On April 23, a $117.65 close marked a new high on Wall Street for shares of Nexstar Media Group.
Over the next several months, the broadcast TV company’s stock price would recede before gaining steam once again, repeating a pattern seen across the years for NXST.
If midday trading on Thursday (12/26) is any indication of what’s to come for Nexstar, a fresh all-time high for the stock is inevitable.
As of 1:34pm Eastern, NXST was trading at $117.40, up 49 cents from Tuesday’s close.
It caps off a strong two-month period for Nexstar, which saw its stock trading in the mid-$96 range at the end of October.
All signs point to a strong 2020 for Nexstar, and many on Wall Street say its current share price is “Undervalued.” With a 1 year target estimate of $138.90, now just may be the time for investors to get in.
Helping its cause: belt-tightening through the elimination of assets once part of Tribune Media, such as its CLTV cable TV network. While CBS is growing its regional news network, Nexstar is betting instead on sports while shutting down an operation largely stripped bare under its previous owner.
Also giving Nexstar a boost, albeit on a smaller scale, is a recent Zacks Equity Research review of NXST in which it says, “Thanks to promising estimate revisions, Nexstar currently carries a Zacks Rank #2 (Buy).”
It adds, “While strong estimate revisions for Nexstar have attracted decent investments and pushed the stock 6.3% higher over the past four weeks, further upside may still be left in the stock. So, you may consider adding it to your portfolio right away.”