News Corp (NWSA) AI Stock Analysis

• Market Cap: $17.56B
• Dividend Yield: 0.68%
• Average Volume (3M): 3.40M
• Price to Earnings (P/E): 34.4
• Beta (1Y): 0.83
• Revenue Growth: -5.43%
• EPS Growth: 135.46%
• Country: US
• Employees: 23,900
• Sector: Communication Services
• Sector Strength: 88
• Industry: Entertainment
• EPS (TTM): 0.17
• Shares Outstanding: 377,202,970
• 10 Day Avg. Volume: 4,145,237
• 30 Day Avg. Volume: 3,403,306
• PEG Ratio: 1.85
• Price to Book (P/B): 1.96
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 20.84
• Enterprise Value/Market Cap: 1.00
• Enterprise Value/Revenue: 0.47
• Enterprise Value/Gross Profit: 1.88
• Enterprise Value/Ebitda: 3.05
• 1Y Price Target: $39.00
• Price Target Upside: 32.02% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6

• Rating: 77 Outperform
• Price Target: $32.00 ▲(8.33%Upside)

News Corp's overall stock score reflects strong financial performance and positive strategic initiatives like the stock buyback and digital growth focus. While technical indicators are neutral, and valuation appears high, the company's strategic transformations and operational efficiencies bolster its market position.

Positive Factors

Company Valuation

Dow Jones is valued on a standalone basis at US$12bn or US$21 per NWSA share, which is above the consensus valuation.

Earnings Performance

News Corp reported total revenue and Adj. EBITDA above consensus estimates.

Strategic Initiatives

Increasing the ownership of REA from 61% to 80% and spinning off REA to News Corp’s shareholders could unlock $22 of value.

Negative Factors

Advertising Environment

The firm pointed to a more challenging ad environment within News Media.

Capital Requirements

Increasing the REA stake by 19% may require $3.9 billion in capital, with identified sources including the pending sale of Foxtel and selling a portion of Move to REA.

News Corp Business Overview & Revenue Model

Company Description

News Corporation, a media and information services company, creates and distributes authoritative and engaging content, and other products and services for consumers and businesses worldwide. It operates in six segments: Digital Real Estate Services, Subscription Video Services, Dow Jones, Book Publishing, News Media, and Other. The company distributes content and data products, including The Wall Street Journal, Barron's, MarketWatch, Investor's Business Daily, Factiva, Dow Jones Risk & Compliance, Dow Jones Newswires, and OPIS through various media channels, such as newspapers, newswires, websites, mobile apps, newsletters, magazines, proprietary databases, live journalism, video, and podcasts. It also owns and operates daily, Sunday, weekly, and bi-weekly newspapers comprising The Australian, The Weekend Australian, The Daily Telegraph, The Sunday Telegraph, Herald Sun, Sunday Herald Sun, The Courier Mail, The Sunday Mail, The Advertiser, Sunday Mail, The Sun, The Sun on Sunday, The Times, The Sunday Times, and New York Post, as well as digital mastheads and other websites. In addition, the company publishes general fiction, nonfiction, children's, and religious books; provides sports, entertainment, and news services to pay-TV and streaming subscribers, and other commercial licensees through cable, satellite, and internet distribution; and broadcasts rights to live sporting events. Further, it offers property and property-related advertising and services on its websites and mobile applications; online real estate services; and financial services. The company was founded in 2012 and is headquartered in New York, New York.

How the Company Makes Money

News Corp generates revenue through various streams across its diverse business segments. In the news and information services sector, the company earns money primarily from advertising, circulation, and subscription revenues, particularly from its flagship publications like The Wall Street Journal and The Times. The book publishing segment, led by HarperCollins Publishers, contributes to revenue through book sales across multiple formats, including print, digital, and audio. Digital real estate services, such as those provided by Realtor.com, generate income through advertising and lead generation services for real estate agents and brokers. Additionally, News Corp's subscription video services, including pay-TV distribution and licensing of content, further diversify its revenue streams. Key partnerships with other media and technology companies, along with strategic acquisitions, enhance its content distribution capabilities and market reach, contributing significantly to its overall earnings.

News Corp Financial Statement Overview

Summary

News Corp demonstrated strong financial performance with improved profitability and cash flow metrics despite a revenue decline. The company showed operational efficiency gains and reduced leverage, although it faces growth challenges in the competitive entertainment industry.

Income Statement

News Corp showed a stable gross profit margin with a TTM figure of 100%. The net profit margin improved to 5.18% in TTM from 2.64% annually. Revenue declined by 6.72% in TTM compared to the previous year, indicating potential growth challenges. However, the EBIT margin improved to 10.16% from 7.98% annually, suggesting operational efficiency gains. The EBITDA margin also increased, reflecting strong earnings performance.

Balance Sheet

The debt-to-equity ratio improved to 0.36 in TTM, reflecting a reduction in leverage. The return on equity increased to 5.94% in TTM from 3.28% annually, showing improved profitability. The equity ratio remained stable at around 49.5%, indicating solid financial stability. However, maintaining a high equity ratio is crucial to mitigate financial risk.

Cash Flow

Free cash flow increased by 34% in TTM, demonstrating strong cash generation. The operating cash flow to net income ratio was 2.46, indicating robust cash flow relative to earnings. The free cash flow to net income ratio was 1.66, reflecting efficient cash flow management. Overall, the cash flow metrics highlight healthy financial operations.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	9.40B	10.09B	9.88B	10.38B	9.36B	9.01B
Gross Profit	9.40B	10.09B	4.04B	4.57B	3.85B	3.36B
EBITDA	1.57B	1.36B	1.14B	1.73B	1.29B	-695.00M
Net Income	487.00M	266.00M	149.00M	623.00M	330.00M	-1.27B
Balance Sheet
Total Assets	16.58B	16.68B	16.92B	17.22B	16.77B	14.26B
Cash, Cash Equivalents and Short-Term Investments	2.10B	1.96B	1.83B	1.82B	2.24B	1.52B
Total Debt	2.92B	4.05B	4.21B	4.16B	3.60B	2.54B
Total Liabilities	7.50B	7.67B	7.98B	8.08B	7.63B	5.87B
Stockholders Equity	8.20B	8.12B	8.06B	8.22B	8.21B	7.58B
Cash Flow
Free Cash Flow	807.00M	602.00M	593.00M	855.00M	847.00M	342.00M
Operating Cash Flow	1.20B	1.10B	1.09B	1.35B	1.24B	780.00M
Investing Cash Flow	-379.00M	-524.00M	-574.00M	-2.08B	-1.29B	-427.00M
Financing Cash Flow	-588.00M	-441.00M	-501.00M	404.00M	699.00M	-472.00M

News Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 29.54
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NWSA, the sentiment is Positive. The current price of 29.54 is above the 20-day moving average (MA) of 28.22, above the 50-day MA of 27.76, and above the 200-day MA of 27.58, indicating a bullish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 69.34 is Neutral, neither overbought nor oversold. The STOCH value of 95.18 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for NWSA.

News Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOXA	81 Outperform	$24.09B	13.92	16.89%	0.96%	15.70%	26.73%
FOX	80 Outperform	$24.09B	12.78	16.89%	1.05%	15.70%	26.73%
NWSA	77 Outperform	$17.56B	34.44	5.88%	0.68%	-5.43%	135.46%
WBD	59 Neutral	$27.59B	―	-27.69%	―	-5.58%	-254.85%
PARA	56 Neutral	$8.67B	―	-28.56%	1.64%	-4.50%	-898.86%
Sector *	55 Neutral	HK$65.55B	-1.46	-1.91%	8.86%	-4.18%	-13.99%
PARAA	52 Neutral	$8.67B	―	-28.56%	0.87%	-4.50%	-898.86%

News Corp Corporate Events

News Corp Announces $1 Billion Stock Buyback

News Corporation has announced a stock repurchase program allowing the company to buy back up to $1 billion of its Class A and Class B common stock. This initiative, reported on May 30, 2025, aims to enhance shareholder value and is subject to market conditions and stock price fluctuations. The repurchase will be conducted in the open market or otherwise, with no ASX-listed CDIs being repurchased. The buyback reflects the company’s strategic move to optimize its capital structure and potentially improve its market positioning.

The most recent analyst rating on (NWSA) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp Announces $1 Billion Stock Buyback

News Corporation has announced a stock repurchase program, authorizing the buyback of up to $1 billion of its Class A and Class B common stock. This initiative, aimed at enhancing shareholder value, is subject to market conditions and other factors, and does not require security holder approval. The program reflects the company’s strategic focus on optimizing its capital structure and returning value to shareholders.

The most recent analyst rating on (NWSA) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp Announces $1 Billion Stock Buyback

News Corporation has announced a stock repurchase program, authorizing the buyback of up to $1 billion of its Class A and Class B common stock. This initiative, disclosed on May 28, 2025, aims to enhance shareholder value and is subject to market conditions and stock price fluctuations. The buyback program does not require security holder approval and is part of the company’s strategy to strengthen its financial standing.

The most recent analyst rating on (NWSA) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp Updates Stock Repurchase Program

News Corporation has announced an update to its stock repurchase program, initially reported on September 22, 2021, allowing the company to buy back up to $1 billion of its Class A and Class B common stock. This move, aimed at enhancing shareholder value, does not require security holder approval and is subject to market conditions and other factors, reflecting the company’s strategic focus on optimizing its capital structure.

The most recent analyst rating on (NWSA) stock is a Buy with a $34.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.