Background: The wellbeing of college students is an important concern for public health, and may have associations with insufficient physical activity and psychological distress. This study aimed to identify the latent classes of wellbeing based on the PERMA (i.e., positive emotions, engagement, relationships, meaning, and accomplishments) wellbeing framework, and to explore their associations with levels of physical activity and psychological distress. Methods: A cross-sectional online survey was conducted. A latent profile analysis was performed to characterize the different classes of wellbeing of nursing college students. Results: A group of 1741 nursing college students in China completed the study. Three wellbeing classes were identified in the final model (i.e., low-level wellbeing, moderate-level wellbeing, and high-level wellbeing). Significant differences were found between the three classes in terms of gender (p = 0.002) and year of study (p = 0.038). Low levels of physical activity participation were significantly associated with lower odds of being in the high-level wellbeing class compared with the moderate-level wellbeing class (OR = 1.398, 95%CI [1.023, 1.910], p = 0.035). Lower levels of psychological distress were also associated with greater wellbeing among the three wellbeing classes (p < 0.05). Conclusions: Effective strategies are needed to increase college students’ physical activity participation and decrease the severity of psychological distress to improve their health and wellbeing in China.