The E.W. Scripps Company Rises 51% YTD: Should You Buy the Stock Now?

The E.W. Scripps Company SSP shares have rallied 51.1% in the year-to-date (YTD) period, outperforming the Zacks Broadcast Radio and Television industry’s growth of 34.1% and the Zacks Consumer Discretionary sector’s return of 12.4%. SSP has also outperformed its competitors, Nexstar Media Group NXST, Sinclair SBGI and Paramount Global PARA. NXST and PARA shares have returned 14.7% and 23.3% YTD, respectively, while SBGI has lost 8.4%.

SSP shares have been riding on the momentum of strong execution in its live sports and Connected TV (CTV) strategies, coupled with disciplined cost management. The company has renewed its partnerships in women’s sports and expanded its line-up with new events, strengthening advertiser demand. These initiatives, along with a clear focus on debt reduction and operational efficiency, have bolstered investor confidence. Let’s delve deeper into some of the factors that are helping SSP to understand why the stock is a buy now.

SSP’s YTD Price Performance

SSP Expands Its Sports Line-Up With New Partnerships

SSP is doubling down on its sports programming strategy with two powerful moves that strengthen its reach and improve audience engagement. A renewed multi-year deal with the WNBA ensures that ION remains the league’s national home for Friday night games, including its exclusive studio show. With growing viewership and fan enthusiasm, this partnership solidifies SSP’s foothold in live women’s sports.

At the same time, SSP has signed a new agreement to broadcast Tampa Bay Lightning games at no cost to viewers. By launching a new local station, The Spot - Tampa Bay 66, and pairing it with app-based streaming, SSP is creating a viewing experience both on-air and online. This hybrid model improves viewer loyalty and opens new advertising and distribution opportunities.

Together, these deals are likely to support top-line growth through increased ad sales and strengthen SSP’s position in live sports.

SSP Rides on Scripps Networks’ Improving Margins

The E.W. Scripps Company is holding its ground in the competitive national network and CTV space, even as rivals like Nexstar Media Group, Sinclair and Paramount Global step up their efforts. 

Nexstar is bolstering its live sports presence with branded segments during NASCAR broadcasts on The CW, aiming to capture premium ad dollars. Sinclair, meanwhile, has seen rapid momentum from its multicast networks thanks to rebranding and fan-first programming events. Paramount Global continues to scale Pluto TV, strengthening its grip on the FAST ecosystem with broad national reach and curated content. Despite these aggressive plays, SSP has leaned into a focused live sports strategy and cost discipline, emerging as a margin leader in the space.

The Scripps Networks division has become a strategic growth lever for The E.W. Scripps Company, driven by a focused push into live sports and disciplined cost control. By doubling down on high-demand women’s sports programming and refining its national network footprint, SSP has positioned the segment to support margin expansion.

Ongoing partnerships with the WNBA and NWSL, along with new additions like the SI Women’s Games and Fort Myers Tip-off, are expected to improve ad inventory and strengthen seasonal performance through the remainder of the year. These distribution agreements are expected to provide valuable live content that attracts advertisers.

In the first quarter of 2025, Scripps Networks contributed 37.8% of total company revenues. While segment revenues declined 5.4% year over year, profit increased from $49.7 million to $64.1 million. A 16% drop in expenses pushed segment margin to 32%, its highest since late 2022. SSP reaffirmed its 2025 target of 400-600 basis points of margin expansion but noted that its first-quarter results have already exceeded that range due to early execution of cost-saving measures.

SSP’s Earnings Estimate Revisions Show an Upward Trend

The Zacks Consensus Estimate for 2025 earnings is pegged at 8 cents per share, which has been revised upward by a penny over the past 60 days, indicating a 92.59% year-over-year decline. 

The consensus mark for 2025 revenues is pegged at $2.19 billion, suggesting a 12.81% year-over-year decline.

E.W. Scripps Company (The) Price and Consensus

E.W. Scripps Company (The) price-consensus-chart | E.W. Scripps Company (The) Quote

SSP Shares are Trading Cheap

SSP stock is currently trading at a forward 12-month Price/Earnings ratio of 7.72X compared with the industry’s 32.10X. This makes the stock a great pick for a value investor. SSP has a Value Score of A, reinforcing an attractive valuation for SSP at the moment.

SSP’s P/E (F12M)

Here’s Why You Should Buy SSP Stock Now

SSP is a strong buy backed by clear strategic execution, expanding sports content and a growing presence in CTV. The company has already surpassed its margin expansion targets for 2025 and continues to attract advertiser demand through premium live programming. Its renewed partnerships with major sports leagues and investments in distribution are creating multiple revenue tailwinds. As SSP sharpens its national network footprint and deepens audience engagement, the company is poised to sustain momentum through the rest of the year. With solid cost control and a highly attractive valuation, SSP is well-positioned to deliver long-term value in 2025.

SSP currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

This article originally published on Zacks Investment Research (zacks.com).

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