72.32 USD
-0.4 (-0.55%)
We assign a fundamental rating of 7 out of 10 to FOXA. FOXA was compared to 92 industry peers in the Media industry. Both the health and profitability get an excellent rating, making FOXA a very profitable company, without any liquidiy or solvency issues. FOXA has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- FOXA had positive earnings in the past year.
- In the past year FOXA had a positive cash flow from operations.
- In the past 5 years FOXA has always been profitable.
- Each year in the past 5 years FOXA had a positive operating cash flow.
1.2 Ratios
- FOXA's Return On Assets of 8.94% is amongst the best of the industry. FOXA outperforms 93.48% of its industry peers.
- The Return On Equity of FOXA (16.67%) is better than 88.04% of its industry peers.
- FOXA has a Return On Invested Capital of 11.88%. This is amongst the best in the industry. FOXA outperforms 91.30% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for FOXA is above the industry average of 7.07%.
- The 3 year average ROIC (10.96%) for FOXA is below the current ROIC(11.88%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.94% | ||
| ROE | 16.67% | ||
| ROIC | 11.88% |
ROA(3y)7.42%
ROA(5y)7.41%
ROE(3y)14.96%
ROE(5y)14.96%
ROIC(3y)10.96%
ROIC(5y)10.57%
1.3 Margins
- FOXA's Profit Margin of 12.35% is amongst the best of the industry. FOXA outperforms 88.04% of its industry peers.
- In the last couple of years the Profit Margin of FOXA has grown nicely.
- The Operating Margin of FOXA (19.69%) is better than 93.48% of its industry peers.
- FOXA's Operating Margin has been stable in the last couple of years.
- Looking at the Gross Margin, with a value of 35.75%, FOXA is in line with its industry, outperforming 45.65% of the companies in the same industry.
- In the last couple of years the Gross Margin of FOXA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.69% | ||
| PM (TTM) | 12.35% | ||
| GM | 35.75% |
OM growth 3Y2.45%
OM growth 5Y-0.48%
PM growth 3Y17.2%
PM growth 5Y11.32%
GM growth 3Y0.68%
GM growth 5Y-0.59%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FOXA is creating some value.
- FOXA has less shares outstanding than it did 1 year ago.
- FOXA has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, FOXA has an improved debt to assets ratio.
2.2 Solvency
- FOXA has an Altman-Z score of 3.61. This indicates that FOXA is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of FOXA (3.61) is better than 88.04% of its industry peers.
- FOXA has a debt to FCF ratio of 2.48. This is a good value and a sign of high solvency as FOXA would need 2.48 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 2.48, FOXA belongs to the best of the industry, outperforming 83.70% of the companies in the same industry.
- A Debt/Equity ratio of 0.54 indicates that FOXA is somewhat dependend on debt financing.
- FOXA has a Debt to Equity ratio (0.54) which is in line with its industry peers.
- Even though the debt/equity ratio score it not favorable for FOXA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.54 | ||
| Debt/FCF | 2.48 | ||
| Altman-Z | 3.61 |
ROIC/WACC1.47
WACC8.08%
2.3 Liquidity
- FOXA has a Current Ratio of 3.24. This indicates that FOXA is financially healthy and has no problem in meeting its short term obligations.
- FOXA's Current ratio of 3.24 is amongst the best of the industry. FOXA outperforms 92.39% of its industry peers.
- FOXA has a Quick Ratio of 3.03. This indicates that FOXA is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 3.03, FOXA belongs to the best of the industry, outperforming 91.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.24 | ||
| Quick Ratio | 3.03 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 28.04% over the past year.
- The Earnings Per Share has been growing by 14.02% on average over the past years. This is quite good.
- FOXA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.91%.
- FOXA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.79% yearly.
EPS 1Y (TTM)28.04%
EPS 3Y19.66%
EPS 5Y14.02%
EPS Q2Q%4.14%
Revenue 1Y (TTM)14.91%
Revenue growth 3Y5.27%
Revenue growth 5Y5.79%
Sales Q2Q%4.88%
3.2 Future
- The Earnings Per Share is expected to decrease by -2.00% on average over the next years.
- The Revenue is expected to grow by 0.90% on average over the next years.
EPS Next Y-5.66%
EPS Next 2Y3.33%
EPS Next 3Y1.46%
EPS Next 5Y-2%
Revenue Next Year-0.4%
Revenue Next 2Y1.88%
Revenue Next 3Y1.32%
Revenue Next 5Y0.9%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 14.94, the valuation of FOXA can be described as correct.
- Based on the Price/Earnings ratio, FOXA is valued a bit cheaper than the industry average as 77.17% of the companies are valued more expensively.
- FOXA is valuated rather cheaply when we compare the Price/Earnings ratio to 27.25, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 14.17, FOXA is valued correctly.
- 67.39% of the companies in the same industry are more expensive than FOXA, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. FOXA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.94 | ||
| Fwd PE | 14.17 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, FOXA is valued a bit cheaper than 66.30% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, FOXA is valued a bit cheaper than the industry average as 71.74% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.05 | ||
| EV/EBITDA | 9.5 |
4.3 Compensation for Growth
- FOXA has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.07
EPS Next 2Y3.33%
EPS Next 3Y1.46%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.77%, FOXA is not a good candidate for dividend investing.
- FOXA's Dividend Yield is a higher than the industry average which is at 1.22.
- With a Dividend Yield of 0.77, FOXA pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.77% |
5.2 History
- The dividend of FOXA has a limited annual growth rate of 2.24%.
- FOXA has been paying a dividend for at least 10 years, so it has a reliable track record.
- As FOXA did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)2.24%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
- FOXA pays out 13.96% of its income as dividend. This is a sustainable payout ratio.
DP13.96%
EPS Next 2Y3.33%
EPS Next 3Y1.46%
FOX CORP - CLASS A / FOXA FAQ
What is the ChartMill fundamental rating of FOX CORP - CLASS A (FOXA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to FOXA.
What is the valuation status of FOX CORP - CLASS A (FOXA) stock?
ChartMill assigns a valuation rating of 5 / 10 to FOX CORP - CLASS A (FOXA). This can be considered as Fairly Valued.
What is the profitability of FOXA stock?
FOX CORP - CLASS A (FOXA) has a profitability rating of 8 / 10.
What is the earnings growth outlook for FOX CORP - CLASS A?
The Earnings per Share (EPS) of FOX CORP - CLASS A (FOXA) is expected to decline by -5.66% in the next year.
How sustainable is the dividend of FOX CORP - CLASS A (FOXA) stock?
The dividend rating of FOX CORP - CLASS A (FOXA) is 5 / 10 and the dividend payout ratio is 13.96%.