30.01 USD
+0.01 (+0.03%)
30.01 USD
0 (0%)
NWS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 94 industry peers in the Media industry. NWS scores excellent on profitability, but there are some minor concerns on its financial health. While showing a medium growth rate, NWS is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year NWS was profitable.
NWS had a positive operating cash flow in the past year.
Each year in the past 5 years NWS has been profitable.
NWS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NWS has a better Return On Assets (7.65%) than 88.30% of its industry peers.
NWS's Return On Equity of 13.48% is amongst the best of the industry. NWS outperforms 80.85% of its industry peers.
NWS has a better Return On Invested Capital (4.28%) than 61.70% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NWS is below the industry average of 7.16%.
The last Return On Invested Capital (4.28%) for NWS is above the 3 year average (3.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.65% | ||
| ROE | 13.48% | ||
| ROIC | 4.28% |
ROA(3y)3.36%
ROA(5y)3.13%
ROE(3y)6.19%
ROE(5y)6.03%
ROIC(3y)3.11%
ROIC(5y)3.43%
1.3 Margins
NWS has a better Profit Margin (18.07%) than 92.55% of its industry peers.
In the last couple of years the Profit Margin of NWS has grown nicely.
The Operating Margin of NWS (12.51%) is better than 75.53% of its industry peers.
In the last couple of years the Operating Margin of NWS has grown nicely.
NWS has a better Gross Margin (73.56%) than 85.11% of its industry peers.
In the last couple of years the Gross Margin of NWS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.51% | ||
| PM (TTM) | 18.07% | ||
| GM | 73.56% |
OM growth 3Y7.22%
OM growth 5Y22.14%
PM growth 3Y32.52%
PM growth 5YN/A
GM growth 3Y3.2%
GM growth 5Y4.45%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NWS is destroying value.
The number of shares outstanding for NWS has been reduced compared to 1 year ago.
Compared to 5 years ago, NWS has less shares outstanding
NWS has a better debt/assets ratio than last year.
2.2 Solvency
NWS has an Altman-Z score of 2.21. This is not the best score and indicates that NWS is in the grey zone with still only limited risk for bankruptcy at the moment.
NWS has a better Altman-Z score (2.21) than 73.40% of its industry peers.
The Debt to FCF ratio of NWS is 2.58, which is a good value as it means it would take NWS, 2.58 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.58, NWS is in the better half of the industry, outperforming 79.79% of the companies in the same industry.
A Debt/Equity ratio of 0.22 indicates that NWS is not too dependend on debt financing.
NWS has a Debt to Equity ratio of 0.22. This is in the better half of the industry: NWS outperforms 63.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.58 | ||
| Altman-Z | 2.21 |
ROIC/WACC0.53
WACC8.03%
2.3 Liquidity
A Current Ratio of 1.76 indicates that NWS should not have too much problems paying its short term obligations.
NWS has a better Current ratio (1.76) than 69.15% of its industry peers.
NWS has a Quick Ratio of 1.63. This is a normal value and indicates that NWS is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.63, NWS is doing good in the industry, outperforming 69.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.33% over the past year.
Measured over the past years, NWS shows a very strong growth in Earnings Per Share. The EPS has been growing by 32.55% on average per year.
NWS shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -36.13%.
NWS shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.27% yearly.
EPS 1Y (TTM)21.33%
EPS 3Y-9.14%
EPS 5Y32.55%
EPS Q2Q%4.76%
Revenue 1Y (TTM)-36.13%
Revenue growth 3Y-6.63%
Revenue growth 5Y-1.27%
Sales Q2Q%-15.59%
3.2 Future
NWS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.37% yearly.
NWS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.32% yearly.
EPS Next Y8.39%
EPS Next 2Y13.67%
EPS Next 3Y12.51%
EPS Next 5Y9.37%
Revenue Next Year1.53%
Revenue Next 2Y2.38%
Revenue Next 3Y2.66%
Revenue Next 5Y3.32%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.98, the valuation of NWS can be described as expensive.
Based on the Price/Earnings ratio, NWS is valued a bit cheaper than the industry average as 60.64% of the companies are valued more expensively.
NWS's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.59.
Based on the Price/Forward Earnings ratio of 25.81, the valuation of NWS can be described as expensive.
NWS's Price/Forward Earnings is on the same level as the industry average.
NWS's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.98 | ||
| Fwd PE | 25.81 |
4.2 Price Multiples
NWS's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as NWS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.26 | ||
| EV/EBITDA | 13.85 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NWS does not grow enough to justify the current Price/Earnings ratio.
NWS has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NWS's earnings are expected to grow with 12.51% in the coming years.
PEG (NY)3.93
PEG (5Y)1.01
EPS Next 2Y13.67%
EPS Next 3Y12.51%
5. Dividend
5.1 Amount
With a yearly dividend of 0.76%, NWS is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.22, NWS pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.76, NWS pays less dividend than the S&P500 average, which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
5.2 History
The dividend of NWS has a limited annual growth rate of 3.91%.
NWS has been paying a dividend for at least 10 years, so it has a reliable track record.
As NWS did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)3.91%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
NWS pays out 16.79% of its income as dividend. This is a sustainable payout ratio.
The dividend of NWS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP16.79%
EPS Next 2Y13.67%
EPS Next 3Y12.51%
30.01
+0.01 (+0.03%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners107.56%
Inst Owner Change14.57%
Ins Owners0.03%
Ins Owner Change-33331.1%
Market Cap16.85B
Revenue(TTM)6.49B
Net Income(TTM)1.17B
Analysts81.33
Price TargetN/A
Short Float %2.07%
Short Ratio8.99
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
Yearly Dividend0.33
Dividend Growth(5Y)3.91%
DP16.79%
Div Incr Years0
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.83%
Min EPS beat(2)0.69%
Max EPS beat(2)16.97%
EPS beat(4)4
Avg EPS beat(4)9.97%
Min EPS beat(4)0.69%
Max EPS beat(4)19.05%
EPS beat(8)8
Avg EPS beat(8)14.05%
EPS beat(12)11
Avg EPS beat(12)24.07%
EPS beat(16)14
Avg EPS beat(16)48.33%
Revenue beat(2)0
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-1.68%
Max Revenue beat(2)0%
Revenue beat(4)1
Avg Revenue beat(4)-0.71%
Min Revenue beat(4)-1.68%
Max Revenue beat(4)0.36%
Revenue beat(8)2
Avg Revenue beat(8)-1.01%
Revenue beat(12)3
Avg Revenue beat(12)-1.22%
Revenue beat(16)5
Avg Revenue beat(16)-1.03%
PT rev (1m)-3.19%
PT rev (3m)0.05%
EPS NQ rev (1m)3.23%
EPS NQ rev (3m)-4.21%
EPS NY rev (1m)-2.28%
EPS NY rev (3m)-1.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.04%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.98 | ||
| Fwd PE | 25.81 | ||
| P/S | 2.6 | ||
| P/FCF | 22.26 | ||
| P/OCF | 14.65 | ||
| P/B | 1.94 | ||
| P/tB | 7.06 | ||
| EV/EBITDA | 13.85 |
EPS(TTM)0.91
EY3.03%
EPS(NY)1.16
Fwd EY3.87%
FCF(TTM)1.35
FCFY4.49%
OCF(TTM)2.05
OCFY6.82%
SpS11.56
BVpS15.5
TBVpS4.25
PEG (NY)3.93
PEG (5Y)1.01
Graham Number17.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.65% | ||
| ROE | 13.48% | ||
| ROCE | 6.34% | ||
| ROIC | 4.28% | ||
| ROICexc | 5.17% | ||
| ROICexgc | 12.77% | ||
| OM | 12.51% | ||
| PM (TTM) | 18.07% | ||
| GM | 73.56% | ||
| FCFM | 11.66% |
ROA(3y)3.36%
ROA(5y)3.13%
ROE(3y)6.19%
ROE(5y)6.03%
ROIC(3y)3.11%
ROIC(5y)3.43%
ROICexc(3y)3.72%
ROICexc(5y)4.06%
ROICexgc(3y)9.79%
ROICexgc(5y)10.94%
ROCE(3y)4.62%
ROCE(5y)5.08%
ROICexgc growth 3Y-1.1%
ROICexgc growth 5Y20.92%
ROICexc growth 3Y4.33%
ROICexc growth 5Y19.59%
OM growth 3Y7.22%
OM growth 5Y22.14%
PM growth 3Y32.52%
PM growth 5YN/A
GM growth 3Y3.2%
GM growth 5Y4.45%
F-Score7
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.58 | ||
| Debt/EBITDA | 1.61 | ||
| Cap/Depr | 101.55% | ||
| Cap/Sales | 6.05% | ||
| Interest Coverage | 10.28 | ||
| Cash Conversion | 95.91% | ||
| Profit Quality | 64.54% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 2.21 |
F-Score7
WACC8.03%
ROIC/WACC0.53
Cap/Depr(3y)79.9%
Cap/Depr(5y)73.92%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)246.06%
Profit Quality(5y)226.42%
High Growth Momentum
Growth
EPS 1Y (TTM)21.33%
EPS 3Y-9.14%
EPS 5Y32.55%
EPS Q2Q%4.76%
EPS Next Y8.39%
EPS Next 2Y13.67%
EPS Next 3Y12.51%
EPS Next 5Y9.37%
Revenue 1Y (TTM)-36.13%
Revenue growth 3Y-6.63%
Revenue growth 5Y-1.27%
Sales Q2Q%-15.59%
Revenue Next Year1.53%
Revenue Next 2Y2.38%
Revenue Next 3Y2.66%
Revenue Next 5Y3.32%
EBIT growth 1Y-3.68%
EBIT growth 3Y0.1%
EBIT growth 5Y20.59%
EBIT Next Year57.36%
EBIT Next 3Y22.21%
EBIT Next 5Y15.45%
FCF growth 1Y37.89%
FCF growth 3Y-5.26%
FCF growth 5Y16.28%
OCF growth 1Y7.68%
OCF growth 3Y-5.74%
OCF growth 5Y7.77%
NEWS CORP - CLASS B / NWS FAQ
What is the ChartMill fundamental rating of NEWS CORP - CLASS B (NWS) stock?
ChartMill assigns a fundamental rating of 6 / 10 to NWS.
What is the valuation status of NEWS CORP - CLASS B (NWS) stock?
ChartMill assigns a valuation rating of 3 / 10 to NEWS CORP - CLASS B (NWS). This can be considered as Overvalued.
What is the profitability of NWS stock?
NEWS CORP - CLASS B (NWS) has a profitability rating of 8 / 10.
What is the valuation of NEWS CORP - CLASS B based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NEWS CORP - CLASS B (NWS) is 32.98 and the Price/Book (PB) ratio is 1.94.
Can you provide the financial health for NWS stock?
The financial health rating of NEWS CORP - CLASS B (NWS) is 6 / 10.