Fox Corporation (FOXA): A Bull Case Theory

We came crossed a bullish thesis connected Fox Corporation connected Accrued Interest’s Substack by Simeon McMillan. In this article, we volition summarize the bulls’ thesis connected FOXA. Fox Corporation's stock was trading astatine $65.50 arsenic of November 28th. FOXA’s trailing and guardant P/E were 14.72 and 14.79  respectively according to Yahoo Finance.

Fox Corporation operates arsenic a news, sports, and amusement institution successful the United States. Tubi continues to basal retired arsenic 1 of the astir underestimated platforms successful the streaming landscape, adjacent arsenic contention intensifies crossed bequest and integer players. Despite being a escaped ad-supported work successful a marketplace agelong dominated by subscription platforms, Tubi has steadily expanded its footprint, reaching a 2.2% stock of full TV viewing successful October, which positions it arsenic the sixth-largest streaming work successful the U.S. This puts Tubi up of much established media brands specified arsenic NBC’s Peacock, which holds a 1.6% share, and Warner Bros.

Discovery’s offerings astatine 1.3%. Notably, Tubi is fundamentally neck-and-neck with Paramount Global’s combined Paramount+ and Pluto TV footprint, which unneurotic correspond 2.1% share, yet Tubi achieves comparable standard connected the spot of a azygous level alternatively than a bundled ecosystem. This increasing viewership underscores its effectiveness successful capturing cord-cutters, value-conscious audiences, and younger demographics gravitating toward free, on-demand content. Investor assurance has followed, peculiarly arsenic Fox Corporation’s banal present trades astatine caller all-time highs, reflecting optimism that Tubi volition modulation from a high-growth plus to a meaningful contributor to profitability.

With expectations gathering that Tubi tin statesman adding incremental profits successful 2026 and 2027, its trajectory has go cardinal to the broader Fox narrative. The platform’s quality to compound engagement, grow advertizing inventory, and leverage Fox’s contented pipeline gives it a way to standard faster than accepted competitors. As marketplace stock gains construe into monetization tailwinds, Tubi is progressively viewed arsenic a strategical maturation motor susceptible of reshaping Fox’s semipermanent valuation profile.

Previously we covered a bullish thesis connected Nexstar Media Group, Inc. by Value Don’t Lie successful April 2025, which highlighted its beardown FCF generation, disciplined superior allocation, and imaginable regulatory upside. The company's banal terms has appreciated astir by 7.48% since our coverage. This is due to the fact that the thesis mostly played retired amid unchangeable currency flows. The thesis inactive stands arsenic Nexstar remains well-positioned. Simeon McMillan shares a akin presumption but emphasizes Fox’s Tubi-driven streaming momentum.