Research Alert: CFRA Keeps Strong Buy Opinion On Shares Of News Corporation
12:20 AM EDT, 05/11/2021 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
We keep our 12-month target of $32 (2.9% yield) on premium FY 22 (Jun.) EV/EBITDA of 14.2x vs. peers. We keep FY 21 and FY 22 EPS estimates of $0.59 and $0.73. In furtherance of its digital transformation, we believe the company has recently made some major strides in its multi-year campaign for "equitable and substantial compensation" from Big Tech platforms pertaining to its premium text, audio, and video content. This follows what we view as seminal pacts with Google, Facebook, and Apple across multiple global markets, cultivating incremental subscription, advertising, and other revenue streams that should ramp up in the years ahead. Meanwhile, the company has been strategically realigning its asset portfolio through targeted M&A activity, having completed and/or unveiled three acquisitions in past few months alone (namely HMH Books & Media, Investor's Business Daily, and Mortgage Choice), with last month's inaugural $1 billion bond offering seen likely to extend the runway for more potential deals.