.August 16, 2024 06:43 PM

Fox Corporation (NASDAQ:FOXA) saw a 1% increase in shares after Wells Fargo upgraded the stock to Overweight, highlighting the potential in the sports streaming market, particularly through its Venu platform. Analysts believe Fox is well-positioned to capitalize on sports streaming opportunities, making it a key player in this growing sector.

Wells Fargo’s analysis indicates that sports streaming could contribute high single-digit to low double-digit percentages to Fox’s EBITDA estimates. The integration of Venu with ESPN’s direct-to-consumer service is expected to further drive Fox’s success in the future.

Revised fiscal 2025 EBITDA estimates for Fox have been increased by 10% to $3.3 billion, surpassing the consensus by 7%. Analysts predict that the Super Bowl alone could generate $75 million in EBITDA for the company. Additionally, the 2026 EBITDA estimate has been raised by 12% to $3 billion, exceeding market expectations by 5%.