Nexstar Broadcasting Group (NXST) Stock Declines While Market Improves: Some Information for Investors
In the latest trading session, Nexstar Broadcasting Group (NXST) closed at $173.57, marking a -1.61% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.29%. Elsewhere, the Dow saw a downswing of 0.25%, while the tech-heavy Nasdaq appreciated by 0.43%.
Shares of the television broadcaster witnessed a gain of 12.38% over the previous month, beating the performance of the Consumer Discretionary sector with its loss of 0.69% and the S&P 500's gain of 2.08%.
Market participants will be closely following the financial results of Nexstar Broadcasting Group in its upcoming release. The company plans to announce its earnings on February 28, 2024. The company's upcoming EPS is projected at $4.42, signifying a 45.02% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.32 billion, down 11.03% from the year-ago period.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Nexstar Broadcasting Group. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, Nexstar Broadcasting Group possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Nexstar Broadcasting Group is currently trading at a Forward P/E ratio of 5.9. This expresses a discount compared to the average Forward P/E of 8.59 of its industry.
Meanwhile, NXST's PEG ratio is currently 0.64. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Broadcast Radio and Television stocks are, on average, holding a PEG ratio of 0.62 based on yesterday's closing prices.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 211, positioning it in the bottom 17% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Nexstar Media Group, Inc (NXST) : Free Stock Analysis Report
