Fox Corporation

(NASDAQ Global Select)
Back to all articles
Bullish +65

Fox Corporation (NASDAQ:FOXA) Receives Average Recommendation of "Hold" from Analysts - MarketBeat

AI-generated analysis

πŸ“ˆ Fox Corporation reported quarterly EPS of $1.79, beating the $1.44 consensus estimate, alongside revenue of $4.21 billion versus a $3.64 billion expectation.

πŸš€ Revenue surged 28.1% year over year to $4.21 billion, demonstrating strong growth in core media and digital distribution segments.

πŸ“Š The average analyst price target is set at $74.38, implying upside potential from the recent share price of $67.71.

🏦 Institutional ownership stands at 52.52%, with major funds like CalSTRS and Ameriprise significantly increasing their holdings in Q2.

πŸ’° The company declared a quarterly dividend of $0.29 per share, payable on September 23rd to shareholders of record on September 2nd.

πŸ“‰ Analyst ratings are split with nine buys, eight holds, and one sell, resulting in an overall consensus rating of 'Hold'.

πŸ” JPMorgan Chase upgraded the stock from 'neutral' to 'overweight' and raised its price target from $70.00 to $82.00.

πŸ“ˆ Guggenheim reissued a 'buy' rating with a price objective of $85.00, while Wall Street Zen upgraded the rating to 'buy' as well.

πŸ’΅ The firm maintains a healthy balance sheet with a quick ratio of 2.99, current ratio of 3.17, and a debt-to-equity ratio of 0.56.

πŸ“‰ Seaport Research Partners cut its rating from 'buy' to 'neutral', contributing to the mixed analyst consensus.

Bullish Signals
  • Fox Corporation beat earnings expectations with $1.79 EPS versus a $1.44 estimate and revenue of $4.21 billion versus $3.64 billion.
  • Revenue grew 28.1% year over year, indicating strong demand for the company's television, news, sports, and digital distribution assets.
  • Major institutional investors including CalSTRS increased their positions significantly, with CalSTRS raising holdings by 4,720.6% in Q2.
  • JPMorgan Chase upgraded the stock to 'overweight' and lifted its price target to $82.00, signaling confidence in future performance.
  • Guggenheim reaffirmed a 'buy' rating with a high price objective of $85.00, reflecting strong analyst support for the current valuation.
  • The company declared a quarterly dividend of $0.29 per share, providing income to shareholders and demonstrating financial stability.
  • Wall Street Zen upgraded the stock from 'hold' to 'buy', adding to the bullish sentiment among covering analysts.
  • The firm maintains a robust liquidity position with a quick ratio of 2.99 and a low debt-to-equity ratio of 0.56.
Risk Factors
  • Seaport Research Partners downgraded the stock from 'buy' to 'neutral', introducing a bearish note to the analyst consensus.
  • One out of eighteen analysts covering the company has assigned a 'sell' rating, preventing a unanimous buy recommendation.
Full Analysis
Fox Corporation (NASDAQ:FOXA) reported a strong quarterly performance, posting earnings per share of $1.79 against the consensus estimate of $1.44 and generating revenue of $4.21 billion, which significantly exceeded the expected $3.64 billion. This represents a substantial 28.1% year-over-year revenue increase, driven by robust operations in television broadcasting, cable news, sports programming, and digital distribution. Analyst sentiment remains mixed but generally positive regarding the company's financial trajectory, with an average 12-month price target of $74.38 compared to a recent share price of $67.71. While the consensus rating is 'Hold' based on eighteen analyst ratings including one sell, eight holds, and nine buys, several major firms have recently upgraded their stance or raised price targets. Institutional investors are increasingly bullish on the stock, with significant position increases from major funds like California State Teachers Retirement System, Ameriprise Financial Inc., and Lazard Asset Management LLC in the second quarter. The company also declared a quarterly dividend of $0.29 per share to shareholders of record on September 2nd, reflecting a payout ratio of 15.14%.