Fox Is The Winner In Biden, Trump Rematch: 'TV Stations Garner Bulk Of Political Ad Spending,' Analyst Says
Portfolio Pulse from Priya Nigam
Fox Corp (NASDAQ:FOXA) shares have risen over 8% in the past month, buoyed by the momentum of the U.S. presidential election campaigns. Seaport Research Partners suggests 2024 presidential election ad spending could set a new record. Analyst David Joyce of Seaport upgraded Fox's rating from Neutral to Buy, maintaining a $37 price target. Political ad spending is projected to reach $9 billion this year, potentially boosting Fox's ad revenue significantly in the coming quarters. The company's strong performance in sports broadcasting and a healthy balance sheet are also highlighted as positive factors.
April 05, 2024 | 3:46 pm
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Fox Corp's stock has gained traction due to the upcoming presidential election, with an analyst upgrade reflecting optimism about ad revenue growth from political campaigns.
The upgrade by Seaport Research Partners' analyst David Joyce from Neutral to Buy, along with a maintained price target of $37, reflects a strong conviction in Fox's potential to capitalize on the 2024 presidential election ad spending. The projection of political ad spending reaching $9 billion this year, with significant growth expected in the coming quarters, directly impacts Fox's revenue prospects, especially given its strong presence in sports broadcasting and a healthy balance sheet. These factors contribute to a positive outlook for FOXA's stock in the short term.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100