Is Nexstar Media Group, Inc. overvalued or undervalued?

As of 8 September 2025, the valuation grade for Nexstar Media Group, Inc. has moved from very expensive to attractive, indicating a shift towards a more favorable assessment of the company's value. The company appears undervalued based on its current metrics, with a P/E ratio of 10, a Price to Book Value of 2.72, and an EV to EBITDA of 6.03, which are competitive compared to peers like TEGNA, Inc. with a P/E of 12.12 and EV to EBITDA of 9.29, and Sirius XM Holdings, Inc., which has a P/E of 6.62.
Nexstar's PEG ratio of 0.12 and a robust dividend yield of 415.88% further support the argument for its undervaluation. In terms of recent performance, while the company has returned 30.66% year-to-date compared to the S&P 500's 12.22%, it has underperformed over the longer three-year and ten-year periods, with returns of 8.14% and 105.60% respectively, against the S&P 500's 70.41% and 231.64%. This mixed performance highlights the potential for growth as the valuation metrics suggest a more attractive investment opportunity.