NasdaqGS:FOXA

Stock Analysis Report

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Executive Summary

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


Snowflake Analysis

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

How has Fox's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FOXA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.1%

FOXA

-1.9%

US Media

-0.4%

US Market


1 Year Return

-17.9%

FOXA

1.0%

US Media

18.3%

US Market

Return vs Industry: FOXA underperformed the US Media industry which returned 1.1% over the past year.

Return vs Market: FOXA underperformed the US Market which returned 18.3% over the past year.


Shareholder returns

FOXAIndustryMarket
7 Day4.1%-1.9%-0.4%
30 Day1.4%-0.4%6.6%
90 Day5.2%4.0%8.6%
1 Year-16.6%-17.9%2.5%1.0%21.0%18.3%
3 Yearn/a23.6%18.3%42.1%32.7%
5 Yearn/a44.0%33.6%85.6%64.7%

Price Volatility Vs. Market

How volatile is Fox's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

28.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FOXA ($27.08) is trading below our estimate of fair value ($38.09)

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


Price To Earnings Ratio

PE vs Industry: FOXA's PE Ratio (16.6x) is in line with the US Media industry average.

PE vs Market: FOXA is good value based on its PE Ratio (16.6x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: FOXA is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: FOXA is overvalued based on its PB Ratio (1.6x) compared to the US Media industry average (1.4x).


Next Steps

Future Growth

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

4.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FOXA's forecast earnings growth (4% per year) is above the savings rate (2.2%).

Earnings vs Market: FOXA's earnings (4% per year) are forecast to grow slower than the US market (22.1% per year).

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

Revenue vs Market: FOXA's revenue (1.9% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: FOXA's revenue (1.9% 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 (13.5%).


Next Steps

Past Performance

How has Fox performed over the past 5 years?

0.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FOXA has a large one-off loss of $652.0M impacting its June 30 2020 financial results.

Growing Profit Margin: FOXA's current net profit margins (8.1%) are lower than last year (14%).


Past Earnings Growth Analysis

Earnings Trend: FOXA's earnings have grown by 0.2% 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 (-37.3%) over the past year, making it difficult to compare to the Media industry average (-12%).


Return on Equity

High ROE: FOXA's Return on Equity (10.2%) is considered low.


Next Steps

Financial Health

How is Fox's financial position?


Financial Position Analysis

Short Term Liabilities: FOXA's short term assets ($7.5B) exceed its short term liabilities ($1.9B).

Long Term Liabilities: FOXA's short term assets ($7.5B) do not cover its long term liabilities ($9.4B).


Debt to Equity History and Analysis

Debt Level: FOXA's debt to equity ratio (76.3%) is considered high.

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 (29.8%).

Interest Coverage: FOXA's interest payments on its debt are well covered by EBIT (7.5x coverage).


Balance Sheet


Next Steps

Dividend

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

1.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FOXA's dividend (1.7%) is higher than the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: FOXA's dividend (1.7%) is low compared to the top 25% of dividend payers in the US market (4.56%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether FOXA's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if FOXA's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (28.2%), FOXA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FOXA's dividends in 3 years are forecast to be well covered by earnings (22% payout ratio).


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Lachlan Murdoch (49 yo)

2yrs

Tenure

US$29,154,460

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 ($USD29.15M) is above average for companies of similar size in the US market ($USD11.16M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Keith Murdoch
Executive Chairman of the Board1.75yrsUS$33.98m0.96%
$ 155.6m
Lachlan Murdoch
Executive Chairman & CEO2yrsUS$29.15m0.089%
$ 14.4m
Steven Tomsic
Chief Financial Officer2yrsUS$6.93m0.011%
$ 1.7m
John Nallen
Chief Operating Officer2yrsUS$13.05m0.038%
$ 6.2m
Viet Dinh
Chief Legal & Policy Officer2yrsUS$12.09m0.0027%
$ 440.5k
Paul Cheesbrough
CTO & President of Digitalno datano datano data
Joseph Dorrego
Chief Investor Relations Officer & Executive VP of Corporate Initiativesno datano datano data
Kevin Lord
Executive Vice President of Human Resourcesno datano datano data
Michael Biard
President of Operations & Distributionno datano datano data
Marianne Gambelli
President of Advertising Salesno datano datano data
Danny O'Brien
Executive VP & Head of Government Relationsno datano datano data
Jeffrey Taylor
Executive VP & Chief Litigation Counsel1.58yrsno datano data

2.0yrs

Average Tenure

55yo

Average Age

Experienced Management: FOXA's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Keith Murdoch
Executive Chairman of the Board1.75yrsUS$33.98m0.96%
$ 155.6m
Lachlan Murdoch
Executive Chairman & CEO2yrsUS$29.15m0.089%
$ 14.4m
Jacques Nasser
Lead Independent Directorno dataUS$349.99k0.0015%
$ 246.9k
Charles Carey
Director1.58yrsUS$294.99k0.046%
$ 7.4m
Roland Hernandez
Independent Director1.58yrsUS$344.99k0.00050%
$ 80.7k
Anne Dias-Griffin
Independent Director1.58yrsUS$334.99k0%
$ 0
Paul Ryan
Independent Director1.58yrsUS$334.99k0%
$ 0

1.6yrs

Average Tenure

62yo

Average Age

Experienced Board: FOXA's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: FOXA 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.


Top Shareholders

Company Information

Fox Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fox Corporation
  • Ticker: FOXA
  • Exchange: NasdaqGS
  • Founded: 2018
  • Industry: Broadcasting
  • Sector: Media
  • Market Cap: US$16.134b
  • Shares outstanding: 597.19m
  • Website: https://www.foxcorporation.com

Number of Employees


Location

  • Fox Corporation
  • 1211 Avenue of the Americas
  • New York
  • New York
  • 10036
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FOXANasdaqGS (Nasdaq Global Select)YesClass A Common StockUSUSDMar 2019
0A0XLSE (London Stock Exchange)YesClass A Common StockGBEURMar 2019
FOXNasdaqGS (Nasdaq Global Select)Class B Common StockUSUSDMar 2019
FOX1 *BMV (Bolsa Mexicana de Valores)Class B Common StockMXMXNMar 2019
0A0YLSE (London Stock Exchange)Class B Common StockGBEURMar 2019
FO5BETLX (Eurotlx)Class B Common StockITEURMar 2019
FO5BDB (Deutsche Boerse AG)Class B Common StockDEEURMar 2019

Biography

Fox Corporation operates as a news, sports, and entertainment company in the United States. The company operates through Cable Network Programming; Television; and Other, Corporate and Eliminations segment ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/26 00:02
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.