News Corporation (Class A)

ticker: NWSA step: 01 generated: 2026-05-13 source: quick-research

News Corporation Class A (NWSA) — Business Overview

Note on Share Classes

NWSA (Class A) and NWS (Class B) are both S&P 500 constituents representing the same underlying company — News Corporation. The only difference is voting rights: NWSA holders have one vote per share; NWS holders have no voting rights. Both classes trade on NASDAQ. NWSA typically trades at a small premium to NWS due to voting rights.

See /Users/guy/Desktop/Stocks/NWS/Step_01_Overview.md for the full business overview.

Business Description

News Corporation is a global media and information services company controlled by the Murdoch family, operating across five segments: Dow Jones (Wall Street Journal, Barron's, Factiva, Dow Jones Risk & Compliance), Digital Real Estate Services (REA Group ~61% owned, Realtor.com/Move), Book Publishing (HarperCollins), News Media (New York Post, The Times/Sun UK, Sky News Australia), and Other. The company sold its 65% stake in Foxtel (Australian pay-TV) to DAZN in April 2025.

Key Facts

• Exchange: NASDAQ
• Share Class: Class A (1 vote per share)
• Corresponding non-voting class: NWS (Class B)
• Sector / Industry: Communication Services / Publishing
• Market Cap (combined NWSA+NWS): ~$14B
• Murdoch Family Trust controls majority of voting rights via NWSA

ticker: NWSA step: 04 generated: 2026-05-13 source: quick-research

News Corporation Class A (NWSA) — Financial Snapshot

Note on Share Classes

NWSA (Class A) and NWS (Class B) represent the same company. Financials are identical; the only distinction is voting rights. See /Users/guy/Desktop/Stocks/NWS/Step_04_Financial_Snapshot.md for the full financial snapshot.

Summary (same as NWS)

FY2025: Record profits; 11 consecutive quarters of EBITDA growth; FY2026E adj. EPS ~$0.97 (+9%)

Key Ratios

• P/E: ~27x (FY2025 adj.) | EV/EBITDA: ~10x
• Digital revenue: 62% of total (FY2025) vs. 32% (FY2018)
• Dow Jones digital subs: 5.9M (+10% YoY); total 6.4M (+8%)
• AI licensing: OpenAI ~$250M/5yr + Meta ~$50M/yr
• Analyst avg. price target: ~$35.57 (Strong Buy, 9 analysts; ~48% upside from ~$24)

ticker: NWSA step: 12 generated: 2026-05-13 source: quick-research

News Corporation Class A (NWSA) — Investment Catalysts & Risks

Note on Share Classes

NWSA (Class A) and NWS (Class B) represent the same underlying company. Investment thesis is identical. See /Users/guy/Desktop/Stocks/NWS/Step_12_Catalysts.md for the full catalysts and risks analysis.

Summary of Key Thesis Points

Bull Case:

1. AI content licensing (OpenAI $250M+/5yr, Meta ~$50M/yr; additional deals in negotiation) — premium journalism as critical AI training data
2. Digital transformation complete: 62% digital revenue, 11 consecutive EBITDA growth quarters, WSJ digital subs 5.9M (+10%)
3. REA Group (dominant Australian property listings) + Realtor.com growing 17% in Digital Real Estate

Bear Case:

1. AI traffic cannibalization — zero-click AI answers could erode advertising and subscription traffic
2. Real estate market cyclicality — US housing freeze and Australian rate sensitivity impair Digital Real Estate
3. Dual-class governance — NWS/NWSA split with Murdoch family control; succession uncertainty

NWSA-Specific Note

NWSA carries voting rights (1 vote/share) vs. NWS (no vote). NWSA typically trades at a small premium to NWS. The Murdoch Family Trust controls sufficient NWSA shares to maintain effective control of the company regardless of institutional voting. This voting structure is the primary reason both classes trade at a 48% discount to analyst sum-of-parts valuations ($35.57 target vs. ~$24 stock).

Research Date

Generated: 2026-05-13