TEGNA (TGNA): Exploring Current Valuation After a Strong 1-Year Return

TEGNA (TGNA) shares have been showing resilience lately, with the stock up nearly 17% over the past 3 months and returning 29% for investors in the past year. These gains reflect both sector trends as well as shifting investor expectations.

See our latest analysis for TEGNA.

TEGNA’s share price may have cooled off a bit in recent weeks, but its 1-year total shareholder return of 28.5% tells a story of solid momentum building beneath the surface. With the stock now at $20.09 and a five-year total return nearing 87%, investors seem to be factoring in both stable fundamentals and potential upside, even during a quieter news cycle.

If you’re looking for more stocks that catch market momentum, now is a smart time to broaden your search and discover fast growing stocks with high insider ownership

But with TEGNA trading just below analyst price targets and boasting a strong five-year run, investors are left to wonder whether there is still room for upside or if the market has already priced in future growth.

Most Popular Narrative: 5.8% Undervalued

With TEGNA's widely followed fair value estimate set at $21.33, just a touch above the last closing price of $20.09, market watchers are pointing to a valuation that is both grounded and close to current trading levels. This narrative draws on detailed forecasts and sets up a balancing act between traditional broadcast challenges and new digital ambitions.

The transition to digital and streaming is eroding traditional broadcast audiences, creating challenges for future advertising revenue and long-term earnings stability. Heavy reliance on political advertising and difficulties in digital transformation raise volatility and uncertainty around sustainable revenue and margins.

Read the complete narrative.

Curious how these analysts land just above today’s price? They are weighing a potential pivot away from legacy TV, tighter profit margins, and shifting audience habits. Want a peek into the crucial assumptions baked into their forecast and whether bold digital plans might truly tip the scale? See which projections and calculations give rise to this valuation in the full breakdown.

Result: Fair Value of $21.33 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, rapid growth in digital content or a relaxation of industry regulations could help offset falling broadcast revenues and change the narrative for TEGNA.

Find out about the key risks to this TEGNA narrative.

Build Your Own TEGNA Narrative

If you see things differently or want to shape your own perspective, you can dive into the numbers and build a unique viewpoint in just a few minutes, then Do it your way

A great starting point for your TEGNA research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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