News Corp continues $1 billion stock buyback program

News Corporation (NASDAQ:NWSA), a global diversified media and information services company with a market capitalization of $16.8 billion, has reaffirmed its commitment to its stock repurchase program, which authorizes the buyback of up to $1 billion of its Class A and Class B common stock.

Trading at $28.44, the stock has delivered a 15.8% return over the past year. The company confirmed on Monday that it is proceeding with the program, adhering to the Australian Securities Exchange (ASX) disclosure requirements.According to InvestingPro analysis, News Corp maintains a "Good" financial health score, suggesting strong fundamentals to support its buyback initiative.

The repurchase plan, part of the company's capital allocation strategy, is designed to return value to shareholders through the acquisition of outstanding shares. News Corp has been providing daily updates to the ASX on any buyback transactions, as well as detailing the repurchase program in its quarterly and annual reports.

The company's latest filing with the U.S. Securities and Exchange Commission (SEC) included exhibits that were also furnished to the ASX, containing forward-looking statements regarding the intention to repurchase shares from time to time.

With EBITDA of $1.27 billion in the last twelve months, the actual outcomes of these repurchases could vary due to several factors, such as stock market price fluctuations, general market conditions, and changes in securities laws or alternative investment opportunities.

This announcement follows News Corp's ongoing practice of enhancing shareholder value and is consistent with the company's financial strategy. The repurchase program is subject to market conditions and other factors, as detailed in the company's SEC filings.

The company's stock is traded on the Nasdaq Global Select Market under the ticker symbols NWSA for Class A shares and NWS for Class B shares. News Corp's decision to continue with the stock repurchase program is based on its financial policies and market opportunities. Based on InvestingPro's Fair Value analysis, the stock appears to be trading above its intrinsic value, with analyst price targets ranging from $24.14 to $43.00 per share. For detailed valuation metrics and additional insights, investors can access the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

The information provided in this article is based on a press release statement filed with the SEC.

In other recent news, News Corp continues its $1 billion stock repurchase program, a significant strategy to enhance shareholder value. The company's repurchase activities are reported daily to the Australian Securities Exchange (ASX) in compliance with its rules.

Guggenheim analysts have increased the stock price target for News Corp shares to $43.00, up from the previous $40.00, while maintaining a Buy rating on the stock. This adjustment follows News Corp's recent agreement with DAZN concerning its Foxtel subsidiary, a move viewed favorably by analysts.

Citi and Loop Capital have both issued a Buy rating for News Corp, with Citi setting a price target of $36.00 and Loop Capital adjusting its price target to $41 from $44. The company's recent financial performance indicated a 3% year-over-year increase in revenue to $2.58 billion and a 14% improvement in profitability to $415 million.

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