FOX (NASDAQ:FOXA) Shares Gap Down - Here's What Happened

Key Points

• FOX Corporation (NASDAQ:FOXA) shares opened at $59.65, down from a previous close of $62.48, with a trading volume of over 2.2 million shares.
• The company saw a significant increase in its quarterly earnings, posting $1.27 earnings per share, which beat estimates by $0.26 and represented a year-over-year revenue growth of 6.3%.
• FOX announced a dividend increase, with a new rate of $0.28 per share set to be paid on September 24th, which marks a rise from the previous $0.18 dividend.

Fox Corporation (NASDAQ:FOXA - Get Free Report) shares gapped down before the market opened on Tuesday . The stock had previously closed at $62.48, but opened at $59.65. FOX shares last traded at $58.74, with a volume of 2,214,884 shares trading hands.

Analyst Upgrades and Downgrades

Several research analysts have commented on the stock. Bank of America boosted their price objective on shares of FOX from $60.00 to $65.00 and gave the company a "buy" rating in a research report on Wednesday, June 25th. Wolfe Research upgraded shares of FOX from an "underperform" rating to a "peer perform" rating in a research report on Wednesday, July 9th. Loop Capital boosted their price objective on shares of FOX from $62.00 to $64.00 and gave the company a "buy" rating in a research report on Tuesday, May 13th. Guggenheim restated a "buy" rating and set a $62.00 price objective (up from $60.00) on shares of FOX in a research report on Wednesday, June 25th. Finally, Cfra Research upgraded shares of FOX from a "hold" rating to a "moderate buy" rating in a research report on Tuesday, August 5th. Nine analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average price target of $56.47.

FOX Stock Down 5.8%

The company has a market capitalization of $26.21 billion, a price-to-earnings ratio of 11.99, a P/E/G ratio of 1.47 and a beta of 0.52. The firm's fifty day moving average price is $57.17 and its 200-day moving average price is $54.60. The company has a debt-to-equity ratio of 0.55, a current ratio of 2.91 and a quick ratio of 2.76.

FOX (NASDAQ:FOXA - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The company reported $1.27 earnings per share for the quarter, beating analysts' consensus estimates of $1.01 by $0.26. The business had revenue of $3.29 billion during the quarter, compared to the consensus estimate of $3.12 billion. FOX had a return on equity of 18.86% and a net margin of 13.88%.FOX's quarterly revenue was up 6.3% on a year-over-year basis. During the same period in the prior year, the business posted $0.90 earnings per share. Sell-side analysts expect that Fox Corporation will post 4.38 earnings per share for the current fiscal year.

FOX Increases Dividend

The business also recently declared a dividend, which will be paid on Wednesday, September 24th. Shareholders of record on Wednesday, September 3rd will be paid a dividend of $0.28 per share. This is an increase from FOX's previous dividend of $0.18. The ex-dividend date is Wednesday, September 3rd. This represents a yield of 93.0%. FOX's dividend payout ratio (DPR) is presently 11.41%.

Hedge Funds Weigh In On FOX

Several hedge funds have recently modified their holdings of FOXA. Assetmark Inc. lifted its position in shares of FOX by 752.1% during the 1st quarter. Assetmark Inc. now owns 1,951,657 shares of the company's stock worth $110,464,000 after buying an additional 1,722,616 shares in the last quarter. Federated Hermes Inc. lifted its position in shares of FOX by 164,675.7% during the 1st quarter. Federated Hermes Inc. now owns 1,255,591 shares of the company's stock worth $71,066,000 after buying an additional 1,254,829 shares in the last quarter. Nuveen LLC bought a new position in shares of FOX during the 1st quarter worth approximately $63,125,000. Junto Capital Management LP bought a new position in shares of FOX during the 1st quarter worth approximately $53,681,000. Finally, Ameriprise Financial Inc. lifted its position in shares of FOX by 537.0% during the 1st quarter. Ameriprise Financial Inc. now owns 1,058,639 shares of the company's stock worth $59,909,000 after buying an additional 892,437 shares in the last quarter. Institutional investors own 52.52% of the company's stock.

FOX Company Profile

Fox Corporation operates as a news, sports, and entertainment company in the United States (U.S.). The company operates through four segments: Cable Network Programming, Television, Credible, and The FOX Studio Lot. The Cable Network Programming segment produces and licenses news and sports content for distribution through traditional cable television systems, direct broadcast satellite operators and telecommunication companies, virtual multi-channel video programming distributors, and other digital platforms primarily in the U.S.

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