The ex-dividend date of this dividend is Friday, November 13th. This represents a $7.44 annualized dividend and a dividend yield of 3.9%. Nexstar Media Group's payout ratio is 142.80%.

Insider Buying and Selling at Nexstar Media Group

In related news, Director Bernadette Aulestia sold 300 shares of Nexstar Media Group stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $186.80, for a total value of $56,040.00. Following the completion of the transaction, the director directly owned 4,383 shares in the company, valued at approximately $818,744.40. The trade was a 6.41% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Michael Biard sold 2,465 shares of the business's stock in a transaction on Monday, August 24th. The shares were sold at an average price of $185.82, for a total transaction of $458,046.30. Following the sale, the chief operating officer directly owned 20,890 shares in the company, valued at $3,881,779.80. The trade was a 10.55% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 9,596 shares of company stock valued at $1,733,169 in the last quarter. Corporate insiders own 7.00% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts have weighed in on NXST shares. Wall Street Zen raised Nexstar Media Group from a "hold" rating to a "buy" rating in a report on Saturday. Zacks Research lowered Nexstar Media Group from a "hold" rating to a "strong sell" rating in a research note on Monday, August 10th. Wells Fargo & Company boosted their target price on Nexstar Media Group from $249.00 to $250.00 and gave the company an "overweight" rating in a research note on Friday. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Nexstar Media Group in a research report on Monday, August 24th. Finally, Deutsche Bank Aktiengesellschaft cut their price target on Nexstar Media Group from $255.00 to $240.00 and set a "buy" rating for the company in a research note on Monday, August 10th. Six investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Nexstar Media Group has an average rating of "Moderate Buy" and an average target price of $256.67.

Nexstar Media Group News Roundup

Here are the key news stories impacting Nexstar Media Group this week:

• Positive Sentiment: Wells Fargo raised its price target to $250 from $249 and reaffirmed its Overweight rating. The new target implies about 31.6% upside from the cited $190.02 share price. Wells Fargo rating information
• Positive Sentiment: Third-quarter revenue reached a record $2.13 billion, up 78% year over year and above the $2.07 billion analyst estimate. Nexstar said political advertising revenue reached a record $1.1 billion for 2026, 31% higher than in the 2022 midterm cycle, providing a major boost to results. Nexstar Q3 revenue and political advertising
• Negative Sentiment: Adjusted earnings were $7.92 per share, below the $8.08 consensus estimate. The earnings miss tempers the otherwise strong revenue growth. Nexstar Q3 earnings results

Nexstar Media Group Company Profile

Nexstar Media Group, Inc is a television broadcasting and digital media company headquartered in Irving, Texas. The company operates local television stations across the United States, with stations affiliated with major networks including ABC, NBC, CBS, FOX, The CW and MyNetworkTV. Its local media operations provide news, weather, sports, entertainment and other programming to audiences in markets nationwide.

Nexstar also owns and operates national media properties, including NewsNation, a cable and streaming news network, and The Hill, a political news and information platform.

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