Fox (NasdaqGS:FOXA) - Share price, News & Analysis

FOXA fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	1/6
Past Performance	0/6
Financial Health	4/6
Dividends	2/6

FOXA Stock Overview

Fox Corporation operates as a news, sports, and entertainment company in the United States.

Rewards

Trading at 62.3% below our estimate of its fair value

Earnings are forecast to grow 10.97% per year

Risk Analysis

Large one-off items impacting financial results

Profit margins (8.3%) are lower than last year (16.2%)

Fox Competitors

Paramount Global

NasdaqGS:PARA

US$20.7b

Nexstar Media Group

NasdaqGS:NXST

US$6.5b

AMC Networks

NasdaqGS:AMCX

US$1.7b

Amazon.com

NasdaqGS:AMZN

US$1.1t

Price History & Performance

Summary of all time highs, changes and price drops for Fox
Historical stock prices
Current Share Price	US$32.49
52 Week High	US$44.95
52 Week Low	US$31.35
Beta	0.94
1 Month Change	-14.97%
3 Month Change	-20.70%
1 Year Change	-12.54%
3 Year Change	-11.33%
5 Year Change	n/a
Change since IPO	-14.50%

Recent News & Updates

May 23

Returns On Capital Signal Tricky Times Ahead For Fox (NASDAQ:FOXA)

If you're looking for a multi-bagger, there's a few things to keep an eye out for. Amongst other things, we'll want to...

Mar 31

Does Fox (NASDAQ:FOXA) Have A Healthy Balance Sheet?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Mar 23

Fox Corporation: A Strong Company In An Ever-Growing Market

Fox has many popular programs on both legacy media and streaming services. The company maintains large cash reserves helping it to make large investments. Their ad-supported streaming service has seen growth in recent years and shows no signs of slowing down.

Shareholder Returns

	FOXA	US Media	US Market
7D	-6.5%	-1.5%	-4.0%
1Y	-12.5%	-26.1%	-13.2%

Return vs Industry: FOXA exceeded the US Media industry which returned -25.7% over the past year.

Return vs Market: FOXA matched the US Market which returned -12.3% over the past year.

Price Volatility

Is FOXA's price volatile compared to industry and market?
FOXA volatility
FOXA Average Weekly Movement	4.1%
Media Industry Average Movement	8.4%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: FOXA is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FOXA's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2018	9,000	Lachlan Murdoch	https://www.foxcorporation.com

Fox Corporation operates as a news, sports, and entertainment company in the United States. The company operates through three segments: Cable Network Programming; Television; and Other, Corporate and Eliminations. The Cable Network Programming segment produces and licenses news, business news, and sports content for distribution primarily through cable television systems, direct broadcast satellite operators, telecommunications companies, and online multi-channel video programming distributors.

Fox Fundamentals Summary

How do Fox's earnings and revenue compare to its market cap?
FOXA fundamental statistics
Market Cap	US$17.48b
Earnings (TTM)	US$1.15b
Revenue (TTM)	US$13.83b

15.7x

P/E Ratio

1.3x

P/S Ratio

Is FOXA overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FOXA income statement (TTM)
Revenue	US$13.83b
Cost of Revenue	US$9.04b
Gross Profit	US$4.79b
Other Expenses	US$3.64b
Earnings	US$1.15b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.07
Gross Margin	34.64%
Net Profit Margin	8.33%
Debt/Equity Ratio	63.2%

How did FOXA perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

24%

Payout Ratio

Valuation

Is Fox undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: FOXA ($32.49) is trading below our estimate of fair value ($86.25)

Significantly Below Fair Value: FOXA is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: FOXA is poor value based on its Price-To-Earnings Ratio (15.7x) compared to the US Media industry average (15x).

PE vs Market: FOXA is poor value based on its Price-To-Earnings Ratio (15.7x) compared to the US market (15.1x).

Price to Earnings Growth Ratio

PEG Ratio: FOXA is poor value based on its PEG Ratio (1.4x)

Price to Book Ratio

PB vs Industry: FOXA's Price-To-Book Ratio (1.6x) is in line with the US Media industry average.

Future Growth

How is Fox forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

11.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: FOXA's forecast earnings growth (11% per year) is above the savings rate (1.9%).

Earnings vs Market: FOXA's earnings (11% per year) are forecast to grow slower than the US market (12.3% per year).

High Growth Earnings: FOXA's earnings are forecast to grow, but not significantly.

Revenue vs Market: FOXA's revenue (2.5% per year) is forecast to grow slower than the US market (7.8% per year).

High Growth Revenue: FOXA's revenue (2.5% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: FOXA's Return on Equity is forecast to be low in 3 years time (12.7%).

Past Performance

How has Fox performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-3.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FOXA has a large one-off loss of $511.0M impacting its March 31 2022 financial results.

Growing Profit Margin: FOXA's current net profit margins (8.3%) are lower than last year (16.2%).

Past Earnings Growth Analysis

Earnings Trend: FOXA's earnings have declined by 3.3% per year over the past 5 years.

Accelerating Growth: FOXA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FOXA had negative earnings growth (-42.9%) over the past year, making it difficult to compare to the Media industry average (22.7%).

Return on Equity

High ROE: FOXA's Return on Equity (10.5%) is considered low.

Financial Health

How is Fox's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: FOXA's short term assets ($7.9B) exceed its short term liabilities ($2.1B).

Long Term Liabilities: FOXA's short term assets ($7.9B) do not cover its long term liabilities ($8.5B).

Debt to Equity History and Analysis

Debt Level: FOXA's net debt to equity ratio (22.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if FOXA's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: FOXA's debt is well covered by operating cash flow (23.9%).

Interest Coverage: FOXA's interest payments on its debt are well covered by EBIT (6.6x coverage).

Balance Sheet

Dividend

What is Fox current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.48%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: FOXA's dividend (1.48%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: FOXA's dividend (1.48%) is low compared to the top 25% of dividend payers in the US market (4.05%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, FOXA has been paying a dividend for less than 10 years.

Growing Dividend: FOXA's dividend payments have increased, but the company has only paid a dividend for 3 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (23.8%), FOXA's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (19.3%), FOXA's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure

CEO

Lachlan Murdoch (50 yo)

3.58yrs

Tenure

US$27,675,399

Compensation

Mr. Lachlan Keith Murdoch has been Executive Chairman & Chief Executive Officer at Twenty-First Century Fox, Inc. since April 2019. He serves as Executive Chairman of Fox Corporation since January 2019, Di...

CEO Compensation Analysis

Compensation vs Market: Lachlan's total compensation ($USD27.68M) is above average for companies of similar size in the US market ($USD13.26M).

Compensation vs Earnings: Lachlan's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: FOXA's management team is considered experienced (3.6 years average tenure).

Board Members

Experienced Board: FOXA's board of directors are considered experienced (3.2 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/24 00:00
End of Day Share Price	2022/05/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/06/30