Analyst Note| Neil Macker, CFA |
Nexstar recorded a strong fourth quarter as revenue and adjusted EBITDA came in above FactSet consensus. Core advertising was down 10% as COVID-19 continues to impact the ad market. However, management appears confident the local market will rebound in 2021. We are maintaining our no-moat rating and plan to raise our fair value estimate of $120 to account for stronger core ad revenue and distribution growth.