Nexstar Media Group (NXZ) AI Stock Analysis

1 Followers

Nexstar Media Group

(XETRA:NXZ)

Rating:―N/A

Action:N/A

Date:―

No summary available

Positive Factors

Cash Generation and DeleveragingStrong free cash flow gives Nexstar internal funding for debt repayment and shareholder distributions. The reported reduction in debt after the TEGNA acquisition demonstrates meaningful deleveraging capacity, which can improve financial flexibility and reduce balance-sheet pressure over the next several quarters.

Negative Factors

High Leverage and Interest BurdenNexstar remains materially leveraged following the TEGNA acquisition, while elevated interest expense absorbs a larger share of operating cash flow. This reduces financial flexibility, increases sensitivity to earnings volatility and can constrain investment or shareholder returns until leverage declines further.

Nexstar Media Group (NXZ) vs. iShares MSCI Germany ETF (EWG)

Market Cap: EUR 6.35B
Dividend Yield: 3.61%
Average Volume (3M): 251
Price to Earnings (P/E): 18.0
Beta (1Y): 0.36
Revenue Growth: 25.48%
EPS Growth: -35.87%
Country: Germany
Employees: 12,389
Sector: Communication Services
Sector Strength: 60
Industry: Broadcasting

Nexstar Media Group Business Overview & Revenue Model

Company Description

Nexstar Media Group, Inc. is a diversified U.S. media corporation focused on broadcast television and digital content. The company specializes in the strategic acquisition, development, and management of local television stations, along with operatin...

Nexstar Media Group Earnings Call Summary

Earnings Call Date:Nov 05, 2026(Q3-2026)|% Change Since:17.51%|Next Earnings Date:Feb 25, 2027

Earnings Call SentimentPositive

The call was strongly positive overall. Nexstar reported record revenue, adjusted EBITDA and free cash flow, a record political advertising cycle, substantial debt repayment, distribution growth, expanding CW sports results and strong NewsNation and digital audience trends. The main challenges were political crowd-out affecting nonpolitical advertising, higher interest and corporate costs, elevated debt following the TEGNA acquisition, restrictions on TEGNA integration, uncertainty about full-year CW profitability and remaining digital and spectrum-related headwinds.

Positive Updates

Record Quarterly Financial Results

Nexstar achieved its highest quarterly net revenue in company history at $2.13 billion, record third-quarter adjusted EBITDA of $756 million, and free cash flow of $433 million, reflecting the TEGNA acquisition and continued strength in distribution and advertising revenues.

Negative Updates

Combined Nonpolitical Advertising Decline

On a combined basis, third-quarter nonpolitical advertising declined 5%, primarily due to political advertising crowd-out, partially offset by FIFA World Cup revenue and strong local digital revenue at legacy Nexstar.

Company Guidance

For Q4, including TEGNA on an as-combined basis, nonpolitical advertising is expected to decline high single digits, impacted by political crowd out; Nexstar still expects the CW to achieve its first profitable quarter in Q4 of this year, with a positive improvement by about 30% plus for the full year; CapEx and capitalized software are projected in the $58 million range, fourth quarter cash taxes are estimated in the $120 million range, Q4 interest expense is expected to be in the $183 million range, and payments for programming are expected to be in excess of amortization by about $20 million; legacy Nexstar's gross and net distribution guidance remains intact, and the company's objective is for total leverage to be closer to 3 than to 4.

Nexstar Media Group Risk Analysis

Nexstar Media Group disclosed 27 risk factors in its most recent earnings report. Nexstar Media Group reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

1 New Risk

1.The FCC's approval of the Merger requires us to comply with certain conditions. Failure to comply with these conditions could adversely affect our business operations.Q2, 2026

Nexstar Media Group Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

DE:NXZ against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EVC	77Outperform	$920.11M	26.35	43.97%	2.12%	86.96%	―
SBGI	66Neutral	$1.09B	10.72	22.59%	6.86%	1.17%	―
GTN	64Neutral	$610.56M	19.48	2.24%	5.51%	0.69%	-33.18%
Sector *	60Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
NMAX	50Neutral	$999.70M	-148.81	-5.93%	―	―	―
SSP	49Neutral	$348.44M	-0.28	-169.73%	―	-8.90%	-2931.13%

* Communication Services Sector Average

Performance Comparison

DE:NXZ and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
DE:NXZ	Nexstar Media Group	189.55	38.34	25.35%
SSP	E. W. Scripps Company Class A	3.61	-0.67	-15.65%
EVC	Entravision Communications Corporation Class A	9.47	6.83	258.71%
GTN	Gray Media Inc	5.99	1.44	31.76%
SBGI	Sinclair Broadcast Group	15.14	-0.61	-3.87%
NMAX	Newsmax Inc. Class B	9.58	1.97	25.89%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Nexstar Media Group AI Stock Analysis