A subsidiary of the Fox Corporation (NASDAQ:FOXA) (NASDAQ:FOX), Fox Television Stations (FTS), and Amazon (NASDAQ:AMZN) are expanding their partnership to make local news content available on all of Amazon’s products, including Fire TV and Echo Show devices.
Under the new terms, FTS will offer 17 ad-supported local TV channels in the United States for free through the Amazon News app.
The initial contract, signed in March 2022, stipulated that LiveNow from Fox and Fox Soul channels would be made available on Amazon devices. Five additional stations were added in December 2022.
The news was released shortly after Fox and Dominion Voting Systems reached a $787.5 million settlement regarding a two-year defamation lawsuit. However, Fox’s legal issues persist as it faces another lawsuit from Smartmatic, a voting machine company, which is seeking $2.7 billion in damages.
Both businesses accused Fox of disseminating false information about how their voting machines had impacted the 2020 presidential election.
The settlement is unlikely to have an impact on Fox’s upcoming results, which are expected to be released on May 9. Analysts currently predict the company will post third-quarter Fiscal 2023 earnings of $0.88, up nearly 9% year-over-year.
Is Fox Stock a Buy, Sell, or Hold?
Currently, Wall Street is cautiously optimistic about Fox. It has a Moderate Buy consensus rating based on four Buy and seven Hold recommendations. The average stock price target of $37.60 implies an upside potential of 11.1%. Shares of the company have gained about 13% in 2023 so far.
