Nexstar Is A Hold For More Risk-Averse Investors

Six-Five Research
175 Followers

Summary

  • Nexstar strengthening its liquidity and capital structure ratios is a good strategic move.
  • A Dupont analysis showcases a better trend of profitability for potential investors.
  • A weakening cash conversion cycle raises concerns about their time to turn sales into cash.
  • The stock is trading around fair value based on a select peer group.
  • Industry risks and a softer credit rating should weigh heavily into investing decisions.

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Thesis

Nexstar Media Group, Inc (NASDAQ:NXST) shows recent positive trends, though there are negative aspects to be considered heavily. The strengthening of ratios regarding liquidity and capital structure are strong strategic moves for the firm moving forward. Their

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Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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