30.5 USD
+0.3 (+0.99%)
30.5 USD
0 (0%)
NWS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 91 industry peers in the Media industry. NWS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. NWS is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year NWS was profitable.
In the past year NWS had a positive cash flow from operations.
NWS had positive earnings in each of the past 5 years.
NWS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NWS's Return On Assets of 7.65% is amongst the best of the industry. NWS outperforms 89.01% of its industry peers.
With an excellent Return On Equity value of 13.48%, NWS belongs to the best of the industry, outperforming 81.32% of the companies in the same industry.
The Return On Invested Capital of NWS (4.28%) is better than 62.64% of its industry peers.
NWS had an Average Return On Invested Capital over the past 3 years of 3.11%. This is below the industry average of 7.07%.
The 3 year average ROIC (3.11%) for NWS is below the current ROIC(4.28%), indicating increased profibility in the last year.
| 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
Looking at the Profit Margin, with a value of 18.07%, NWS belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
NWS's Profit Margin has improved in the last couple of years.
NWS's Operating Margin of 12.51% is fine compared to the rest of the industry. NWS outperforms 74.73% of its industry peers.
In the last couple of years the Operating Margin of NWS has grown nicely.
NWS's Gross Margin of 73.56% is amongst the best of the industry. NWS outperforms 86.81% of its industry peers.
NWS's Gross Margin has improved in the last couple of years.
| 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
NWS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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
The debt/assets ratio for NWS has been reduced compared to a year ago.
2.2 Solvency
NWS has an Altman-Z score of 2.24. 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's Altman-Z score of 2.24 is fine compared to the rest of the industry. NWS outperforms 73.63% of its industry peers.
The Debt to FCF ratio of NWS is 2.66, which is a good value as it means it would take NWS, 2.66 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.66, NWS belongs to the top of the industry, outperforming 81.32% of the companies in the same industry.
A Debt/Equity ratio of 0.22 indicates that NWS is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.22, NWS is doing good in the industry, outperforming 65.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.66 | ||
| Altman-Z | 2.24 |
ROIC/WACC0.53
WACC8.04%
2.3 Liquidity
NWS has a Current Ratio of 1.76. This is a normal value and indicates that NWS is financially healthy and should not expect problems in meeting its short term obligations.
NWS has a Current ratio of 1.76. This is in the better half of the industry: NWS outperforms 70.33% 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 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
NWS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.33%, which is quite impressive.
The Earnings Per Share has been growing by 32.55% on average over the past years. This is a very strong growth
Looking at the last year, NWS shows a very negative growth in Revenue. The Revenue has decreased by -36.13% in the last year.
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
Based on estimates for the next years, NWS will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.84% on average per year.
Based on estimates for the next years, NWS will show a small growth in Revenue. The Revenue will grow by 3.32% on average per year.
EPS Next Y8.08%
EPS Next 2Y14.08%
EPS Next 3Y13.13%
EPS Next 5Y9.84%
Revenue Next Year1.57%
Revenue Next 2Y2.43%
Revenue Next 3Y2.71%
Revenue Next 5Y3.32%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 33.52, the valuation of NWS can be described as expensive.
Based on the Price/Earnings ratio, NWS is valued a bit cheaper than 61.54% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.25, NWS is valued a bit more expensive.
NWS is valuated quite expensively with a Price/Forward Earnings ratio of 26.04.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NWS is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.98, NWS is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.52 | ||
| Fwd PE | 26.04 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as NWS.
The rest of the industry has a similar Price/Free Cash Flow ratio as NWS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.27 | ||
| EV/EBITDA | 13.23 |
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 13.13% in the coming years.
PEG (NY)4.15
PEG (5Y)1.03
EPS Next 2Y14.08%
EPS Next 3Y13.13%
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 1.31, NWS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.92, NWS's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
5.2 History
The dividend of NWS has a limited annual growth rate of 3.92%.
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)3.92%
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 2Y14.08%
EPS Next 3Y13.13%
30.5
+0.3 (+0.99%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners107.48%
Inst Owner Change0.01%
Ins Owners0.03%
Ins Owner Change-32091.8%
Market Cap17.13B
Revenue(TTM)6.49B
Net Income(TTM)1.17B
Analysts81.33
Price Target41.54 (36.2%)
Short Float %2.03%
Short Ratio8.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
Yearly Dividend0.33
Dividend Growth(5Y)3.92%
DP16.79%
Div Incr Years0
Div Non Decr Years9
Ex-DateN/A
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)0.5%
PT rev (3m)-0.47%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.21%
EPS NY rev (1m)-0.29%
EPS NY rev (3m)-2.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.04%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.52 | ||
| Fwd PE | 26.04 | ||
| P/S | 2.64 | ||
| P/FCF | 23.27 | ||
| P/OCF | 14.91 | ||
| P/B | 1.97 | ||
| P/tB | 7.17 | ||
| EV/EBITDA | 13.23 |
EPS(TTM)0.91
EY2.98%
EPS(NY)1.17
Fwd EY3.84%
FCF(TTM)1.31
FCFY4.3%
OCF(TTM)2.05
OCFY6.71%
SpS11.56
BVpS15.5
TBVpS4.25
PEG (NY)4.15
PEG (5Y)1.03
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 | 11.34% |
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 | 2.66 | ||
| Debt/EBITDA | 1.51 | ||
| Cap/Depr | 89.01% | ||
| Cap/Sales | 6.36% | ||
| Interest Coverage | 8.29 | ||
| Cash Conversion | 90.05% | ||
| Profit Quality | 62.75% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 2.24 |
F-Score7
WACC8.04%
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 Y8.08%
EPS Next 2Y14.08%
EPS Next 3Y13.13%
EPS Next 5Y9.84%
Revenue 1Y (TTM)-36.13%
Revenue growth 3Y-6.63%
Revenue growth 5Y-1.27%
Sales Q2Q%-15.59%
Revenue Next Year1.57%
Revenue Next 2Y2.43%
Revenue Next 3Y2.71%
Revenue Next 5Y3.32%
EBIT growth 1Y-4.36%
EBIT growth 3Y0.1%
EBIT growth 5Y20.59%
EBIT Next Year57.36%
EBIT Next 3Y22.21%
EBIT Next 5Y15.45%
FCF growth 1Y34.06%
FCF growth 3Y-5.26%
FCF growth 5Y16.28%
OCF growth 1Y7.58%
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 for 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 are the PE and PB ratios of NEWS CORP - CLASS B (NWS) stock?
The Price/Earnings (PE) ratio for NEWS CORP - CLASS B (NWS) is 33.52 and the Price/Book (PB) ratio is 1.97.
How sustainable is the dividend of NEWS CORP - CLASS B (NWS) stock?
The dividend rating of NEWS CORP - CLASS B (NWS) is 5 / 10 and the dividend payout ratio is 16.79%.