Some whisperings that NXST is being looked upon with envious eyes? That's the word by some today. Company is at bargain-price at the 99-cent store in Media-ville. Anybody hear anything? We're nearing 10% of the entire TV viewing audience. What a ripe-plumb this company is for the far-sighted ..
Actually the 4 Points agreement signals the exact opposite. Private equity money is trying to exit TV because valuations are falling so badly. Nexstar wins points as a good manager to ready the 4 Points stations for sale, but the LBO boys leaving broadcasting pokes a big hole in the bucket of debt carried by Nexstar.
Moody's has spelled it out in black and white, the stations are worth less than the debt which is why the stock is nearly worthless. Remember, Nexstar hired Goldman to try and sell the company and it didn't happen. The potential for a sale days after bond holders accept 35 cents on the dollar is nil.
Dear Sir, You really do know your stuff. You are good - much, much better at these things than I. The rumors are probably just office chatter and meaningless. Thanks for your most excellent input. Some 7 or so years ago, maybe less, I held NXST for a long while, then got out, selling at a ridiculously low price. As bad luck would follow (as is the case for me throughout my STOCK PURCHASING AND SELLING ENDEAVORS), NXST soared to above 14 dollars a share. I know this won't happen again, but I've been reluctant to sell knowing this history. In any event, thanks for the input. You are a smart person.