News Corp (NASDAQ:NWSA) has announced the continuation of its stock repurchase program, under which the company is authorized to buy back up to $1 billion of its Class A and Class B common stock. This disclosure was made in a filing with the Securities and Exchange Commission (SEC) on Monday, July 16, 2024, and reiterated in a public document filed today.
In other recent news, News Corp continues to make strides with its $1 billion stock repurchase program, as detailed in various filings with the U.S. Securities and Exchange Commission.
The company is authorized to buy back its outstanding shares of Class A and Class B common stock, an initiative that aligns with its strategy to enhance shareholder value. As part of the regulatory requirements, News Corp provides daily updates on the repurchase transactions to the Australian Securities Exchange, ensuring transparency in its capital management initiatives.
News Corp also reported a substantial 53% increase in free cash flow to $491 million in the third quarter of fiscal year 2024, primarily driven by growth in digital subscriptions and cost savings. The company's digital revenues now account for over half of its total revenue, indicating a successful shift towards a more digital-focused business model.
In line with this digital growth, News Corp has announced plans for further digital expansion, including The Times of London's venture into the US market.
InvestingPro Insights
As News Corp proceeds with its stock repurchase program, real-time data from InvestingPro provides a snapshot of the company's financial health and market performance. With a market capitalization of $16.35 billion, News Corp's Price-to-Earnings (P/E) ratio stands at 80.19, reflecting investor expectations for future earnings growth. However, when looking at the adjusted P/E ratio for the last twelve months as of Q3 2024, we see a more moderate figure of 50.14, which may indicate a more favorable earnings perspective compared to the current P/E ratio.
InvestingPro Tips suggest that News Corp's Price / Book ratio of 2.03 and a slight revenue decline of -1.77% in the last twelve months as of Q3 2024 could be of interest to value-oriented investors. Additionally, the company's Gross Profit Margin remains robust at 49.55%, suggesting efficient control over costs and the potential for profitability. With an EBITDA growth of 9.5% in the same period, News Corp shows signs of operational strength.
For investors considering capitalizing on this information, it's worth noting that there are even more InvestingPro Tips available, which can be accessed with a subscription. By using the coupon code PRONEWS24, readers can get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription. This offer could provide investors with deeper insights and additional data points to inform their investment decisions regarding News Corp.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.