FOX — Fox Corporation
$57.44
Target: $71.00 (+23.6%)
P/E Ratio
11.7
P/E Forward
11.0
Dividend
0.97%
Market Cap
$26B
EPS
$4.91
Consensus
Moderate Buy
What they do
Fox Corporation (NASDAQ: FOX class A no-vote / FOXA class B with vote) is the media company that remained after Disney bought the studios and entertainment assets of 21st Century Fox in 2019. Fox kept the news + live sports assets. Headquartered in New York, ~10,400 employees, operates only in the US.
3 businesses:
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- Cable Network Programming* — the margin engine. Fox News (the #1 US cable news channel for 20+ years by a wide margin), Fox Business, FS1, FS2. Revenue from affiliate fees* (what cable companies pay to carry the channel) + advertising.
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- Television** — the Fox broadcast network (NFL, MLB, college football, Animation Domination) + owned local stations. Home to the premium sports rights.
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- Tubi (streaming)** — a FAST (free ad-supported streaming TV) platform: the viewer does NOT pay, they watch ads. 100M+ monthly active users, 2%+ of all TV viewing time consumed in the US. Growing strongly; profitability still being built.
Ownership structure: the Murdoch family controls ~39% of the vote via the trust (class B). Lachlan Murdoch is CEO and Executive Chairman. The legal dispute between siblings over trust control was resolved in September 2025 in Lachlan's favor, removing governance uncertainty.
Capital allocation: modest semi-annual dividend ($0.28 × 2 = $0.56/year, yield ~0.97%) + aggressive buybacks ($12B authorized) — Fox prefers to buy back shares rather than pay a large dividend.
New: Fox One, a paid DTC streaming service launched August 21, 2025 at $19.99/month, to bring Fox content to cord-cutters.
Why we like it
FOX at $57.44 means buying the two TV franchises best positioned to survive cord-cutting — news and live sports — at ~12x earnings, with a free streaming asset (Tubi) that the market hasn't priced in yet and the 2026 World Cup as an immediate catalyst. Specific reasons:
- Fox News is a near-monopoly for profit margins: the #1 US cable news channel for 20+ years; affiliate fees are contractual and rise with inflation, providing a very predictable cash floor.
- News + sports = content 'you can't watch later': unlike scripted shows and movies (where Netflix/Disney burn cash competing), news and sports only have value LIVE, which protects Fox's pricing power.
- Tubi is hidden upside: 100M+ monthly users and 2%+ of all US TV viewing time, charging $0 to the viewer (monetizes through ads). The market prices Fox as a 'declining cable company' and ignores that it already has one of the largest free streaming platforms in the country.
- 2026 World Cup catalyst (Jun 11 – Jul 19): Fox has the EXCLUSIVE English-language rights to all 104 matches in the US (including the final), split between FOX and FS1 — peak audience and advertising right this summer.
- Clean balance sheet + buybacks: none of the subscription streaming debt strangling rivals; $12B buyback authorization reduces the share count and lifts earnings per share.
- Valuation: ~12x earnings (EPS $4.91) vs. the market at ~20x — discounted due to cord-cutting fears.
- Governance resolved: the Murdoch trust dispute settled in Sep 2025.
- Q3 FY2026 (reported May 11, 2026): revenue $3.99B, adjusted EPS $1.32, stock +8% on the day — the business is executing. Analysts: 'Moderate Buy', average target ~$70–72 (~+25%).
Key Risk
Risks:
- Cord-cutting — #1 risk: most of Fox's profit comes from cable affiliate fees (Fox News, FS1), and every year there are fewer cable households. It is a structural headwind; the question is whether Tubi + Fox One grow fast enough to offset cable shrinkage.
- Sports rights cost inflation: renewing NFL, MLB and events like the World Cup costs billions and rises every cycle. If Fox overpays to keep sports rights, margins compress.
- Tubi not yet clearly profitable: growing in users but ad monetization hasn't translated into clear profitability yet; it is an investment today, a bet on tomorrow.
- Murdoch family control: one family controls the vote via the trust. Strategic decisions and succession depend on the family, not the public shareholders.
- US concentration + news/sports only: Fox doesn't have the geographic or genre diversification of Disney/Comcast; a bad advertising cycle or a blow to news viewership hits directly.
- Advertising platform risk: both broadcast TV and Tubi depend on ad spending, which is cyclical and contracts in a recession.
- Fox One without proven traction: the new paid DTC service ($19.99/month) competes in a saturated market; subscriber numbers are not yet demonstrated.
This is educational and informational content, not financial advice. Always consult a qualified financial advisor before making investment decisions.
Vectorial Data picked FOX on 2026-06-01 at $57.44.
Full Research
Fox Corporation (FOX / FOXA) — Research Completo
Precio: $57.44 | P/E TTM: ~11.7x | Div Yield: ~0.97% | Market Cap: ~$26B USD
¿Qué es Fox?
La compañía de medios que quedó tras la venta de los activos de entretenimiento de 21st Century Fox a Disney en 2019. Fox se quedó con noticias + deportes en vivo — los dos géneros que solo valen en el momento. HQ Nueva York, ~10,400 empleados, 100% EE.UU.
3 Segmentos
| Segmento | Qué incluye | Driver |
|---|---|---|
| Cable Network Programming | Fox News (#1 cable news 20+ años), Fox Business, FS1/FS2 | Affiliate fees + ads |
| Television | Red broadcast Fox (NFL, MLB, college FB), estaciones locales | Derechos deportivos + ads |
| Tubi (streaming) | FAST gratis con anuncios, >100M MAU, >2% del TV time de EE.UU. | Publicidad |
FY2025 (12m a 30-jun-2025)
| Métrica | FY25 |
|---|---|
| Revenue | $16.30B |
| Net income | $2.29B |
| EPS diluido | $4.91 |
| P/E TTM | ~11.7x |
Q3 FY2026 (reportado 11-may-2026)
| Métrica | Q3 FY26 |
|---|---|
| Revenue | $3.99B |
| EPS ajustado | $1.32 |
| Reacción | acción +8% |
Catalizador: Mundial FIFA 2026 (11 jun–19 jul)
- Fox tiene los derechos EXCLUSIVOS en INGLÉS de los 104 partidos en EE.UU., incluida la final.
- Reparto: FOX (70 partidos) + FS1 (34 partidos).
- Los derechos en español son de Telemundo/Peacock (NO Fox).
- Pico de audiencia + publicidad este verano.
Tubi — el activo escondido
- >100M usuarios activos mensuales.
- >2% de todo el tiempo de TV consumido en EE.UU.
- Modelo FAST: el usuario NO paga, monetiza con anuncios.
- Crece fuerte; rentabilidad aún en construcción.
Capital Allocation
- Dividendo semestral $0.28 × 2 = $0.56/año (yield ~0.97%) — bajo a propósito.
- $12B de recompra autorizada — Fox prefiere recomprar acciones.
- Balance limpio: sin la deuda de streaming de suscripción que ahoga a rivales.
Gobernanza
- Familia Murdoch controla ~39% del voto vía trust (clase B FOXA).
- Lachlan Murdoch: CEO + Executive Chairman.
- Disputa legal entre hermanos por el trust resuelta en sep 2025 a favor de Lachlan → incertidumbre eliminada.
Fox One (nuevo)
- Servicio DTC de streaming de PAGO lanzado 21 ago 2025 a $19.99/mes.
- Para capturar a quienes ya cortaron el cable.
- Sin números de suscriptores demostrados aún.
Anchor Fact
Fox es dueña de Tubi, una plataforma donde ves películas y series GRATIS — no pagas suscripción, solo aguantas anuncios. Ya la usan más de 100 millones de personas al mes, llegando a más del 2% de TODO el tiempo que EE.UU. pasa viendo TV. Mientras Netflix y Disney pelean por quién cobra más, Fox construyó algo enorme cobrando $0 al usuario — y el mercado todavía valora a Fox como 'empresa de cable en declive'.
Top 5 Risks
- Cord-cutting — la utilidad principal viene del cable, que se encoge cada año
- Inflación de derechos deportivos — NFL/MLB/Mundial cuestan más cada ciclo
- Tubi aún no claramente rentable — inversión hoy, apuesta mañana
- Control familiar Murdoch — el voto lo controla una familia
- Concentración EE.UU. + news/sports — sin la diversificación de Disney
Analyst Consensus
- Rating: Moderate Buy
- Target promedio: ~$70-72 (~+25% desde $57.44)
Tesis en una línea
Las dos franquicias de TV que mejor resisten el corte de cable —noticias y deportes en vivo— a ~12x utilidad, con Tubi (streaming gratis, >100M usuarios) como alpha escondido y el Mundial 2026 como catalizador inmediato.
Research fecha: 01 Jun 2026 | Próxima revisión: Dic 2026
Esto no es asesoría financiera.
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