NEWS CORP - CLASS A (NWSA) Stock Fundamental Analysis
USA - NASDAQ:NWSA - US65249B1098 - Common Stock
25.77 USD
+0.97 (+3.91%)
Taking everything into account, NWSA scores 5 out of 10 in our fundamental rating. NWSA was compared to 96 industry peers in the Media industry. NWSA has an excellent profitability rating, but there are some minor concerns on its financial health. NWSA is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
NWSA had positive earnings in the past year.
In the past year NWSA had a positive cash flow from operations.
In the past 5 years NWSA has always been profitable.
Each year in the past 5 years NWSA had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NWSA (7.65%) is better than 87.50% of its industry peers.
NWSA has a Return On Equity of 13.48%. This is in the better half of the industry: NWSA outperforms 79.17% of its industry peers.
With a Return On Invested Capital value of 3.57%, NWSA perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NWSA is significantly below the industry average of 8.26%.
The 3 year average ROIC (1.50%) for NWSA is below the current ROIC(3.57%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.65% | ||
| ROE | 13.48% | ||
| ROIC | 3.57% |
ROA(3y)3.36%
ROA(5y)3.13%
ROE(3y)6.19%
ROE(5y)6.03%
ROIC(3y)1.5%
ROIC(5y)2.46%
1.3 Margins
NWSA has a better Profit Margin (26.77%) than 95.83% of its industry peers.
NWSA has a Operating Margin of 15.47%. This is amongst the best in the industry. NWSA outperforms 81.25% of its industry peers.
With an excellent Gross Margin value of 108.97%, NWSA belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.47% | ||
| PM (TTM) | 26.77% | ||
| GM | 108.97% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for NWSA has been reduced compared to 1 year ago.
The number of shares outstanding for NWSA has been reduced compared to 5 years ago.
NWSA has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.79, we must say that NWSA is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.79, NWSA is in the better half of the industry, outperforming 67.71% of the companies in the same industry.
The Debt to FCF ratio of NWSA is 2.58, which is a good value as it means it would take NWSA, 2.58 years of fcf income to pay off all of its debts.
NWSA has a better Debt to FCF ratio (2.58) than 80.21% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that NWSA is not too dependend on debt financing.
NWSA has a better Debt to Equity ratio (0.22) than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.58 | ||
| Altman-Z | 1.79 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
NWSA has a Current Ratio of 1.76. This is a normal value and indicates that NWSA is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.76, NWSA is doing good in the industry, outperforming 71.88% of the companies in the same industry.
A Quick Ratio of 1.63 indicates that NWSA should not have too much problems paying its short term obligations.
The Quick ratio of NWSA (1.63) is better than 70.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 |
3. Growth
3.1 Past
NWSA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 21.33%, which is quite impressive.
NWSA shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 32.55% yearly.
Looking at the last year, NWSA shows a very negative growth in Revenue. The Revenue has decreased by -56.88% in the last year.
EPS 1Y (TTM)21.33%
EPS 3Y-9.14%
EPS 5Y32.55%
EPS Q2Q%4.76%
Revenue 1Y (TTM)-56.88%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-15.59%
3.2 Future
The Earnings Per Share is expected to grow by 9.75% on average over the next years. This is quite good.
The Revenue is expected to grow by 3.34% on average over the next years.
EPS Next Y10.92%
EPS Next 2Y14.98%
EPS Next 3Y12.68%
EPS Next 5Y9.75%
Revenue Next Year1.11%
Revenue Next 2Y2.29%
Revenue Next 3Y2.67%
Revenue Next 5Y3.34%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.32, which means the current valuation is very expensive for NWSA.
Based on the Price/Earnings ratio, NWSA is valued a bit cheaper than the industry average as 61.46% of the companies are valued more expensively.
NWSA is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 25.07, which is the current average of the S&P500 Index.
NWSA is valuated rather expensively with a Price/Forward Earnings ratio of 21.66.
The rest of the industry has a similar Price/Forward Earnings ratio as NWSA.
The average S&P500 Price/Forward Earnings ratio is at 34.08. NWSA is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.32 | ||
| Fwd PE | 21.66 |
4.2 Price Multiples
NWSA's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NWSA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.21 | ||
| EV/EBITDA | 12.89 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NWSA does not grow enough to justify the current Price/Earnings ratio.
NWSA has a very decent profitability rating, which may justify a higher PE ratio.
NWSA's earnings are expected to grow with 12.68% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.59
PEG (5Y)0.87
EPS Next 2Y14.98%
EPS Next 3Y12.68%
5. Dividend
5.1 Amount
With a yearly dividend of 0.76%, NWSA is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.47, NWSA pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.76, NWSA pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.76% |
5.2 History
The dividend of NWSA has a limited annual growth rate of 3.91%.
NWSA has been paying a dividend for at least 10 years, so it has a reliable track record.
As NWSA 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
NWSA pays out 16.79% of its income as dividend. This is a sustainable payout ratio.
NWSA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP16.79%
EPS Next 2Y14.98%
EPS Next 3Y12.68%
NASDAQ:NWSA (11/21/2025, 2:23:46 PM)
25.77
+0.97 (+3.91%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners104.96%
Inst Owner Change6.11%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap14.54B
Revenue(TTM)4.38B
Net Income(TTM)1.17B
Analysts80
Price Target37.66 (46.14%)
Short Float %2.98%
Short Ratio2.61
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)-0.34%
PT rev (3m)2.32%
EPS NQ rev (1m)-0.64%
EPS NQ rev (3m)3.35%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.79%
Revenue NQ rev (1m)0.09%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.32 | ||
| Fwd PE | 21.66 | ||
| P/S | 3.32 | ||
| P/FCF | 19.21 | ||
| P/OCF | 12.64 | ||
| P/B | 1.67 | ||
| P/tB | 6.09 | ||
| EV/EBITDA | 12.89 |
EPS(TTM)0.91
EY3.53%
EPS(NY)1.19
Fwd EY4.62%
FCF(TTM)1.34
FCFY5.21%
OCF(TTM)2.04
OCFY7.91%
SpS7.77
BVpS15.43
TBVpS4.23
PEG (NY)2.59
PEG (5Y)0.87
Graham Number17.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.65% | ||
| ROE | 13.48% | ||
| ROCE | 5.29% | ||
| ROIC | 3.57% | ||
| ROICexc | 4.3% | ||
| ROICexgc | 10.6% | ||
| OM | 15.47% | ||
| PM (TTM) | 26.77% | ||
| GM | 108.97% | ||
| FCFM | 17.28% |
ROA(3y)3.36%
ROA(5y)3.13%
ROE(3y)6.19%
ROE(5y)6.03%
ROIC(3y)1.5%
ROIC(5y)2.46%
ROICexc(3y)1.74%
ROICexc(5y)2.87%
ROICexgc(3y)4.83%
ROICexgc(5y)7.97%
ROCE(3y)2.23%
ROCE(5y)3.65%
ROICexgc growth 3Y-66.89%
ROICexgc growth 5Y-37.28%
ROICexc growth 3Y-65.07%
ROICexc growth 5Y-37.97%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.58 | ||
| Debt/EBITDA | 1.84 | ||
| Cap/Depr | 101.55% | ||
| Cap/Sales | 8.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 107.98% | ||
| Profit Quality | 64.54% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.63 | ||
| Altman-Z | 1.79 |
F-Score7
WACCN/A
ROIC/WACCN/A
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 Y10.92%
EPS Next 2Y14.98%
EPS Next 3Y12.68%
EPS Next 5Y9.75%
Revenue 1Y (TTM)-56.88%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-15.59%
Revenue Next Year1.11%
Revenue Next 2Y2.29%
Revenue Next 3Y2.67%
Revenue Next 5Y3.34%
EBIT growth 1Y-19.57%
EBIT growth 3Y-66.48%
EBIT growth 5Y-37.45%
EBIT Next Year58.17%
EBIT Next 3Y23.66%
EBIT Next 5Y15.43%
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 A / NWSA FAQ
What is the fundamental rating for NWSA stock?
ChartMill assigns a fundamental rating of 5 / 10 to NWSA.
What is the valuation status for NWSA stock?
ChartMill assigns a valuation rating of 3 / 10 to NEWS CORP - CLASS A (NWSA). This can be considered as Overvalued.
How profitable is NEWS CORP - CLASS A (NWSA) stock?
NEWS CORP - CLASS A (NWSA) has a profitability rating of 7 / 10.
What is the valuation of NEWS CORP - CLASS A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NEWS CORP - CLASS A (NWSA) is 28.32 and the Price/Book (PB) ratio is 1.67.
What is the earnings growth outlook for NEWS CORP - CLASS A?
The Earnings per Share (EPS) of NEWS CORP - CLASS A (NWSA) is expected to grow by 10.92% in the next year.