FOX (NASDAQ:FOX) Shares Gap Down – Should You Sell?

Fox Corporation (NASDAQ:FOX)’s stock price gapped down prior to trading on Monday . The stock had previously closed at $58.92, but opened at $52.03. FOX shares last traded at $49.0260, with a volume of 837,116 shares traded.

Trending Headlines about FOX

Here are the key news stories impacting FOX this week:

• Positive Sentiment: The Roku deal could strengthen Fox’s position in streaming and connected-TV ads by combining Fox’s content with Roku’s distribution and ad-tech reach, potentially creating a larger, more powerful platform. Article Title
• Neutral Sentiment: Several analysts and media outlets say the acquisition could reshape Fox’s strategy and make it a bigger player in the streaming wars, but the full benefits likely won’t show up until the deal closes and is integrated. Article Title
• Negative Sentiment: Investors are worried about the size of the transaction, including bridge financing, new debt, and dilution, which has pressured FOX shares and raised concerns about whether the deal is worth the price. Article Title
• Negative Sentiment: Fox is also facing shareholder scrutiny, including legal investigations into whether the company is giving investors a fair price in the Roku merger, adding another overhang to the stock. Article Title

Analyst Ratings Changes

FOX has been the subject of a number of research analyst reports. Bank of America reiterated an “underperform” rating and issued a $45.00 price target (down from $80.00) on shares of FOX in a research note on Wednesday, February 25th. Weiss Ratings restated a “buy (b-)” rating on shares of FOX in a research report on Friday, May 22nd. Finally, Zacks Research raised shares of FOX from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, May 12th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, FOX currently has an average rating of “Moderate Buy” and a consensus price target of $75.00.

FOX Trading Down 4.0%

The firm has a market capitalization of $20.15 billion, a P/E ratio of 12.65, a P/E/G ratio of 5.90 and a beta of 0.54. The company has a current ratio of 2.90, a quick ratio of 2.65 and a debt-to-equity ratio of 0.60. The stock has a 50 day simple moving average of $57.43 and a 200-day simple moving average of $58.44.

FOX (NASDAQ:FOX) last issued its quarterly earnings data on Monday, May 11th. The company reported $1.32 earnings per share for the quarter, topping the consensus estimate of $1.02 by $0.30. The firm had revenue of $3.99 billion for the quarter, compared to analysts’ expectations of $3.78 billion. FOX had a net margin of 10.56% and a return on equity of 18.90%. On average, equities research analysts forecast that Fox Corporation will post 4.76 EPS for the current fiscal year.

Institutional Investors Weigh In On FOX

A number of hedge funds have recently modified their holdings of FOX. Brown Brothers Harriman & Co. raised its holdings in FOX by 336.9% in the 3rd quarter. Brown Brothers Harriman & Co. now owns 616 shares of the company’s stock worth $35,000 after purchasing an additional 475 shares during the period. FNY Investment Advisers LLC purchased a new stake in FOX in the fourth quarter worth about $83,000. Geneos Wealth Management Inc. raised its stake in shares of FOX by 95.1% in the first quarter. Geneos Wealth Management Inc. now owns 1,442 shares of the company’s stock worth $76,000 after buying an additional 703 shares during the period. EverSource Wealth Advisors LLC raised its stake in shares of FOX by 130.2% in the second quarter. EverSource Wealth Advisors LLC now owns 2,300 shares of the company’s stock worth $119,000 after buying an additional 1,301 shares during the period. Finally, Glenmede Trust Co. NA lifted its position in shares of FOX by 143.9% during the 1st quarter. Glenmede Trust Co. NA now owns 2,697 shares of the company’s stock valued at $143,000 after buying an additional 1,591 shares in the last quarter. Institutional investors own 26.41% of the company’s stock.

About FOX

Fox Corporation (NASDAQ:FOX) is a U.S.-based media company that operates television broadcast, news and sports businesses. The company traces its contemporary structure to the 2019 reorganization that followed the sale of certain entertainment assets to The Walt Disney Company; Fox Corporation retained a portfolio centered on the Fox Broadcasting Company, Fox Television Stations, Fox News Media and Fox Sports. Over time the company has expanded its digital footprint through acquisitions and direct-to-consumer services, building a mix of linear and streaming distribution.

FOX’s core activities include the creation, aggregation and distribution of television programming and live sports, the operation of national cable news and business networks, and the ownership and operation of local broadcast stations.