New York-based News Corporation (NWS) is a media and information services company that creates and distributes authoritative and engaging content, and other products and services for consumers and businesses. Valued at a market cap. of $14.5 billion, the company operates through Digital Real Estate Services, Dow Jones, Book Publishing, News Media, and Other segments.
Shares of NWS have lagged behind the broader market over the past 52 weeks. NWS stock has declined 19.4% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 12.6%. Moreover, shares of the company are down 10.4% on a YTD basis, compared to SPX’s marginal gain.
Narrowing the focus, NWS stock has also underperformed the State Street Communication Services Select Sector SPDR ETF’s (XLC) 11.7% rise over the past 52 weeks.
Shares of News Corporation fell 6.4% following its Q2 2026 results on Feb. 5. Net income from continuing operations dropped 21% to $242 million and reported EPS fell to $0.34 from $0.40, largely reflecting the absence of an $87 million gain from REA Group’s sale of PropertyGuru that boosted results last year, along with a $16 million one-time inventory write-off at HarperCollins’ international operations.
For the fiscal year ending in December 2026, analysts expect NWS’ EPS to grow 9% year-over-year to $0.97. The company’s earnings surprise history is mixed. It surpassed the consensus estimate in three of the last four quarters while missing on another occasion.
Among the three analysts covering NWS stock, the consensus is a “Strong Buy.”
On Feb. 9, Citigroup analyst Jason Bazinet maintained a “Buy” rating on News Corp and lowered its price target from $40 to $39.
The mean price target of $39 indicates a 48.9% premium to NWS’ current price levels. Its Street-high target of $40 suggests a 52.7% potential upside.
