Nexstar Media Group (NASDAQ:NXST) Stock Price Down 5.3% - Here's What Happened

Key Points

• Nexstar shares fell 5.3% to about $181.58 in mid-day trading, with volume down 78% from the average session.
• Analysts maintain a generally positive outlook, with six Buy ratings and two Holds producing a “Moderate Buy” consensus and an average price target of $259.
• The company reported quarterly EPS of $3.61, missing estimates by $2.37 despite revenue of $1.99 billion, up 62.2% year over year; Nexstar also declared a quarterly dividend of $1.86 per share, yielding about 4.1%.

Nexstar Media Group, Inc. (NASDAQ:NXST - Get Free Report)'s stock price was down 5.3% during mid-day trading on Tuesday . The stock traded as low as $182.11 and last traded at $181.5810. 87,154 shares were traded during mid-day trading, a decline of 78% from the average session volume of 390,848 shares. The stock had previously closed at $191.73.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on NXST. Zacks Research lowered Nexstar Media Group from a "strong-buy" rating to a "hold" rating in a report on Friday, July 10th. Wells Fargo & Company reduced their price objective on shares of Nexstar Media Group from $253.00 to $249.00 and set an "overweight" rating for the company in a research report on Friday. Weiss Ratings reiterated a "hold (c)" rating on shares of Nexstar Media Group in a report on Wednesday, May 27th. Wall Street Zen lowered shares of Nexstar Media Group from a "buy" rating to a "hold" rating in a research report on Sunday, July 12th. Finally, Barrington Research restated an "outperform" rating and set a $290.00 target price on shares of Nexstar Media Group in a research note on Tuesday, April 28th. Six analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Nexstar Media Group currently has an average rating of "Moderate Buy" and an average price target of $259.00.

Nexstar Media Group Price Performance

The company has a quick ratio of 1.76, a current ratio of 1.76 and a debt-to-equity ratio of 5.53. The company's fifty day moving average price is $179.45 and its 200 day moving average price is $200.63. The company has a market capitalization of $5.51 billion, a P/E ratio of 34.66, a PEG ratio of 0.52 and a beta of 0.91.

Nexstar Media Group (NASDAQ:NXST - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The company reported $3.61 earnings per share (EPS) for the quarter, missing the consensus estimate of $5.98 by ($2.37). The company had revenue of $1.99 billion during the quarter, compared to the consensus estimate of $1.97 billion. Nexstar Media Group had a net margin of 3.20% and a return on equity of 24.26%. The company's quarterly revenue was up 62.2% on a year-over-year basis. During the same quarter last year, the firm posted $3.06 earnings per share. As a group, sell-side analysts forecast that Nexstar Media Group, Inc. will post 37.46 EPS for the current year.

Nexstar Media Group Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be given a $1.86 dividend. The ex-dividend date is Friday, August 14th. This represents a $7.44 dividend on an annualized basis and a dividend yield of 4.1%. Nexstar Media Group's dividend payout ratio (DPR) is presently 142.80%.

Insiders Place Their Bets

In related news, insider Dana Zimmer sold 915 shares of the business's stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $176.42, for a total value of $161,424.30. Following the completion of the transaction, the insider owned 5,738 shares of the company's stock, valued at $1,012,297.96. The trade was a 13.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Michael Biard sold 1,227 shares of the stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $174.21, for a total transaction of $213,755.67. Following the sale, the chief operating officer owned 17,105 shares in the company, valued at $2,979,862.05. The trade was a 6.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 22,813 shares of company stock valued at $4,174,731 over the last 90 days. 7.00% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in NXST. Torren Management LLC bought a new position in shares of Nexstar Media Group in the 4th quarter valued at $28,000. Measured Wealth Private Client Group LLC bought a new stake in shares of Nexstar Media Group during the 3rd quarter worth $28,000. WPG Advisers LLC lifted its position in shares of Nexstar Media Group by 65.7% during the 4th quarter. WPG Advisers LLC now owns 179 shares of the company's stock worth $36,000 after buying an additional 71 shares during the last quarter. State of Wyoming acquired a new stake in Nexstar Media Group in the second quarter valued at about $54,000. Finally, Danske Bank A S acquired a new stake in Nexstar Media Group in the third quarter valued at about $59,000. 95.30% of the stock is currently owned by institutional investors and hedge funds.

Nexstar Media Group Company Profile

Nexstar Media Group, Inc is a diversified American media company engaged primarily in the ownership, operation and strategic affiliation of local television stations, digital platforms and cable networks. The company provides a range of broadcast content, including local news, sports coverage, entertainment programming and syndicated shows, reaching audiences in more than 100 television markets across the United States.

Founded in 1996 by entrepreneur Perry Sook and headquartered in Irving, Texas, Nexstar has built its presence through organic growth and a series of high-profile acquisitions.

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