News Corporation Prepares for Q1 2025 Earnings Report
Anticipated Earnings and Growth Projections
Valued at a market cap of $14.8 billion, News Corporation (NWSA) is a global media and information services provider headquartered in New York. It delivers authoritative content, digital real estate services, and subscription video services to consumers and businesses around the world. NWSA is set to announce its fiscal Q1 2025 earnings results after the market close on Thursday, Nov. 7.
Analysts’ Expectations and Historical Performances
Leading up to the earnings announcement, analysts predict the company will report a profit of $0.16 per share, the same as the EPS from this quarter last year. Notably, NWSA has exceeded Wall Street’s bottom-line estimates for four consecutive quarters, impressing investors by surpassing the consensus EPS estimate by 13.3% in the most recent quarter.
Future Growth Estimates
For the fiscal year 2025, analysts forecast NWSA will report an EPS of $0.85, reflecting a 21.4% increase from $0.70 in fiscal 2024. Looking ahead to fiscal 2026, its EPS is projected to rise further by 32.9% year-over-year to $1.13.
Performance in 2024 Compared to Market
In 2024, NWSA has risen nearly 8%, which is behind the S&P 500 Index’s ($SPX) 22.1% gain and the Communication Services Select Sector SPDR ETF Fund’s (XLC) 25.8% increase year-to-date.
Market Response to Recent Earnings
Shares of News Corporation rose 3.6% following its Q4 earnings release on Aug. 8, attributable to adjusted earnings of $0.17 per share, which exceeded analyst expectations. The total revenue reached $2.6 billion, which exceeded forecasts and represented a 6% increase from the previous year, primarily driven by growth in the Digital Real Estate Services and Book Publishing sectors. The positive reaction from investors reflected confidence in the company’s diverse revenue sources and operational enhancements.
Analysts Maintain a Positive Outlook
The consensus among six analysts regarding NWSA stock remains optimistic, holding a “Strong Buy” rating. This outlook has been consistent over the past three months. As of now, NWSA trades below the average analyst price target of $35.80.
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On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
