FOX Corporation reported strong financial results for the fiscal third quarter, with an 18% increase in revenue driven by a record-breaking Super Bowl LVII.
Advertising revenue grew by 43%, primarily due to the success of the Super Bowl and increased demand at Tubi. Affiliate revenue also saw growth of 3%.
The company's sports programming, including the USFL and upcoming events like NASCAR and Major League Baseball, is expected to continue driving advertising revenue in the fourth quarter.
Tubi's performance was described as "stellar," with revenue growing by 31% and total view time increasing by 38% year-on-year. Tubi has reached 1% of total TV viewing minutes and is now the most-watched ad-supported streaming service in the United States.
The settlement of the dispute with Dominion Voting Systems was seen as a business decision to avoid a lengthy trial and appeals process. It does not alter FOX's commitment to journalistic standards or reporting the news.
Current Fair Value
Undervalued by 38.6% based on the discounted cash flow analysis.