News Corp: Australian Assets Create Upside Catalyst
Alpha Gen Capital
Alpha Gen Capital
The 'New' News Corp.: Unwanted And Very Undervalued
Eliot Murray • 16 Comments
Eliot Murray • 16 Comments
Aug. 7, 2014, 4:58 PM
- News (NASDAQ:NWSA): FQ4 EPS of $0.01 misses by $0.03.
- Revenue of $2.18B (-3.5% Y/Y) beats by $10M.
Jun. 26, 2014, 8:09 AM
- "We view News Corp. (NWS, NWSA) as a classic media value play, as its individual pieces are undervalued, but provide downside protection for the stock," says analyst John Janedis, initiating with a Buy and $22 price target.
- "We expect fundamentals to improve, which should translate to multiple expansion in the stock ... Longer-term, similar to other media companies, we think NWSA could spin off assets to create value. In our view, NWSA is not the newspaper value trap of years past due to the value of REA, Foxtel, Harper Collins, and cash balance."
- "Given valuation of the stock, we think a successful outcome [of strategic initiatives] is currently priced into the stock at current levels," he says, starting New York Times (NYT) with a Hold and $15 price target.
- "We think the combination of tepid ad growth and the regulatory overhang will continue to slow the acquisition pipeline and constrain multiple expansion," he says, starting Nexstar Broadcasting (NXST) at Hold with $48 price target. "While 2014 will be a big year for political advertising, we do not see significant upside to our estimates."
- Gannett (GCI) is initiated with a Buy.
- Previously: Jefferies launches coverage on media names
Jun. 23, 2014, 1:16 PM
May 8, 2014, 4:36 PM
- News (NWSA): FQ3 EPS of $0.11 beats by $0.09.
- Revenue of $2.08B (-4.6% Y/Y) beats by $10M.
May 2, 2014, 10:03 AM| May 2, 2014, 10:03 AM | 1 Comment
Mar. 26, 2014, 5:23 AM
- Lachlan Murdoch has been appointed non-executive co-chairman at Fox (FOXA) and at News Corp. (NWSA), while brother James has been promoted to the role of co-COO at Fox to work alongside Chase Carey.
- Lachlan Murdoch's double appointment comes seven years after he left the family business following disagreements with father Rupert and other executives.
- Away from what looks suspiciously like a Murdoch succession battle, Peter Rice, Chairman and CEO at Fox Networks Group, has agreed to extend his employment agreement.
- Fox PR
- News Corp. PR
Feb. 17, 2014, 5:35 AM
- News Corp (NWS) has received a rebate of A$882M ($796.62M) from Australia’s tax authorities after it won a legal battle over A$2B in forex losses that it suffered during a restructuring in 1989.
- The Australian Tax Office had refused to allow the deduction but was defeated in the country's Federal Court in July.
- The payment has only just come to light, although News Corp received the money at the end of last year.
- The ATO's defeat exacerbates country's budget deficit, which is forecast at A$47B for FY 2013-14.
Feb. 7, 2014, 9:10 AM
Jan. 21, 2014, 5:30 PM
- Lex Fenwick, the CEO of News Corp.'s (NWS, NWSA) Dow Jones unit for the last two years, is leaving the company. Chief creative officer William Lewis has been named interim CEO. (PR)
- News Corp. adds it's "reviewing the institutional strategy of Dow Jones." Among other things, it's planning "improvements" for the nascent DJX information service (still in beta mode), and asserts it's "redoubling" its efforts to "develop the Wall Street Journal and its digital properties globally."
- In addition to the Wall Street Journal, Dow Jones owns Barron's, Marketwatch.com, and financial news service Factiva.
Dec. 20, 2013, 9:59 AM
- Expanding its push into the digital realm, News Corp (NWSA +1.2%) acquires social news start-up Storyful for €18M (~$25M).
- The Dublin-based Storyful, which dubs itself "the world's first social news agency," mines social media platforms to discover user-generated content with a focus on images and photos. In 2013, videos have generated 750M views for partners.
Nov. 25, 2013, 3:55 PM
- Apple (AAPL), Google (GOOG), and AIG are the most popular (long) holdings of hedge funds, according to Goldman's latest hedge fund monitor, which analyzed the positions of 783 hedge funds with $1.7T of gross assets. Hedge fund holdings of AIG, however, account for 14 of the company's float compared to negligible amounts for Apple and Google.
- The 20 most concentrated hedge fund holdings as defined by the percent of equity cap owned by the funds has consistently been a significant outperformer, according to Goldman. In order: AN, STZ, JCP, FDO, THC, HRB, BEAM, MU, NWSA, VRSN, CBG, NFLX, GT, TSO, ETFC, MSI, WPX, WYN, HES, CCI. The top 20 last quarter is here.
- Overall, the studied hedge funds' performance leaves a bit to be desired, with average return of 6% YTD. Fewer than 5% outperformed the S&P 500, and 20% of funds posted an absolute loss.
Sep. 23, 2013, 6:43 AM
- News Corp (NWSA): FQ4 EPS of -$1.94 may not be comparable to consensus of $0.14.
- Revenue of $2.26B beats by $0.07B. (PR)
Sep. 11, 2013, 4:00 AM
- Southeastern Asset Management bought 11.9% of News Corp's (NWS, NWSA) voting rights, representing a 4.1% economic interest. Based on yesterday's closing price of $16.72, the stake is worth around $397M.
- The investment firm has the second-largest holding behind Rupert Murdoch, who owns 39% of News Corp.'s voting stock, or a 14% economic interest.
- Southeastern said it has no plans to influence News Corp. and is known for value investing. However, it's worth noting that Southeastern joined with Carl Icahn to oppose Michael Dell's buyout of Dell, and in a shareholder revolt at Chesapeake Energy. (Previous)
Sep. 10, 2013, 4:41 PM
Sep. 4, 2013, 10:35 AM
- Newcastle Investment (NCT -2.2%) acquires Dow Jones Local Media Group from News Corp. (NWS, NWSA) for $87M.
- Local Media operates 33 local publications in 7 states. The business will now be managed by GateHouse Media (GHSE.PK), an affiliate of Fortress Investment (FIG), which is Newcastle's manager.
- Newcastle owns about 52% of GateHouse's $1.2B in debt and it and other creditors have agreed on a prepackaged Chapter 11 filing in which Newcastle expects to convert its debt holdings into equity of GateHouse.
- Presentation and conference call at 2:30 ET.
Sep. 3, 2013, 1:57 PM
- Along with Permira, KKR is selling an 11 stake in German broadcaster ProsiebenSat.1. The value of the shares is about $1.05B and the two P-E partners will retain a combined stake of 33%.
- It was reported back in February that the two were considering options for their stake in the broadcaster. Potential suitors mentioned then included Time Warner (TWX), Comcast (CMCSA), and News Corp (NWS, NWSA).
News Corp. is a media and information services company, which focuses on creating and distributing authoritative and engaging content to consumers and businesses. The company's media businesses include news and information services, digital real estate services, book publishing, digital... More
Industry: Entertainment - Diversified
Country: United States
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