25.69 USD
+0.89 (+3.59%)
25.66 USD
-0.03 (-0.12%)
We assign a fundamental rating of 5 out of 10 to NWSA. NWSA was compared to 96 industry peers in the Media industry. While NWSA has a great profitability rating, 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
In the past year NWSA was profitable.
NWSA had a positive operating cash flow in the past year.
Each year in the past 5 years NWSA has been profitable.
In the past 5 years NWSA always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 7.65%, NWSA belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
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.
NWSA has a Return On Invested Capital of 3.57%. This is comparable to the rest of the industry: NWSA outperforms 56.25% of its industry peers.
NWSA had an Average Return On Invested Capital over the past 3 years of 1.50%. This 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 Profit Margin of 26.77%. This is amongst the best in the industry. NWSA outperforms 95.83% of its industry peers.
Looking at the Operating Margin, with a value of 15.47%, NWSA belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
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
Compared to 1 year ago, NWSA has less shares outstanding
Compared to 5 years ago, NWSA has less shares outstanding
Compared to 1 year ago, NWSA has an improved debt to assets ratio.
2.2 Solvency
NWSA has an Altman-Z score of 1.79. This is a bad value and indicates that NWSA is not financially healthy and even has some risk of bankruptcy.
NWSA's Altman-Z score of 1.79 is fine compared to the rest of the industry. NWSA outperforms 67.71% of its industry peers.
NWSA has a debt to FCF ratio of 2.58. This is a good value and a sign of high solvency as NWSA would need 2.58 years to pay back of all of its debts.
NWSA has a better Debt to FCF ratio (2.58) than 80.21% of its industry peers.
NWSA has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
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
A Current Ratio of 1.76 indicates that NWSA should not have too much problems paying 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.
NWSA has a Quick Ratio of 1.63. This is a normal value and indicates that NWSA is financially healthy and should not expect problems in meeting its short term obligations.
NWSA has a better Quick ratio (1.63) 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.
The Earnings Per Share has been growing by 32.55% on average over the past years. This is a very strong growth
The Revenue for NWSA has decreased by -56.88% in the past year. This is quite bad
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
Based on estimates for the next years, NWSA will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.75% on average per year.
Based on estimates for the next years, NWSA will show a small growth in Revenue. The Revenue will grow by 3.34% on average per year.
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
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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 28.23, NWSA can be considered very expensive at the moment.
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.
The average S&P500 Price/Earnings ratio is at 25.45. NWSA is around the same levels.
Based on the Price/Forward Earnings ratio of 21.59, the valuation of NWSA can be described as rather expensive.
NWSA's Price/Forward Earnings ratio is in line with the industry average.
NWSA's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.23 | ||
| Fwd PE | 21.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NWSA is on the same level as its industry peers.
NWSA's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.15 | ||
| 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.
The decent profitability rating of NWSA 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
NWSA has a yearly dividend return of 0.76%, which is pretty low.
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 2.45.
| 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 paid a dividend for at least 10 years, which is a reliable track record.
NWSA has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)3.91%
Div Incr Years0
Div Non Decr Years9
5.3 Sustainability
16.79% of the earnings are spent on dividend by NWSA. This is a low number and sustainable payout ratio.
The dividend of NWSA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP16.79%
EPS Next 2Y14.98%
EPS Next 3Y12.68%
25.69
+0.89 (+3.59%)
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 Cap14.50B
Revenue(TTM)4.38B
Net Income(TTM)1.17B
Analysts80
Price Target37.66 (46.59%)
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 | 28.23 | ||
| Fwd PE | 21.59 | ||
| P/S | 3.31 | ||
| P/FCF | 19.15 | ||
| P/OCF | 12.6 | ||
| P/B | 1.67 | ||
| P/tB | 6.07 | ||
| EV/EBITDA | 12.89 |
EPS(TTM)0.91
EY3.54%
EPS(NY)1.19
Fwd EY4.63%
FCF(TTM)1.34
FCFY5.22%
OCF(TTM)2.04
OCFY7.93%
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 28.23 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.