With the streaming market more competitive than ever, streaming services like FuboTV (NYSE:FUBO) have to step up their game by any means available. Thus, a new deal between FuboTV and Sinclair Broadcast Group (NASDAQ:SBGI) should help give FuboTV some extra edge in the field. The market so far reacted positively, though not very, as the stock is only slightly up in Wednesday afternoon trading.
The new deal between FuboTV and Sinclair sees an old partnership brought back to life. The two companies established a new carriage deal that will see FuboTV add Bally Sports regional sports networks (RSNs) back on FuboTV listings. While the deal won’t take place right away—reports suggest the RSNs will be viewable “in the coming weeks”–it will allow 19 such networks to be viewable once more.
Back in the early days of 2020, FuboTV dropped the RSNs. It noted that they weren’t “…consistent with FuboTV’s mission to provide value and keep costs low to customers.” The new carriage deal ostensibly changes that. It likely couldn’t hurt much that several streaming services dropped RSNs over the years. Now FuboTV has an opportunity to get those customers in under its collective umbrella. FuboTV also recently announced a deal with Scripps to get more content in under FuboTV’s auspices.
FuboTV has a lot of competition right now. However, analysts’ consensus views FUBO stock as a Moderate Buy, with Buy and Hold recommendations tied. An average price target of $4.88 per share gives FuboTV an upside potential of 131.83%.