TEGNA (TGNA) AI Stock Analysis

• Market Cap: $3.12B
• Dividend Yield: 2.58%
• Average Volume (3M): 1.53M
• Price to Earnings (P/E): 9.2
• Beta (1Y): 0.62
• Revenue Growth: -2.73%
• EPS Growth: -25.06%
• Country: US
• Employees: 5,900
• Sector: Communication Services
• Sector Strength: 97
• Industry: Broadcasting
• EPS (TTM): 0.33
• Shares Outstanding: 161,056,800
• 10 Day Avg. Volume: 1,373,791
• 30 Day Avg. Volume: 1,533,925
• PEG Ratio: 0.09
• Price to Book (P/B): 1.03
• Price to Sales (P/S): 0.99
• P/FCF Ratio: 4.87
• Enterprise Value/Market Cap: 1.82
• Enterprise Value/Revenue: 1.97
• Enterprise Value/Gross Profit: 5.00
• Enterprise Value/Ebitda: 8.00
• 1Y Price Target: $22.00
• Price Target Upside: 13.40% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 1.54
• Revenue Forecast (FY): $2.71B

• Rating: 62 Neutral
• Price Target: $20.50 ▲(5.67% Upside)

TEGNA's overall stock score reflects a combination of mixed financial performance, bearish technical indicators, and attractive valuation. The company's financial stability and low P/E ratio are positive factors, but challenges in revenue growth and legal issues related to the merger weigh on the score. The earnings call provided a balanced view of achievements and challenges, with significant revenue declines expected in the near term.

Positive Factors

Digital Growth

Consistent digital growth indicates successful adaptation to digital trends, enhancing long-term revenue potential and market position.

Operational Efficiency

Improved operational efficiency through cost-cutting initiatives strengthens margins and supports sustainable profitability.

Regulatory Developments

Positive regulatory changes enhance strategic options, potentially improving competitive positioning in the broadcasting landscape.

Negative Factors

Revenue Decline

Declining revenue poses challenges to maintaining growth and profitability, impacting long-term financial health.

Advertising Market Challenges

Cyclical and macroeconomic headwinds in advertising markets threaten revenue stability and growth prospects.

Merger Uncertainty

Legal challenges related to the merger create uncertainty, potentially affecting strategic direction and investor confidence.

TEGNA Business Overview & Revenue Model

Company Description

TEGNA Inc. operates as a media company in the United States. The company operates television stations that deliver television programming and digital content. It offers news content to consumers across various platforms, including online, mobile, and social platforms; owns and operates multicast networks under the names True Crime Network, Quest, and Twist that offer on-demand episodes of shows; and operates VAULT Studios, which provides true crime and investigative content in the form of podcasts and original television programs. The company also provides solutions for advertisers through TEGNA Marketing Solutions (TMS). TMS delivers results for advertisers across television and digital platforms, as well as over-the-top (OTT) platforms, including Premion OTT advertising network. As of February 28, 2022, it operated 64 television stations in 51 markets. The company was formerly known as Gannett Co., Inc. and changed its name to TEGNA Inc. in June 2015. TEGNA Inc. was founded in 1906 and is headquartered in Tysons, Virginia.

How the Company Makes Money

TEGNA generates revenue through several key streams: advertising sales, which comprise a significant portion of its earnings as local businesses utilize TEGNA's television stations to reach targeted audiences; retransmission consent fees paid by cable and satellite providers for the right to carry TEGNA's broadcast signals; and digital revenue from its online platforms, which includes digital advertising and subscription services. Additionally, TEGNA benefits from partnerships with various content providers and advertisers, enhancing its revenue from both traditional and digital media channels.

TEGNA Financial Statement Overview

Summary

TEGNA's financial performance is mixed, with challenges in revenue growth and profitability as indicated by declining margins and negative revenue growth. However, the balance sheet shows improved leverage and a strong equity base, providing financial stability. Cash flow generation has weakened, but the company maintains a solid free cash flow to net income ratio.

Income Statement

TEGNA's income statement shows a decline in revenue growth with a negative rate of -5.15% in the TTM period, indicating potential challenges in maintaining top-line growth. The gross profit margin has decreased from 43.39% in 2024 to 39.45% in the TTM period, reflecting pressure on cost management. Net profit margin also declined to 12.00% from 19.34% in 2024, suggesting reduced profitability. However, the company maintains a reasonable EBIT margin of 21.15% and an EBITDA margin of 23.79%, indicating operational efficiency.

Balance Sheet

TEGNA's balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.83 in the TTM period, improved from 1.04 in 2024, indicating reduced leverage. The return on equity (ROE) is 11.27%, down from 19.96% in 2024, suggesting a decline in profitability relative to equity. The equity ratio stands at 45.77%, showing a solid equity base relative to total assets, which enhances financial stability.

Cash Flow

The cash flow statement reveals a significant decline in free cash flow growth at -25.41% in the TTM period, indicating challenges in generating cash. The operating cash flow to net income ratio is 0.72, down from 1.47 in 2024, suggesting reduced cash conversion efficiency. However, the free cash flow to net income ratio remains strong at 0.91, indicating that the company still generates substantial free cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.88B	3.10B	2.91B	3.28B	2.99B	2.94B
Gross Profit	1.13B	1.35B	1.19B	1.59B	1.39B	1.43B
EBITDA	708.82M	1.06B	892.69M	1.13B	927.18M	1.00B
Net Income	345.26M	599.82M	476.72M	630.47M	477.00M	482.78M
Balance Sheet
Total Assets	6.81B	7.33B	7.00B	7.33B	6.92B	6.85B
Cash, Cash Equivalents and Short-Term Investments	232.78M	693.21M	361.04M	551.68M	56.99M	40.97M
Total Debt	2.59B	3.14B	3.16B	3.16B	3.32B	3.65B
Total Liabilities	3.69B	4.30B	4.28B	4.24B	4.38B	4.78B
Stockholders Equity	3.12B	3.00B	2.70B	3.07B	2.52B	2.06B
Cash Flow
Free Cash Flow	429.42M	632.53M	532.55M	760.82M	438.54M	759.64M
Operating Cash Flow	468.38M	684.97M	587.25M	812.15M	501.61M	805.14M
Investing Cash Flow	-42.05M	31.77M	-27.99M	-51.23M	-69.26M	-59.52M
Financing Cash Flow	-729.81M	-384.56M	-749.90M	-266.23M	-416.33M	-734.05M

TEGNA Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TGNA, the sentiment is Negative. The current price of 19.4 is below the 20-day moving average (MA) of 19.44, below the 50-day MA of 19.61, and above the 200-day MA of 18.26, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 44.80 is Neutral, neither overbought nor oversold. The STOCH value of 19.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TGNA.

TEGNA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GTN	67 Neutral	$553.55M	11.88	3.36%	6.45%	-3.32%	-69.63%
SSP	64 Neutral	$355.21M	-9.05	1.81%	―	-3.27%	86.01%
TGNA	62 Neutral	$3.12B	9.15	11.50%	2.58%	-2.73%	-25.06%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
IHRT	52 Neutral	$613.44M	-1.70	―	―	1.39%	61.75%
FUBO	52 Neutral	$918.50M	7.39	38.60%	―	1.70%	―
NMAX	40 Underperform	$1.15B	―	―	―	―	―

TEGNA Corporate Events

TEGNA Shareholders Approve Merger with Nexstar

On November 18, 2025, TEGNA Inc. held a special meeting where shareholders approved a merger agreement with Nexstar Media Group, Inc., with approximately 98% of the voting shares in favor. The merger, expected to close by the second half of 2026, will result in TEGNA becoming a subsidiary of Nexstar, and its shares will cease trading on the New York Stock Exchange, pending regulatory approvals and customary closing conditions.

TEGNA Faces Legal Challenges Over Merger Disclosure

On August 18, 2025, TEGNA Inc. entered into a merger agreement with Nexstar Media Group, where TEGNA will become a wholly owned subsidiary of Nexstar. Following this announcement, TEGNA faced legal challenges from stockholders alleging misleading information in the merger proxy statements. To address these claims and avoid delays, TEGNA has decided to make supplemental disclosures, although it maintains that the claims are without merit.

TEGNA Merger with Nexstar Faces DOJ Review

On August 18, 2025, TEGNA Inc. entered into a Merger Agreement with Nexstar Media Group, where TEGNA will become a wholly owned subsidiary of Nexstar. The merger is under review by the U.S. Department of Justice, which issued a Second Request for additional information on October 30, 2025, extending the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act. The merger is expected to be completed by the second half of 2026, pending regulatory approvals and satisfaction of closing conditions.