11 Best Communication and Media Stocks to Buy According to Analysts

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3. News Corporation (NASDAQ:NWSA)

Average Price Target Upside Potential According to Analysts: 41.84%

Number of Hedge Fund Holders: 46

News Corporation (NASDAQ:NWSA), or simply News Corp, is an American mass media and publishing company that ranks among the best communication and media stocks to buy according to analysts. The company’s portfolio of brands operates in various sectors including digital real estate, news media, book publishing, and cable television. Some of the News Corporation’s (NASDAQ:NWSA) key assets are Dow Jones & Company, which publishes The Wall Street Journal, News UK, which publishes The Sun and The Times, and HarperCollins, a book publisher. The company also operates digital real estate services and subscription video services in Australia.

The company is strategically focused on optimizing its portfolio and enhancing its core segments. In December 2024, News Corporation (NASDAQ:NWSA) announced an agreement to sell Foxtel for an enterprise value of A$3.4 billion. This move is part of a broader strategy to simplify the structure of the company and focus more on key growth areas such as Dow Jones, digital real estate services, and book publishing.

The company is also focused on a disciplined investment and management strategy to improve profitability. In the first quarter of its fiscal 2025, which ended on September 30, 2024, News Corporation (NASDAQ:NWSA) reported record first-quarter revenue and record first-quarter profitability. Revenue increased 3% year-over-year to reach $2.58 billion, while profitability surged 14% to $415 million. The profit margin increased from 14.6% a year ago to 16.1%, with recurring circulation and subscription revenues continuing to grow. The company has effectively reduced its reliance on the volatile advertising market. News Corporation (NASDAQ:NWSA) also reported that Dow Jones has managed to double its earnings since its re-segmentation 4 years ago.

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