In a recent transaction, Gary Weitman, the EVP and Chief Communications Officer of Nexstar Media Group, Inc. (NASDAQ:NXST), sold 7,261 shares of the company's common stock. The transaction was executed on September 26, 2024, with the shares being sold at a price of $164.8 each, totaling over $1.1 million.
Weitman's sale has adjusted his holdings in the company, leaving him with a total of 5,216 shares of Nexstar Media Group's common stock following the transaction. The sale was made public through a Form 4 filing with the Securities and Exchange Commission.
Nexstar Media Group, headquartered in Irving, Texas, operates as a television broadcasting company across various markets in the United States. This sale by a high-ranking executive may be of interest to current and potential investors, as it reflects a significant change in Weitman's investment in the company.
Investors often monitor insider transactions as they can provide insights into an executive's confidence in the company's current valuation and future prospects. It is important to note, however, that insider sales can occur for a variety of reasons and may not necessarily reflect a negative outlook.
Following this transaction, Nexstar Media Group's stock continues to be observed by the market for further developments and performance indicators.
In other recent news, Nexstar Media Group, Inc. reported record total net revenue for the second quarter, alongside the highest quarterly distribution revenue for the third consecutive quarter. This financial performance is attributed to strategic partnerships with major sports leagues and the successful launch of NewsNation. The company also announced the appointment of Ellen Johnson to its Board of Directors and approved a $1.5 billion share repurchase authorization.
The CW network, under Nexstar, has seen a decrease in operating losses and an increase in primetime ratings. However, certain advertising categories like furniture, automotive, and entertainment are lagging due to economic slowdowns. Despite this, Nexstar anticipates benefiting from the upcoming elections, with a focus on maximizing political revenue.
The company's adjusted EBITDA for the quarter was $398 million with a margin of 31.4%, up from the previous year. Nexstar also plans to strategically use its cash to create shareholder value. These are among the recent developments that highlight the company's commitment to growth and shareholder returns.
InvestingPro Insights
While Gary Weitman's recent sale of Nexstar Media Group (NASDAQ:NXST) shares may raise questions, a closer look at the company's financials and market position reveals a more nuanced picture. According to InvestingPro data, Nexstar's market capitalization stands at $5.33 billion, with a price-to-earnings ratio of 12.94, suggesting the stock may be reasonably valued relative to its earnings.
Investors considering Nexstar should note two key InvestingPro Tips. First, management has been aggressively buying back shares, which can be seen as a sign of confidence in the company's value. Second, Nexstar boasts a high shareholder yield, indicating a commitment to returning value to investors through dividends and buybacks.
The company's dividend policy is particularly noteworthy. With a current dividend yield of 4.06% and a impressive dividend growth rate of 25.19% over the last twelve months, Nexstar has demonstrated a strong commitment to shareholder returns. This is further underscored by the fact that the company has raised its dividend for 11 consecutive years and maintained payments for 12 years, as highlighted by additional InvestingPro Tips.
Financially, Nexstar appears solid with a revenue of $4.99 billion in the last twelve months and an EBITDA of $1.41 billion for the same period. While there has been a slight revenue decline of 5.03% year-over-year, the company maintains a healthy gross profit margin of 56.91%.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for Nexstar Media Group, providing deeper insights into the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.