Is Nexstar Broadcasting Group (NXST) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One company to watch right now is Nexstar Broadcasting Group (NXST). NXST is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
NXST is also sporting a PEG ratio of 0.86. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NXST's PEG compares to its industry's average PEG of 2.05. Over the past 52 weeks, NXST's PEG has been as high as 1.02 and as low as 0.45, with a median of 0.75.
Value investors will likely look at more than just these metrics, but the above data helps show that Nexstar Broadcasting Group is likely undervalued currently. And when considering the strength of its earnings outlook, NXST sticks out at as one of the market's strongest value stocks.
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Nexstar Media Group, Inc (NXST) : Free Stock Analysis Report
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