The Fox News studios and headquarters in New York City on Tuesday, March 21, 2023. (AP Photo/Ted Shaffrey)Copyright 2023 The Associated Press. All rights reserved.Streaming dominates the headlines, but little else grabs viewers’ attention like live sports and events. These events’ massive audiences give advertisers one of the most powerful platforms in media. Just think about the hype around ads during the Super Bowl or the number of ads during a regular season NFL.This legendary broadcaster consistently ai ...

Company Overview - Fox Corporation (FOXA) has a market cap of $27 billion and is a leading U.S.-based media company delivering news, sports, and entertainment through brands like FOX News, FOX Sports, the FOX Network, and Tubi [1] - The company operates across four segments: Cable Network Programming, Television, Credible, and FOX Studio Lot, reaching audiences through broadcast, cable, digital platforms, and production services [1][2] Stock Performance - FOXA shares have declined marginally from a 52-week high of $62.69, but the stock has increased nearly 13% over the past three months, underperforming the Nasdaq Composite's 17.2% return [3] - Year-to-date, FOXA stock is up 28.5%, surpassing the Nasdaq's over 18% gain, and has climbed 55.2% over the past 52 weeks compared to the Nasdaq's over 28% surge [4] Financial Results - In Q4 2025, FOXA reported adjusted EPS of $1.27 and revenue of $3.29 billion, but shares fell 3.7% due to rising SG&A expenses, which increased 9.5% year-over-year, impacting margins [5] - Advertising growth is viewed as less durable due to tough year-over-year comparisons linked to the absence of UEFA and Copa América broadcasts [5] Analyst Sentiment - Analysts remain cautiously optimistic about FOXA, with a consensus rating of "Moderate Buy" from 20 analysts, and the stock is trading above the mean price target of $60.29 [6]

Core Insights - FOX One is a new streaming service priced at $19.99/month or $199.99/year, targeting over 65 million U.S. households outside traditional cable bundles [1][2] - The platform aims to provide a personalized viewing experience with live programming, news, sports, and entertainment, leveraging advanced technology and AI integrations [3][6][7] Pricing and Bundling Options - FOX One offers a 7-day free trial and the option to bundle with B1G+ or FOX Nation for added value [1][11] - Starting October 2, customers can bundle FOX One with ESPN DTC Unlimited for $39.99/month, providing access to a wide range of ESPN content [12] Technological Advancements - The platform builds on FOX's successful live-streaming technology, exemplified by the Super Bowl LIX broadcast, which reached 15.5 million peak concurrent viewers [5] - FOX One incorporates AI for personalized content delivery, enhanced search capabilities, and user-friendly features [6][16] Content Offerings - FOX One features a robust lineup of live sports, news, and entertainment, including 24/7 access to FOX News and major sporting events [8][9] - The service includes a variety of programming from FOX's extensive portfolio, catering to diverse audience interests [15] Accessibility and User Experience - FOX One is available on multiple platforms, including mobile, web, and connected TVs, ensuring ease of access for users [10] - The platform allows users to record live content without storage limits and offers features to catch up on missed highlights [8][10] Marketing Strategy - The launch campaign emphasizes FOX's strength in live programming and targets cord-cutters through digital-first strategies [14]

Core Viewpoint - Fox (FOXA) has demonstrated strong financial performance and growth potential, particularly in its Television and Cable Networking segments, making it an attractive investment opportunity for 2025 [2][8]. Financial Performance - In Q3 fiscal 2025, Fox reported a 27% increase in total revenues and achieved the highest free cash flow in its history, exceeding $1.9 billion [3]. - The Super Bowl broadcast contributed over $800 million in advertising revenues, marking it as the most-watched telecast in U.S. history [3]. Segment Performance - Tubi, Fox's free streaming platform, experienced a 35% year-over-year revenue increase, with rising engagement and view time [4]. - The cable segment benefited from a 26% increase in ad revenues, bolstered by Fox News being the most-watched cable channel [4]. Growth Strategy - Fox's growth strategy centers on live content from its core brands: FOX News, FOX Sports, and the FOX Network, capitalizing on the rising demand for live programming [5]. - The company anticipates steady growth in affiliate fees, which will support long-term revenue growth [5]. Market Position - FOX News ranks as the second most trusted and top-rated news channel in the U.S., with FOX Nation gaining traction through 700 hours of original content [6]. Earnings Estimates - The Zacks Consensus Estimate for FOXA's 2025 earnings is $4.52 per share, reflecting a 31.78% year-over-year growth, with revenues projected at $16.11 billion, indicating a 15.24% increase [7]. - FOXA has consistently beaten earnings estimates over the past four quarters, with an average surprise of 25.97% [7]. Investment Outlook - Fox's strong fundamentals, record free cash flow, and momentum in streaming services position it well for continued growth and investor confidence in 2025 [8]. - The company currently holds a Zacks Rank 2 (Buy) and a Growth Score of B, indicating a favorable investment opportunity [9].