Fox (FOX) AI Stock Analysis

• Market Cap: $4.59B
• Dividend Yield: 3.79%
• Average Volume (3M): 25.80K
• Price to Earnings (P/E): 19.4
• Beta (1Y): 1.37
• Revenue Growth: 15.89%
• EPS Growth: -2.68%
• Country: IL
• Employees: 14,555
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Apparel - Manufacturers
• EPS (TTM): 377.80
• Shares Outstanding: 13,865,639
• 10 Day Avg. Volume: 26,385
• 30 Day Avg. Volume: 25,803
• PEG Ratio: 0.15
• Price to Book (P/B): 2.34
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 6.59
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: 39,968.00 ▲(14.13% Upside)

The overall stock score of 69 reflects strong technical indicators and reasonable valuation, offset by financial performance challenges. The stock's upward momentum and attractive dividend yield are significant positives, but financial risks due to high leverage and cash flow issues need to be addressed to improve the overall outlook.

Positive Factors

Revenue Growth

The significant revenue growth suggests Fox is effectively expanding its market reach and capitalizing on demand, which is crucial for long-term business sustainability and competitiveness.

Gross Profit Margin

A strong gross profit margin indicates Fox's ability to manage costs effectively, which supports profitability and provides a buffer against market fluctuations, enhancing long-term financial health.

Content and Market Position

Fox's strong market position and diverse content portfolio ensure a wide audience reach and sustained advertising revenue, reinforcing its competitive advantage in the media industry.

Negative Factors

Rising Debt Levels

Increased leverage can strain financial flexibility and elevate risk, potentially impacting Fox's ability to invest in growth opportunities and manage economic downturns effectively.

Cash Flow Challenges

Negative free cash flow suggests difficulties in generating sufficient cash to fund operations and investments, which could hinder Fox's long-term financial stability and growth potential.

Declining Net Margins

A decline in net margins indicates rising costs or inefficiencies, which could erode profitability and affect Fox's ability to sustain earnings growth over the long term.

Fox Business Overview & Revenue Model

Company Description

Fox Corporation (FOX) is a leading media company that operates primarily in the television broadcasting and cable sectors. It is known for its diverse portfolio of news, sports, and entertainment content delivered through its broadcast and cable networks, including the Fox Broadcasting Company, Fox News Channel, Fox Sports, and various other digital platforms. The company focuses on creating engaging content that reaches a wide audience and is a major player in the U.S. media landscape.

How the Company Makes Money

Fox generates revenue primarily through advertising sales, which constitute a significant portion of its income, particularly from its broadcast and cable networks. The company sells advertising slots during its television programming, leveraging its viewership to attract advertisers. Additionally, Fox earns revenue through affiliate fees paid by cable and satellite providers for carrying its channels. Another important revenue stream comes from licensing its content for syndication and distribution, both domestically and internationally. Strategic partnerships with technology platforms and other media companies further enhance its reach and monetization opportunities, contributing to its overall earnings.

Fox Financial Statement Overview

Summary

Fox shows strong revenue growth and healthy gross margins, but faces challenges with declining net margins and increased leverage. The balance sheet indicates higher financial risk due to rising debt levels, while cash flow metrics suggest potential liquidity issues. Improvement in cash flow generation and debt management is needed for better financial stability.

Income Statement

Fox has demonstrated strong revenue growth with a TTM increase of 52.1%, indicating robust demand and market expansion. The gross profit margin remains healthy at 57.5%, reflecting efficient cost management. However, the net profit margin has decreased to 3.6% in the TTM, suggesting increased expenses or cost pressures. The EBIT and EBITDA margins have also slightly declined, indicating potential operational challenges.

Balance Sheet

The company's debt-to-equity ratio has increased to 3.22 in the TTM, indicating higher leverage and potential financial risk. Return on equity has decreased to 13.9%, reflecting reduced profitability from equity investments. The equity ratio stands at 18.4%, suggesting a moderate reliance on equity financing. Overall, the balance sheet shows increased financial risk due to rising debt levels.

Cash Flow

Fox's free cash flow has turned negative in the TTM, with a significant decline of 118.6%, raising concerns about cash generation capabilities. The operating cash flow to net income ratio is low at 0.21, indicating limited cash conversion efficiency. The free cash flow to net income ratio is negative, highlighting cash flow challenges despite positive operating cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.63B	6.42B	5.38B	4.84B	4.20B	2.80B
Gross Profit	3.81B	3.67B	2.97B	2.79B	2.47B	1.57B
EBITDA	1.45B	1.48B	1.01B	941.80M	953.22M	582.37M
Net Income	235.67M	290.98M	149.20M	213.38M	298.36M	206.91M
Balance Sheet
Total Assets	9.20B	8.73B	7.71B	6.95B	6.11B	4.66B
Cash, Cash Equivalents and Short-Term Investments	1.19B	1.58B	1.83B	1.54B	1.77B	926.04M
Total Debt	5.43B	4.77B	4.17B	3.43B	2.66B	2.35B
Total Liabilities	6.84B	6.28B	5.44B	4.71B	3.82B	3.45B
Stockholders Equity	1.69B	1.76B	1.59B	1.54B	1.58B	1.02B
Cash Flow
Free Cash Flow	-48.35M	627.11M	601.32M	379.33M	649.56M	434.47M
Operating Cash Flow	566.63M	1.15B	930.42M	595.55M	753.54M	531.42M
Investing Cash Flow	-493.42M	-414.18M	-299.04M	-497.03M	-517.47M	9.62M
Financing Cash Flow	-410.22M	-678.82M	-327.52M	-520.60M	202.74M	-130.11M

Fox Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 35020.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:FOX, the sentiment is Neutral. The current price of 35020 is below the 20-day moving average (MA) of 36350.00, below the 50-day MA of 36113.40, and above the 200-day MA of 32891.91, indicating a neutral trend. The MACD of -594.24 indicates Positive momentum. The RSI at 45.05 is Neutral, neither overbought nor oversold. The STOCH value of 50.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IL:FOX.

Fox Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOX	69 Neutral	$4.59B	19.40	14.11%	3.79%	15.89%	-2.68%
RMLI	69 Neutral	4.48B	19.80	―	4.35%	6.10%	-9.48%
TTAM	68 Neutral	974.57M	16.79	―	1.72%	―	―
DELG	63 Neutral	$4.64B	15.09	10.63%	2.47%	2.95%	-14.16%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DANE	56 Neutral	2.75B	128.81	―	3.06%	5.94%	-52.48%