Fox (FOXA) AI Stock Analysis

• Market Cap: $29.40B
• Dividend Yield: 0.77%
• Average Volume (3M): 3.36M
• Price to Earnings (P/E): 15.8
• Beta (1Y): 0.47
• Revenue Growth: 14.91%
• EPS Growth: 9.30%
• Country: US
• Employees: 10,200
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 1.51
• Shares Outstanding: 208,361,700
• 10 Day Avg. Volume: 3,656,119
• 30 Day Avg. Volume: 3,361,912
• PEG Ratio: 0.20
• Price to Book (P/B): 2.16
• Price to Sales (P/S): 1.58
• P/FCF Ratio: 8.63
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 1.94
• Enterprise Value/Gross Profit: 4.70
• Enterprise Value/Ebitda: 9.16
• 1Y Price Target: $73.31
• Price Target Upside: 3.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: $73.00 ▲(2.57% Upside)

Fox Corporation's stock is performing well, driven by strong financial performance and bullish technical indicators. The company's strategic initiatives, such as the share buyback and Tubi's growth, are positive. However, challenges like declining free cash flow and subscriber numbers need attention. The stock's valuation is fair, with a reasonable P/E ratio and modest dividend yield.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand for Fox's content and services, enhancing its market position and financial stability.

Tubi's Performance

Tubi's growth and profitability highlight Fox's successful digital strategy, expanding its audience reach and revenue streams.

Strategic Partnerships

The partnership with Audiochuck enhances Fox's content portfolio and advertising capabilities, strengthening its competitive edge.

Negative Factors

Net Income Decline

The decline in net income suggests potential challenges in cost management or revenue generation, impacting profitability.

Free Cash Flow Negative

Negative free cash flow indicates potential liquidity issues, affecting Fox's ability to invest in growth opportunities.

Subscriber Declines

Continued subscriber declines may limit Fox's revenue potential from traditional broadcasting, necessitating strategic adjustments.

Fox Business Overview & Revenue Model

Company Description

Fox Corporation operates as a news, sports, and entertainment company in the United States (U.S.). The company operates through Cable Network Programming; Television; and Other, Corporate and Eliminations segments. The Cable Network Programming segment produces and licenses news, business news, and sports content for distribution through traditional and virtual multi-channel video programming distributors (MVPDs) and other digital platforms, primarily in the U.S. It operates FOX News, a national cable news channel; FOX Business, a business news national cable channel; FS1 and FS2 multi-sport national networks; FOX Sports Racing, a video programming service that comprises motor sports programming; FOX Soccer Plus, a video programming network for live soccer and rugby competitions; FOX Deportes, a Spanish-language sports programming service; and Big Ten Network, a national video programming service. The Television segment acquires, produces, markets, and distributes programming. It operates The FOX Network, a national television broadcast network that broadcasts sports programming and entertainment; Tubi, an advertising-supported video-on-demand service; Fox Alternative Entertainment, a full-service production studio that develops and produces unscripted and alternative programming; MyNetworkTV, a programming distribution service; and Blockchain Creative Labs, which is focuses on the creation, distribution and monetization of Web3 content. This segment owns and operates 29 broadcast television stations. The Other, Corporate and Eliminations segment owns the FOX Studios Lot that provides production and post-production services, including 15 sound stages, two broadcast studios, theaters and screening rooms, editing rooms, and other television and film production facilities in Los Angeles, California. The company was incorporated in 2018 and is based in New York, New York.

How the Company Makes Money

Fox generates revenue through multiple channels, primarily through advertising sales and affiliate fees. The company's advertising revenue comes from commercial airtime sold during broadcasts, which is particularly lucrative during live sports events and prime-time shows. Additionally, Fox earns affiliate fees from cable and satellite providers who carry its channels, providing a steady income stream. The company also benefits from licensing its content to third-party platforms and international broadcasters. Significant partnerships with sports leagues and major events, such as the NFL and MLB, enhance its revenue potential by attracting large audiences and advertisers. Furthermore, digital initiatives and streaming services contribute to its earnings by expanding its reach and offering additional monetization opportunities.

Fox Financial Statement Overview

Summary

Fox exhibits a strong financial position with consistent revenue growth and solid profitability margins. The balance sheet shows improved leverage ratios, enhancing financial stability. However, the decline in free cash flow growth is a potential risk that needs to be addressed to maintain long-term financial health.

Income Statement

Fox has demonstrated solid revenue growth with a TTM revenue growth rate of 1.07% and a consistent increase over the past years. The gross profit margin is strong at 66% TTM, indicating efficient cost management. However, the net profit margin has slightly decreased to 12.35% TTM from 13.88% in the previous annual report, suggesting some pressure on profitability. EBIT and EBITDA margins remain healthy, reflecting stable operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.54 TTM, indicating a reduction in leverage and a stronger equity position. Return on equity is robust at 17.25% TTM, showcasing effective use of shareholder funds. The equity ratio is stable, reflecting a balanced asset structure. However, the overall debt level remains significant, which could pose risks if not managed carefully.

Cash Flow

Fox's cash flow performance shows some mixed results. The free cash flow growth rate is negative at -7.48% TTM, indicating a decline in cash generation. However, the operating cash flow to net income ratio is strong at 1.23 TTM, suggesting good cash conversion from earnings. The free cash flow to net income ratio is also healthy at 0.91 TTM, but the declining trend in free cash flow growth is a concern.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.47B	16.30B	13.98B	14.91B	13.97B	12.91B
Gross Profit	6.80B	5.40B	13.98B	14.91B	13.97B	12.91B
EBITDA	3.49B	3.85B	2.90B	2.50B	2.43B	3.61B
Net Income	2.04B	2.26B	1.50B	1.24B	1.21B	2.15B
Balance Sheet
Total Assets	22.77B	23.20B	21.97B	21.87B	22.18B	22.93B
Cash, Cash Equivalents and Short-Term Investments	4.37B	5.35B	4.32B	4.27B	5.20B	5.89B
Total Debt	7.45B	7.46B	8.15B	8.21B	7.72B	8.45B
Total Liabilities	10.37B	10.84B	10.92B	11.21B	10.62B	11.54B
Stockholders Equity	12.21B	11.96B	10.71B	10.38B	11.34B	11.12B
Cash Flow
Free Cash Flow	2.67B	2.99B	1.50B	1.44B	1.58B	2.15B
Operating Cash Flow	3.04B	3.32B	1.84B	1.80B	1.88B	2.64B
Investing Cash Flow	-714.00M	-537.00M	-452.00M	-438.00M	-513.00M	-528.00M
Financing Cash Flow	-2.01B	-1.75B	-1.34B	-2.29B	-2.06B	-870.00M

Fox Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 71.17
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FOXA, the sentiment is Positive. The current price of 71.17 is above the 20-day moving average (MA) of 67.87, above the 50-day MA of 64.27, and above the 200-day MA of 57.44, indicating a bullish trend. The MACD of 1.97 indicates Negative momentum. The RSI at 70.01 is Negative, neither overbought nor oversold. The STOCH value of 66.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FOXA.

Fox Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOXA	77 Outperform	$29.40B	15.84	17.33%	0.77%	14.91%	9.30%
DIS	75 Outperform	$199.27B	16.30	11.78%	1.13%	3.61%	152.34%
NFLX	73 Outperform	$432.14B	39.60	42.86%	―	15.49%	35.54%
WBD	68 Neutral	$71.63B	150.37	1.36%	―	-4.29%	―
NWSA	67 Neutral	$15.21B	32.24	5.59%	0.77%	-16.36%	29.53%
ROKU	65 Neutral	$16.41B	-543.89	-1.09%	―	16.61%	83.98%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Fox Corporate Events

Fox Holds Annual Meeting, Elects Board Members

On November 14, 2025, Fox Company held its Annual Meeting of Stockholders where several key proposals were voted on. The election of directors saw Lachlan K. Murdoch, Tony Abbott AC, William A. Burck, Chase Carey, Roland A. Hernandez, Margaret “Peggy” L. Johnson, and Paul D. Ryan elected to the board. The stockholders also ratified Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending June 30, 2026. Additionally, the advisory vote on executive officer compensation was approved, and it was decided to hold such votes annually. However, stockholder proposals to improve the executive compensation program and to implement a simple majority vote did not pass.

Fox Corporation’s New Stockholders Agreement with LGC

On September 8, 2025, Fox Corporation entered into a new stockholders agreement with LGC Holdco and the LGC Family Trusts, replacing a previous agreement with the Murdoch Family Trust. This new agreement maintains similar terms, such as limiting the Murdoch Individuals and associated trusts’ voting power to 44% of the company’s Class B common stock, and includes provisions for right of first refusal and registration rights. Additionally, an underwriting agreement was executed with Morgan Stanley for the sale of 16,835,016 shares of Class B common stock by certain trusts, closing on September 10, 2025. The company did not sell shares or receive proceeds from this sale.

Fox Resolves Murdoch Trust Dispute, Restructures Holdings

On September 8, 2025, Fox Corporation announced the resolution of legal proceedings related to the Murdoch Family Trust, leading to the establishment of new trusts for Lachlan, Grace, and Chloe Murdoch. The Departing Beneficiaries, including Prudence MacLeod, Elisabeth Murdoch, and James Murdoch, will no longer be beneficiaries and intend to sell approximately 16.9 million shares of FOX’s Class B common stock in a public offering. The proceeds will benefit the Departing Beneficiaries and associated charitable organizations. LGC Holdco, owned by the Remaining Beneficiary Trusts, will retain significant shares in FOX and News Corporation, with voting control resting with Lachlan Murdoch. This restructuring is expected to solidify Lachlan Murdoch’s leadership and influence within the company.