Fox Corporation (FOXA) is a mass media company that offers news, sports, and entertainment content.
The company primarily reports through three segments – Cable Network Programming; Television; and Other, Corporate and Eliminations. These segments contributed 50%, 42%, and 8%, respectively, to the company’s total revenues in fiscal 2021.
Let’s take a look at the company’s financial performance and what has changed in its key risk factors that investors should know. (See Fox stock charts on TipRanks)
Fox Financial Performance
Now let us dive into the company’s financial performance for the fiscal year 2021. The company delivered healthy financial performance, driven by operational excellence and digital innovation.
This helped the company register a 5% year-over-year jump in revenue to $12.91 billion.
For full-year fiscal 2021, adjusted net income came in at $1.71 billion or $2.88 per share versus $1.53 billion or $2.48 per share in the year-ago quarter.
Fox CEO Lachlan Murdoch said, “We look forward to the year ahead, anticipating the return of normalized sports and entertainment calendars and the start of the midterm election cycle.”
Murdoch further added, “FOX’s core live event programming, coupled with its growing digital businesses, will continue to deliver audiences on an unmatched scale for our advertising and distribution partners.”
Fox Risk Factors
According to the new Tipranks Risk Factors tool, Fox’s main risk category is Legal & Regulatory, which accounts for 27% of the total 30 risks identified. Since June, Fox has added one new risk factor, removed one risk, and changed three risks factors.
Let’s discuss the new risk factor:
Under the Legal & Regulatory category, Fox highlights that the company is facing numerous lawsuits, and has to comply with different regulatory and government requirements. These activities result in enormous expenses and regulatory concerns which could impact Fox’s business operations and financial position.
Wall Street’s Take on FOXA
On TipRanks, Fox has an analyst rating consensus of Moderate Buy, based on 5 Buy ratings and 2 Hold ratings, assigned in the last three months.
As for price targets, the average FOXA price target is $44.17, reflecting a potential 12-month upside of 17.9% from current levels.
Bottom Line
The Finance & Corporate risk factor’s sector average is 40.2%, compared to Fox’s 20%. Shares are up around 50% over the past year.
Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
