FuboTV Inc (FUBO, Financial) has experienced a notable fluctuation in its stock price over recent periods. With a current market capitalization of approximately $1.1 billion and a stock price of $3.77, investors have witnessed a 4.62% gain over the past week. However, the past three months have painted a different picture, with a significant 36.55% loss in value. According to GuruFocus's GF Value, the stock is currently considered fairly valued at $3.89, a stark contrast to the past GF Value of $10.53, which suggested a possible value trap and advised investors to think twice before investing.
Introduction to FuboTV Inc
FuboTV Inc operates within the diversified media industry, positioning itself as a sports-first live TV streaming platform. The company offers a broad spectrum of content, including tens of thousands of live sporting events annually, as well as news and entertainment. FuboTV's service is accessible on various devices, including SmartTVs, mobile phones, tablets, and computers, with additional features and content available for purchase. The company's streaming segment operates across the U.S. and internationally, aiming to cater to a wide range of customer preferences.
Examining FuboTV's Profitability
When it comes to profitability, FuboTV Inc's Profitability Rank stands at a low 1/10. The company's operating margin is currently at -24.36%, which, despite being unfavorable, is better than 17.79% of 1,034 companies in the same industry. The Return on Equity (ROE) is deeply negative at -87.93%, yet it still outperforms 4.79% of 982 companies. Similarly, the Return on Assets (ROA) and Return on Invested Capital (ROIC) are at -29.29% and -32.70% respectively, surpassing a small fraction of their industry peers. FuboTV has managed to achieve profitability in only one of the past ten years, which is better than 7.71% of 973 companies.
Growth Trajectory of FuboTV
The growth aspect of FuboTV Inc is a mix of impressive and concerning figures. The company's 3-Year Revenue Growth Rate per Share is an outstanding 206.50%, which is higher than 99.48% of 957 companies in the same industry. The estimated future total revenue growth rate for the next 3 to 5 years is 23.82%, surpassing 97.79% of 136 companies. However, the 3-Year EPS without NRI Growth Rate is at -27.40%, which is still better than 18.55% of 717 companies, and the 5-Year EPS without NRI Growth Rate is at 7.30%, outperforming 57.36% of 387 companies.
Notable Shareholders in FuboTV
Among the notable shareholders of FuboTV Inc, Jim Simons (Trades, Portfolio) leads with 1,090,351 shares, representing a 0.37% stake in the company. Following him is Paul Tudor Jones (Trades, Portfolio), holding 526,236 shares, which equates to a 0.18% share percentage. Jefferies Group (Trades, Portfolio) holds a smaller stake with 35,154 shares, amounting to 0.01% of the company's shares.
Competitive Landscape
In comparison to its competitors, FuboTV Inc stands with a higher market capitalization of $1.1 billion. Its closest competitors include Gray Television Inc (GTN.A, Financial) with a market cap of $800.505 million, The E W Scripps Co (SSP, Financial) at $739.582 million, and iHeartMedia Inc (IHRT, Financial) with a market cap of $370.023 million. This places FuboTV as a significant player within the media-diversified industry in terms of market size.
Conclusion
In summary, FuboTV Inc's recent stock performance has been a mixed bag, with short-term gains overshadowed by a substantial loss over the past three months. The company's valuation has adjusted from being a possible value trap to being fairly valued according to the GF Value. While profitability remains a challenge, the company's revenue growth rates are commendable. Notable shareholders maintain their stakes, and compared to its competitors, FuboTV holds a larger market share. Investors should weigh these factors carefully when considering FuboTV as a potential addition to their portfolios.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
