# News Corp B (NWS.US)

Canonical: https://gigainvestors.com/s/NWS

Analysis as of: 2026-10-16T07:30:47.627Z. Financial observations: FY2010–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $33.06 per share; close as of 2026-10-15.

Estimated value: low $9.69 per share, central $10.63 per share, high $11.80 per share. Buy at or below the central value $10.63 per share. Valuation as of 2026-10-16T07:30:47.627Z; scenarios are not confidence intervals.

Expected annual return: 4.7% at the stated quote. About 4.7% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 3

- Operating margin variation: 0.32×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.05×

- FY2018: 0.07×

- FY2019: 0.08×

- FY2020: 0.11×

- FY2021: 0.14×

- FY2022: 0.16×

- FY2023: 0.14×

- FY2024: 0.15×

- FY2025: 0.17×

- FY2026: 0.11×

### moat: pass

- ROIC, median of available years: 15.5%

- ROIC, second-lowest year: 11.8%

- Typical minus recent gross margin: -6.2 pp

- Typical gross margin (annual median): 50.0%

- Recent gross margin (lower of latest and 3-year median): 56.2%

- Years with nonpositive capital: 0

- Capital spending / revenue: 4.8%

- ROIC including acquisitions, ten-year median: 2.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 6.1%

- FY2018: 11.8%

- FY2019: 13.2%

- FY2020: 17.3%

- FY2021: 22.6%

- FY2022: 29.2%

- FY2023: 13.4%

- FY2024: 15.8%

- FY2025: 20.1%

- FY2026: 15.2%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.76×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $1.6B

- Net income, five-year total: $2.1B

- Return on incremental invested capital: 54.3%

- Working capital / revenue, annual change: 0.4 pp

- Working capital / revenue, change between three-year averages: 2.8 pp

- Working capital / revenue, final three-year average: 18.0%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2022: 1.00×

- FY2023: -1.01×

- FY2024: 0.66×

- FY2025: 0.64×

- FY2026: 1.10×

### management: pass

- Historical market-dollar context (not the management verdict): 2017 to 2026 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 11.8% vs 15.8%

- Per-share earnings: -1.27 to 0.81 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: -0.4%

- Ordinary dilution, 5-year annual growth: -1.2%

- Market cap gain: $7.4B

- Cumulative retained earnings: $336M

- Diluted shares, 10-year annual growth: -0.4%

- Diluted shares, 5-year annual growth: -1.2%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2026

- Per-share value change: $2.08

- Per-share value, starting three-year median: -$1.27

- Per-share value, ending three-year median: $0.81

- Buybacks concentrated in cheaper years (correlation): 0.20

- Average buyback yield: 2.1%

- Buyback history: 5 years

- Debt-funded buybacks: No

- Acquisition spending: $3.3B

- Cumulative net income, 10 years: -$888M

- ROIC, first three-year median: 11.8%

- ROIC, last three-year median: 15.8%

Chart: Earnings per share; fiscal year observations.

- FY2017: -$1.27

- FY2018: -$2.60

- FY2019: $0.39

- FY2020: -$2.16

- FY2021: $0.56

- FY2022: $1.05

- FY2023: $0.26

- FY2024: $0.46

- FY2025: $0.81

- FY2026: $1.03

### accounting: pass

- restructuring or one-time charges in at least three of five years

- Sloan accruals: -4.3%

- Receivables to sales index (DSRI): 1.05×

- Restructuring years, last five: 5

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.16×

- Accounting red flags: 1

- Goodwill and intangibles / equity: 0.75×

Chart: Sloan accruals; fiscal year observations.

- FY2017: -8.5%

- FY2018: -13.9%

- FY2019: -4.5%

- FY2020: -14.4%

- FY2021: -5.4%

- FY2022: -4.2%

- FY2023: -5.6%

- FY2024: -5.0%

- FY2025: -4.3%

- FY2026: -4.3%

## Holders

- [David Hoeft](https://gigainvestors.com/DAC): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Donald Yacktman](https://gigainvestors.com/YAM): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Price needs cash profits to grow 19.2% a year for ten years · sales +6.8%

Story as of 2026-10-16T09:59:18.001Z; price observation 2026-10-15.

Price needs cash profits to grow 19.2% a year for ten years

- 2025-05-08: News Corp beats quarterly estimates on Dow Jones, digital real estate services segments growth ([finance.yahoo.com](https://finance.yahoo.com/news/news-corp-beats-quarterly-estimates-224932534.html))

- 2025-08-06: News Corp signals accelerated $1B buyback and record Dow Jones margins following Foxtel sale ([seekingalpha.com](https://seekingalpha.com/news/4479451-news-corp-signals-accelerated-1b-buyback-and-record-dow-jones-margins-following-foxtel-sale?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2026-08-06: News Corp (NWS) (Q4 2026) Earnings Call Highlights: Record Profitability and AI Partnerships ... ([finance.yahoo.com](https://finance.yahoo.com/technology/ai/articles/news-corp-nws-q4-2026-050309959.html))

### Sales · FY2025–2026

sales +6.8%; source https://www.sec.gov/Archives/edgar/data/1564708/000156470826000175/nws-20260630.htm; observed 2026-08-07.

- FY2017: $8.1B 

- FY2018: $9.0B 

- FY2019: $10B 

- FY2020: $9.0B 

- FY2021: $9.4B 

- FY2022: $10B 

- FY2023: $8.0B 

- FY2024: $8.3B 

- FY2025: $8.5B 

- FY2026: $9.0B 

### Gross margin · FY2026

gross margin 56.9%; source https://www.sec.gov/Archives/edgar/data/1564708/000156470826000175/nws-20260630.htm; observed 2026-08-07.

- FY2017: 38.8% 

- FY2018: 40.4% 

- FY2019: 37.6% 

- FY2020: 45.3% 

- FY2021: 48.9% 

- FY2022: 51.1% 

- FY2023: 51.5% 

- FY2024: 54.2% 

- FY2025: 56.2% 

- FY2026: 56.9% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in entertainment; annual sales are USD 9 billion.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2026-06-30 (filed 2026-08-07); FY2026: revenue 9028000000; grossProfit 5136000000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); NWS.US: News Corporation, a media and information services company, creates and distributes authoritative and engaging content, and other products and services for consumers and businesses in the United States, Canada, Europe, Australasia, and internationally. It operates through five segments: Dow Jones, Digital Real Estate Services, Book Publishing, News Media, and Other. The company distributes news, data, and business information under The Wall Street Journal, Barron's, MarketWatch, Investor's Business Daily, Dow Jones Risk & Compliance, Dow Jones Energy, Factiva, and Dow Jones Newswires brands through various media channels, including websites, mobile apps, newspapers, newswires, newsletters, magazines, proprietary databases, live journalism, video, and podcasts. It also provides property and property-related services on its websites and mobile apps, such as realestate.com.au, realcommercial.com.au, Flatmates.com.au, and property portals, as well as residential, commercial, and share property websites; mortgage broking offering and property-related data services to the financial sector; and Realtor.com, RealPRO Select, Connections Plus, Listing Toolkit products, RealChoice Selling, and Realtor.com +. In addition, the company publishes and distributes consumer books comprising general fiction, nonfiction, and children and religious publishing through print and digital formats under the Harper, William Morrow, Mariner, HarperCollins Children's Books, Avon, Harlequin and Christian publishers, Zondervan, and Thomas Nelson; provides news and information under the The Australian, The Weekend Australian, The Daily Telegraph and The Sunday Telegraph, Herald Sun, Sunday Herald Sun, The Courier Mail, The Sunday Mail, The Advertiser, and Sunday Mail names; and operates talkSPORT, a sports radio network. News Corporation was founded in 2012 and is headquartered in New York, New York.

### Why customers stay

Margins ranged from 54.2% to 56.9% during 2024–26; it earns 15.5% on its capital.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2024-06-30 (filed 2026-08-07); FY2024: grossProfit / revenue = 54.2%.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2025-06-30 (filed 2026-08-07); FY2025: grossProfit / revenue = 56.2%.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2026-06-30 (filed 2026-08-07); FY2026: grossProfit / revenue = 56.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-08-07); 10-year return on capital observations [[2017,0.06131007475970096],[2018,0.11817501869857891],[2019,0.13198056212240608],[2020,0.17261075268817205],[2021,0.2258585037699219],[2022,0.29211840952368756],[2023,0.13409777274443185],[2024,0.15838484546360918],[2025,0.20117715358418384],[2026,0.15214914117139478]]; median 0.155266993317502. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Reinvests 19.3% of cash earnings; earns 54.3% on new investment.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2019-06-30 (filed 2026-08-07); FY2019: growth capex 0; upkeep 572000000; cash acquisitions 188000000; owner earnings 315000000. Growth capex plus acquisitions / owner earnings = 0.5968253968253968.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2021-06-30 (filed 2026-08-07); FY2021: growth capex 0; upkeep 390000000; cash acquisitions 886000000; owner earnings 370000000. Growth capex plus acquisitions / owner earnings = 2.3945945945945946.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2022-06-30 (filed 2026-08-07); FY2022: growth capex 74000000; upkeep 425000000; cash acquisitions 1501000000; owner earnings 623000000. Growth capex plus acquisitions / owner earnings = 2.5280898876404496.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2024-06-30 (filed 2026-08-07); FY2024: growth capex 78997749.53461134; upkeep 278002250.46538866; cash acquisitions 38000000; owner earnings 175997749.53461134. Growth capex plus acquisitions / owner earnings = 0.664768440755561.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2025-06-30 (filed 2026-08-07); FY2025: growth capex 61135456.53665507; upkeep 345864543.46334493; cash acquisitions 96000000; owner earnings 296135456.53665507. Growth capex plus acquisitions / owner earnings = 0.5306202045995297.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2026-06-30 (filed 2026-08-07); FY2026: growth capex 0; upkeep 426000000; cash acquisitions 122000000; owner earnings 632000000. Growth capex plus acquisitions / owner earnings = 0.1930379746835443.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-08-07); Incremental return on capital 0.542595694472976, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-08-07); Dividend observations: [[2017,152000000],[2018,158000000],[2019,161000000],[2020,158000000],[2021,163000000],[2022,175000000],[2023,174000000],[2024,172000000],[2025,185000000],[2026,204000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/api/fundamentals/NWS.US.json#2026-06-30 (filed 2026-08-07); FY2026: cash repurchases 782000000 USD.

### Are managers owners

Insiders own 35.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); NWS.US SharesStats.PercentInsiders = 35.35 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 19.2% yearly over ten years; actual growth was 4.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-08-07); Ten-year compound average after fade. Initial solved rate 0.26597720500582833. Price 33.06; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2016 owner earnings/share 0.7347639484978541 → FY2026 1.1318051575931232. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $12.40 per share

- 2016-11: $11.95 per share

- 2016-12: $11.80 per share

- 2017-01: $12.65 per share

- 2017-02: $13.20 per share

- 2017-03: $13.50 per share

- 2017-04: $13.00 per share

- 2017-05: $13.70 per share

- 2017-06: $14.15 per share

- 2017-07: $14.70 per share

- 2017-08: $13.70 per share

- 2017-09: $13.65 per share

- 2017-10: $13.90 per share

- 2017-11: $16.40 per share

- 2017-12: $16.60 per share

- 2018-01: $17.45 per share

- 2018-02: $16.40 per share

- 2018-03: $16.10 per share

- 2018-04: $16.25 per share

- 2018-05: $15.45 per share

- 2018-06: $15.85 per share

- 2018-07: $15.30 per share

- 2018-08: $13.60 per share

- 2018-09: $13.60 per share

- 2018-10: $13.34 per share

- 2018-11: $13.40 per share

- 2018-12: $11.55 per share

- 2019-01: $12.93 per share

- 2019-02: $13.31 per share

- 2019-03: $12.49 per share

- 2019-04: $12.49 per share

- 2019-05: $11.65 per share

- 2019-06: $13.96 per share

- 2019-07: $13.46 per share

- 2019-08: $14.16 per share

- 2019-09: $14.30 per share

- 2019-10: $14.12 per share

- 2019-11: $13.17 per share

- 2019-12: $14.51 per share

- 2020-01: $13.97 per share

- 2020-02: $12.44 per share

- 2020-03: $8.99 per share

- 2020-04: $10.22 per share

- 2020-05: $12.26 per share

- 2020-06: $11.95 per share

- 2020-07: $12.76 per share

- 2020-08: $15.07 per share

- 2020-09: $13.98 per share

- 2020-10: $13.02 per share

- 2020-11: $17.81 per share

- 2020-12: $17.77 per share

- 2021-01: $18.88 per share

- 2021-02: $22.92 per share

- 2021-03: $23.46 per share

- 2021-04: $24.31 per share

- 2021-05: $25.69 per share

- 2021-06: $24.35 per share

- 2021-07: $23.51 per share

- 2021-08: $22.03 per share

- 2021-09: $23.23 per share

- 2021-10: $22.56 per share

- 2021-11: $21.55 per share

- 2021-12: $22.50 per share

- 2022-01: $22.24 per share

- 2022-02: $22.43 per share

- 2022-03: $22.52 per share

- 2022-04: $19.91 per share

- 2022-05: $17.58 per share

- 2022-06: $15.89 per share

- 2022-07: $17.28 per share

- 2022-08: $17.24 per share

- 2022-09: $15.42 per share

- 2022-10: $17.13 per share

- 2022-11: $19.45 per share

- 2022-12: $18.44 per share

- 2023-01: $20.44 per share

- 2023-02: $17.26 per share

- 2023-03: $17.43 per share

- 2023-04: $17.75 per share

- 2023-05: $18.48 per share

- 2023-06: $19.72 per share

- 2023-07: $20.11 per share

- 2023-08: $22.00 per share

- 2023-09: $20.87 per share

- 2023-10: $21.44 per share

- 2023-11: $23.04 per share

- 2023-12: $25.72 per share

- 2024-01: $25.57 per share

- 2024-02: $27.99 per share

- 2024-03: $27.06 per share

- 2024-04: $24.54 per share

- 2024-05: $27.88 per share

- 2024-06: $28.39 per share

- 2024-07: $28.49 per share

- 2024-08: $29.43 per share

- 2024-09: $27.95 per share

- 2024-10: $29.04 per share

- 2024-11: $32.09 per share

- 2024-12: $30.43 per share

- 2025-01: $31.65 per share

- 2025-02: $32.28 per share

- 2025-03: $30.37 per share

- 2025-04: $31.42 per share

- 2025-05: $32.72 per share

- 2025-06: $34.31 per share

- 2025-07: $33.42 per share

- 2025-08: $33.87 per share

- 2025-09: $34.55 per share

- 2025-10: $30.47 per share

- 2025-11: $29.43 per share

- 2025-12: $29.63 per share

- 2026-01: $31.10 per share

- 2026-02: $26.78 per share

- 2026-03: $28.51 per share

- 2026-04: $30.48 per share

- 2026-05: $29.82 per share

- 2026-06: $28.06 per share

- 2026-07: $31.27 per share

- 2026-08: $34.41 per share

- 2026-09: $31.72 per share

- 2026-10: $33.06 per share

## Annual estimated value (USD per share)

- FY2017: low $11.00 per share, central $12.08 per share, high $13.52 per share

- FY2018: low $2.92 per share, central $2.93 per share, high $2.95 per share

- FY2019: low $2.28 per share, central $2.30 per share, high $2.32 per share

- FY2022: low $8.22 per share, central $9.05 per share, high $10.15 per share

- FY2023: low $7.62 per share, central $8.27 per share, high $9.14 per share

- FY2024: low $6.33 per share, central $6.79 per share, high $7.41 per share

- FY2025: low $9.60 per share, central $10.38 per share, high $11.43 per share

- FY2026: low $9.69 per share, central $10.63 per share, high $11.80 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:36:31.526Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1564708/000156470826000175/nws-20260630.htm); period 2026-06-30, filed 2026-08-07.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.
← Companies

News Corp B

NWS · US

S&P 500

Not a wonderful business

2 quality tests fail. A lower price would not fix the business.

Share price
$33.06
Buy up to
$10.63
Expected / yr
4.7% at today's price (10.0% at central value)

The business

How it makes money
Why customers stay
Where the cash goes
Are managers owners
What the price says

1. Is this a good business?

Evidence only; not required for Buy

3 loss years were recorded (limit 2).

10y median
12.5%
Worst year
5.4%
Latest · 2026
11.4%

Capital return excluding acquisitions: median 15.5% (minimum 15%), and the second-worst year 11.8% (minimum 10%).

10y median
15.5%
Worst year
6.1%
Latest · 2026
15.2%

Each $1 of profit left $0.76 for owners over five years (minimum $0.80).

Five-year totals
0.76×
Annual median
0.66×
Latest · 2026
1.10×

Per-share value rose from -1.27 to 0.81, comparing three-year medians at each end (must rise and stay positive).

10y median
$0.43
Worst year
-$2.60
Latest · 2026
$1.03

Profits were backed by cash: accruals were -4.3% of assets (limit 10%).

10y median
-5.2%
Worst year
-4.2%
Latest · 2026
-4.3%

Profit record · fail 3 loss years in 10 (at most 2), mean operating margin 11.7%, three-year average owner earnings per share 0.65 USD. 3 loss years in the last 10; at most 2 allowed.

2. Is the price low enough?

Price & return math
Value range$9.69 – $11.80
Buy at or belowCentral value $10.63
Discount to value1 − 33.06 / 10.63 = -210.9%
Return / yearAbout 4.7% a year at today's price (required return 10.0%)
Cash-flow inputsOwner cash USD 0.57/share; 0.4% growth for 5 years, then fades to 3.0%; excess cash USD 3.43/share today.
Required return10.0% / year, earned by construction at the central value
Revenue$9.0B
$10B$020172026
FY2017 · Revenue: $8.1B; FY2018 · Revenue: $9.0B; FY2019 · Revenue: $10B; FY2020 · Revenue: $9.0B; FY2021 · Revenue: $9.4B; FY2022 · Revenue: $10B; FY2023 · Revenue: $8.0B; FY2024 · Revenue: $8.3B; FY2025 · Revenue: $8.5B; FY2026 · Revenue: $9.0B
Revenue
Owner earnings$632M
$632M-$1.4B20172026
FY2017 · Owner earnings: -$545M; FY2018 · Owner earnings: -$1.4B; FY2019 · Owner earnings: $315M; FY2020 · Owner earnings: -$1.3B; FY2021 · Owner earnings: $370M; FY2022 · Owner earnings: $623M; FY2023 · Owner earnings: -$150M; FY2024 · Owner earnings: $176M; FY2025 · Owner earnings: $296M; FY2026 · Owner earnings: $632M
Owner earnings
Operating margin11.4%
16.7%0.0%20172026
FY2017 · Operating margin: 5.4%; FY2018 · Operating margin: 6.6%; FY2019 · Operating margin: 7.7%; FY2020 · Operating margin: 11.3%; FY2021 · Operating margin: 13.7%; FY2022 · Operating margin: 16.2%; FY2023 · Operating margin: 13.6%; FY2024 · Operating margin: 14.8%; FY2025 · Operating margin: 16.7%; FY2026 · Operating margin: 11.4%
Operating margin
Net cash / debt-$820M
$1.6B-$2.4B20172026
FY2017 · Net cash / debt: $1.6B; FY2018 · Net cash / debt: $82M; FY2019 · Net cash / debt: $190M; FY2020 · Net cash / debt: -$1.0B; FY2021 · Net cash / debt: -$1.4B; FY2022 · Net cash / debt: -$2.3B; FY2023 · Net cash / debt: -$2.4B; FY2024 · Net cash / debt: -$1.2B; FY2025 · Net cash / debt: -$537M; FY2026 · Net cash / debt: -$820M
Net cash / debt
Diluted shares558M
593M020172026
FY2017 · Diluted shares: 581M; FY2018 · Diluted shares: 583M; FY2019 · Diluted shares: 588M; FY2020 · Diluted shares: 588M; FY2021 · Diluted shares: 593M; FY2022 · Diluted shares: 593M; FY2023 · Diluted shares: 579M; FY2024 · Diluted shares: 574M; FY2025 · Diluted shares: 570M; FY2026 · Diluted shares: 558M
Diluted shares
Prices 15 Oct 2026 · FY2026Original filing ↗ ·