7. Formula One Group (NYSE:FWONK)
Number of Hedge Fund Holders: 54
Revenue Growth Rate (year-over-year): 25.22%
Formula One Group’s (NYSE:FWONK) primary business is to generate revenue off of its exclusive commercial and promotional rights to the FIA Formula One World Championship series. The company is responsible for developing and marketing the Formula One race series in collaboration with its three partners: the racing teams, the Formula One Association (FIA), and the series’ sponsors, broadcasters, and race promoters. In January 2017, Liberty Media purchased the Formula One Group company. The Formula One Group and Liberty Media’s properties are tracked by the Formula One stock.
In Q3 of 2024, there was double-digit growth across all revenue streams, making it one of the Best Leisure Stocks. Overall, Formula One Group (NYSE:FWONK)’s revenue grew by 35.32% YoY. The current Formula One season is extremely competitive, with the constructors’ and drivers’ championships coming to an end, according to management’s fiscal third quarter figures for 2024. F1 has done well financially, as seen by its 15% increase in revenue. Two more races this season, new collaborations, and improvements to F1 TV and hospitality services are all responsible for the income growth.
Notably, with the goal of expanding their market presence and global sponsorships, management has inked new business contracts with firms like American Express and LVMH. The number of people attending the Formula One season has increased to 5.8 million in Brazil. Attendance at seven races broke previous records, while the number of social media followers rose by 38% annually.
Benchmark maintained its Buy recommendation on Liberty Formula One Group (NYSE:FWONK) shares and increased the price objective from $81 to $102. The analyst informs investors that the company’s updated 2025 price target takes into account the “enthusiastic global market for sports assets with new financial interest from private equity and sovereigns,” the elimination of a 10% complexity discount, and the simplification of Liberty’s overall structure, including ongoing spin activity for Liberty Live.
Warren Buffett’s Berkshire Hathaway was the largest stakeholder in the company among the funds in Insider Monkey’s database. It owns 7.72 million shares worth $597.95 million as of Q3.
