Supreme Court Rejects Nexstar Appeal, DirecTV Antitrust Suit Proceeds
NXST is trading near its 52-week low of $153.17 (3.6% above the low).
Summary
The Supreme Court declined to hear Nexstar's appeal, leaving in place the 2nd Circuit's reinstatement of DirecTV's antitrust lawsuit. DirecTV alleges Nexstar and two station owners colluded to inflate retransmission fees, causing channel blackouts for a million subscribers and lost revenue. Nexstar argued DirecTV lacked standing because it never paid the inflated prices, but the appeals court allowed claims based on lost profits. The case now returns to federal court in New York, exposing Nexstar to potential damages and coercive settlement pressure. This legal overhang adds to existing concerns, with the stock trading near its 52-week low.
At the time of this announcement, NXST was trading at $158.70 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $4.9B. The 52-week trading range was $153.17 to $254.30. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.