News Corporation (NWSA) AI Stock Analysis

NASDAQ: NWSAAI research summary: business, growth, valuation, analysts, bull and bear case.

NWSA AI stock analysis summary

AI Research

News Corporation (NWSA) is a global media and information services company spanning publishing, digital real estate, and subscription video. In FY2026, revenue increased 6.8% to $9.03B with free cash flow reaching $805.0M. The stock trades at a trailing price-to-earnings ratio of 29.2x, above its sector peers median of 17.1x.

Market cap
$16.18B
Revenue (TTM)
$9.03B
P/E
29.2x
fwd 22.0x
1Y return
16.8%
S&P 500 16.8%
Avg. target
$36.16
20.4% vs last close

Bull case

  • Free cash flow expanded to $805.0M in FY2026, supported by $1.23B in operating cash flow.
  • Consensus estimates expect EPS to rise 11.8% to $1.32 in the fiscal year ending June 30, 2027.
  • Analyst consensus price target of $36.16 implies a 20.4% upside from the recent close of $30.03.

Bear case

  • Quarterly earnings fell 74.9% year-over-year in the latest quarter ended June 30, 2026.
  • The trailing P/E of 29.2x represents a significant premium over the median of its S&P 500 Communication Services peers at 17.1x.
  • Long-term revenue expansion has been stagnant, marked by a 5-year revenue CAGR of -0.7% between FY2021 and FY2026.

What News Corp does

News Corporation operates as a global media and information services provider structured into six distinct segments: Digital Real Estate Services, Subscription Video Services, Dow Jones, Book Publishing, News Media, and Other ventures. Its diverse media channels span newspapers, websites, mobile applications, newsletters, and podcasts. Notable flagship brands include The Wall Street Journal, Barron's, MarketWatch, Investor's Business Daily, and the New York Post, along with international publications like The Australian and The Times. The company also operates a book publishing business across multiple genres and delivers sports, entertainment, and news services to pay-TV and streaming subscribers across cable, satellite, and internet distribution networks.

Growth and profitability

News Corporation reported revenue of $9.03B in FY2026, up 6.8% from $8.45B in FY2025, though its 5-year revenue CAGR from FY2021 to FY2026 stands at -0.7%. Operating margin was 11.4% in FY2026 compared to 11.3% in FY2025. Net income was $573.0M with a net margin of 6.3% and EPS of $1.18 in FY2026, down from $1.18B in net income in FY2025. For the trailing twelve months ended June 30, 2026, TTM revenue was $9.03B with a net profit margin of 6.3% and EPS of $1.03. For the latest quarter ended June 30, 2026, quarterly revenue grew 10.8% year-over-year, while quarterly earnings declined 74.9%.

NWSA income statement →

Balance sheet and cash flow

As of June 30, 2026, News Corporation held $2.10B in cash and short-term investments against total debt of $2.92B, resulting in net debt of $820.0M. Shareholders' equity was $8.53B and total assets stood at $15.54B, with a current ratio of 1.62 and a debt-to-equity ratio of 0.34. In FY2026, operating cash flow reached $1.23B, and capital expenditures were $426.0M, generating $805.0M in free cash flow. Cash returned to shareholders included $782.0M in share buybacks and $204.0M in dividends paid, contributing to a 5-year share count change of -6.1%.

NWSA balance sheet →

Valuation and performance

News Corporation carries a market capitalization of $16.18B and an enterprise value of $16.44B. The stock trades at a trailing P/E of 29.2x and a forward P/E of 22.0x, above the median of its S&P 500 Communication Services peers, which sit at 17.1x and 13.8x, respectively. Its enterprise value-to-EBITDA ratio of 10.1x is lower than the peer median of 11.7x, while its price-to-sales of 1.8x is near the peer median of 1.9x. Over the past year, the stock returned 16.8%, matching the S&P 500 return of 16.8%, but its 5-year return of 31.3% trails the S&P 500 return of 83.0%.

NWSA key metrics →

NWSA dividend

News Corporation pays a semiannual forward dividend of $0.20 per share, offering a dividend yield of 0.67%. Its payout ratio is 17.0%, and the company has maintained 12 consecutive years of dividend payments. Over the past five years, the annualized dividend growth rate was 0.0%. The most recent ex-dividend date was September 9, 2026.

NWSA dividend history →

What analysts expect

Wall Street coverage includes 5 Strong Buy, 2 Buy, and 1 Hold ratings, with zero Sell or Strong Sell ratings. The mean price target is $36.16, representing a 20.4% upside to the last closing price of $30.03 as of October 16, 2026. For the current fiscal year ending June 30, 2027, consensus estimates forecast revenue of $9.41B and EPS of $1.32, representing 11.8% earnings growth. News Corporation has beaten EPS estimates in each of the last 4 quarters, with its next earnings date scheduled for November 5, 2026.

NWSA forecast and price target →

Key risks and what to watch

  • Quarterly earnings volatility is evident after net income contracted to $573.0M in FY2026 from $1.18B in FY2025.
  • Net debt of $820.0M requires ongoing cash allocation, with $2.92B in total debt against $2.10B in cash reserves.
  • Five-year stock appreciation of 31.3% has substantially lagged the broader S&P 500 return of 83.0%.

AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer

About this NWSA AI stock analysis

This page is an AI-written research summary of News Corporation (NWSA). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: NWSA income statement, NWSA balance sheet, NWSA key metrics, NWSA analyst forecast, NWSA chart. See the NWSA stock overview for the latest quote and news.

NWSA AI stock analysis FAQ

What is News Corporation's dividend yield and payment schedule?

News Corporation pays an annual forward dividend of $0.20 per share on a semiannual basis, yielding 0.67% with a payout ratio of 17.0%.

What is the consensus analyst target for NWSA stock?

The mean analyst price target is $36.16, which is 20.4% above its closing price of $30.03 on October 16, 2026.

How does News Corporation's valuation compare to its sector?

NWSA trades at a forward P/E of 22.0x, higher than the median of its S&P 500 Communication Services peers at 13.8x, though its EV/EBITDA of 10.1x sits below the peer median of 11.7x.

When is News Corporation's next earnings report?

The company's next earnings release is scheduled for November 5, 2026.

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