News Corp (NWSA) AI Stock Analysis

• Market Cap: $15.94B
• Dividend Yield: 0.76%
• Average Volume (3M): 2.60M
• Price to Earnings (P/E): 33.7
• Beta (1Y): 0.79
• Revenue Growth: -16.36%
• EPS Growth: 29.53%
• Country: US
• Employees: 23,900
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 0.22
• Shares Outstanding: 374,479,740
• 10 Day Avg. Volume: 2,782,728
• 30 Day Avg. Volume: 2,600,100
• PEG Ratio: 0.04
• Price to Book (P/B): 1.92
• Price to Sales (P/S): 2.00
• P/FCF Ratio: 23.21
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 1.89
• Enterprise Value/Gross Profit: 1.89
• Enterprise Value/Ebitda: 10.75
• 1Y Price Target: $40.50
• Price Target Upside: 49.83% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: $29.00 ▲(7.29% Upside)

The score is driven primarily by solid profitability and balance-sheet stability, supported by a generally constructive earnings call with growth in Dow Jones and Digital Real Estate and ongoing buybacks. This is tempered by mixed technical trends, a high P/E with low dividend yield, and continued weakness/macro sensitivity in Book Publishing.

Positive Factors

High Profitability Margins

Sustained high gross margins and mid-teens EBITDA margins reflect durable cost structure and pricing power across News Corp’s content and services. This margin base supports reinvestment, resilience to revenue swings, and long-term cash generation for strategic initiatives.

Growing High‑Value Segments

Strong, repeatable growth in Dow Jones and Digital Real Estate indicates diversification into higher‑margin, subscription and data/analytics businesses. These secular trends increase recurring revenue mix and reduce reliance on cyclical ad and print markets over the medium term.

Conservative Balance Sheet

Low leverage and a strong equity base give financial flexibility to fund buybacks, acquisitions, or weather ad-market cyclicality. A double‑digit ROE shows efficient capital use, supporting sustainable investment in digital transformation and content over 2–6 months and beyond.

Negative Factors

Declining Revenue Trend

An ongoing revenue decline undermines top‑line resilience and increases reliance on margin improvements or buybacks to drive per‑share metrics. Without durable revenue recovery, investments and growth initiatives may be constrained, pressuring long‑term operational scaling.

Book Publishing Weakness

A sizable write-off and steep EBITDA contraction signal structural risks in the publishing segment—distribution disruptions and macro sensitivity. Persistent weakness could require capital reallocation or restructurings, weighing on consolidated earnings durability.

Moderate Free Cash Flow Conversion

FCF conversion below parity limits the company’s internal funding for growth and capital returns. Over time this constrains flexibility for M&A, product investment, or sustained buybacks unless conversion improves or net income growth becomes more cash‑efficient.

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 several key streams, primarily from advertising, subscription services, and the sale of books and other media content. Advertising revenue is derived from both print and digital platforms, with significant contributions from its newspapers and online properties. Subscription services, particularly from its digital news outlets, provide a steady income through monthly or annual fees paid by consumers for access to premium content. Additionally, the company's book publishing division, HarperCollins, contributes significantly to revenue through the sale of physical and digital books. Partnerships with other media companies and technology platforms also enhance its distribution capabilities and advertising reach, further bolstering its earnings.

News Corp Financial Statement Overview

Summary

Strong gross margin (74.78% TTM) and healthy EBIT/EBITDA margins (9.54%/14.74% TTM) support profitability, with manageable leverage (debt-to-equity 0.33) and a solid equity base (equity ratio 56.72%). Offsetting this, revenue declined (-4.85% TTM) and free cash flow conversion vs. net income is only moderate (FCF/NI 0.66).

Income Statement

News Corp's income statement shows a strong gross profit margin of 74.78% TTM, indicating efficient cost management. However, the net profit margin is moderate at 15.71% TTM, and the revenue growth rate has declined by 4.85% TTM, suggesting potential challenges in revenue generation. The EBIT and EBITDA margins are healthy at 9.54% and 14.74% TTM, respectively, reflecting solid operational efficiency.

Balance Sheet

The balance sheet reveals a stable debt-to-equity ratio of 0.33 TTM, indicating a balanced approach to leveraging. The return on equity is robust at 15.78% TTM, showcasing effective use of equity to generate profits. The equity ratio stands at 56.72% TTM, highlighting a strong equity base relative to total assets, which enhances financial stability.

Cash Flow

Cash flow analysis shows a positive free cash flow growth rate of 4.13% TTM, indicating improved cash generation. The operating cash flow to net income ratio is 0.98 TTM, suggesting efficient conversion of net income into cash. However, the free cash flow to net income ratio of 0.66 TTM indicates room for improvement in cash flow relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	8.50B	8.45B	8.25B	8.01B	10.38B	9.36B
Gross Profit	8.50B	8.45B	8.25B	8.01B	10.38B	9.36B
EBITDA	1.49B	1.42B	1.24B	1.09B	1.60B	1.18B
Net Income	1.17B	1.18B	266.00M	149.00M	623.00M	330.00M
Balance Sheet
Total Assets	15.34B	15.50B	16.68B	16.92B	17.22B	16.77B
Cash, Cash Equivalents and Short-Term Investments	2.20B	2.40B	1.96B	1.83B	1.82B	2.24B
Total Debt	2.93B	2.94B	4.05B	4.21B	4.16B	3.60B
Total Liabilities	6.03B	6.12B	7.67B	7.98B	8.08B	7.63B
Stockholders Equity	8.70B	8.77B	8.12B	8.06B	8.22B	8.21B
Cash Flow
Free Cash Flow	757.00M	727.00M	602.00M	593.00M	855.00M	847.00M
Operating Cash Flow	1.15B	1.13B	1.10B	1.09B	1.35B	1.24B
Investing Cash Flow	-118.00M	-153.00M	-524.00M	-574.00M	-2.08B	-1.29B
Financing Cash Flow	-595.00M	-563.00M	-441.00M	-501.00M	404.00M	699.00M

News Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 27.03
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• 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 27.03 is above the 20-day moving average (MA) of 26.53, above the 50-day MA of 26.12, and below the 200-day MA of 27.72, indicating a neutral trend. The MACD of 0.16 indicates Negative momentum. The RSI at 60.84 is Neutral, neither overbought nor oversold. The STOCH value of 81.00 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
NYT	81 Outperform	$11.90B	35.72	17.63%	0.95%	8.43%	21.38%
FOXA	77 Outperform	$30.61B	16.38	17.33%	0.75%	14.91%	9.30%
NXST	69 Neutral	$6.44B	13.09	22.38%	3.66%	-1.42%	-8.99%
WBD	68 Neutral	$68.26B	146.80	1.36%	―	-4.29%	―
NWSA	66 Neutral	$15.94B	33.66	5.59%	0.76%	-16.36%	29.53%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SBGI	53 Neutral	$1.01B	-23.08	-11.81%	6.52%	-0.98%	82.16%

News Corp Corporate Events

News Corp outlines $1 billion 2025 share buyback

On 23 January 2026, News Corporation filed an updated notification with the Australian Securities Exchange outlining its previously authorized 2025 Repurchase Program, under which it may buy back up to US$1 billion of its Nasdaq-listed Class A and Class B common stock, with 370,097,474 Class A shares currently on issue. The buy-back, to be executed in cash and potentially via Goldman Sachs & Co. LLC as broker, does not require shareholder approval, imposes no foreign participation restrictions, excludes ASX-listed CDIs, and is described by the company as a capital management measure aimed at enhancing shareholder value.

The most recent analyst rating on (NWSA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp Details Expanded $2 Billion Share Buyback Plan

On January 22, 2026, News Corporation filed a final daily buy-back notification with the Australian Securities Exchange outlining the operation of its existing stock repurchase framework covering Nasdaq-listed Class A and Class B common shares. The company detailed that a US$1 billion repurchase program authorized on September 21, 2021, was supplemented by an additional US$1 billion authorization as of July 15, 2025, allowing News Corp to buy back up to US$2 billion of stock in total, paid in U.S. dollars and executed in the open market or otherwise, with Goldman Sachs & Co. LLC acting as broker. The buy-back, which does not extend to ASX-listed CDIs and does not require shareholder approval or impose foreign participation restrictions, is framed as a capital management measure intended to enhance shareholder value, with the scale of repurchases influenced by market conditions, stock price and other factors, potentially affecting News Corp’s share count and capital structure over time.

The most recent analyst rating on (NWSA) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp Advances Capital Management With Ongoing Share Buybacks

On January 21, 2026, News Corporation notified the Australian Securities Exchange of a daily buy-back related to its previously authorized stock repurchase programs, under which it may acquire up to an aggregate of US$1 billion of Class A and Class B common stock pursuant to a 2021 authorization and an additional US$1 billion under a 2025 authorization. The company, which had 370,097,474 Class A shares on issue and cited enhancing shareholder value as the rationale, plans to execute the repurchases in cash in US dollars, primarily in the open market for its Nasdaq-listed stock via Goldman Sachs & Co. LLC, with no repurchase of ASX-listed CDIs, no requirement for additional shareholder approval, and no foreign participation restrictions, underscoring an ongoing capital management strategy aimed at supporting its share price and optimizing its balance sheet.

The most recent analyst rating on (NWSA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.

News Corp updates market on expanded share repurchase plans

News Corporation has updated the market on its ongoing share repurchase initiatives, noting that it is authorized under two repurchase programs to buy back up to an aggregate of US$1 billion of Class A and Class B common stock under a 2021 program and a further US$1 billion under a 2025 program. In a filing dated January 19, 2026, referencing an initial notification from September 22, 2021 and a prior update on January 16, 2026, the company disclosed to the ASX that the buy-back, which covers Nasdaq-listed stock but excludes ASX-listed CDIs, may be conducted in the open market or otherwise, will be executed for cash in US dollars, is intended to enhance shareholder value, and does not require shareholder approval or impose foreign participation restrictions, signaling a continued commitment to capital returns as part of its financial strategy.

The most recent analyst rating on (NWSA) stock is a Buy with a $29.00 price target. To see the full list of analyst forecasts on News Corp stock, see the NWSA Stock Forecast page.