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Fox (FOXA) News Digital Rides on Multiplatform Views in August

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FOX Corporation (FOXA - Free Report) -owned Fox News Digital maintained its strong presence and growth in the digital news and media landscape in August 2023, according to data from Comscore, Emplifi and Shareablee.

FOX News Digital received 1.8 billion total multiplatform views in August, showing a 20% increase from August 2022 and a 6% rise from July 2023. FOX News Digital achieved 3.2 billion total multiplatform minutes in August, marking a 10% increase from August 2022 and a 6% rise from July 2023.

It had 92 million multiplatform unique visitors in August, representing growth of 19% from August 2022 and an 11% increase from July 2023.

FOX News Digital was the top news brand with an average of 3.1 views per visit. The FOX News Mobile App attracted six million unique visitors in August.

In a comparison with CNN.com and NYTimes.com, FOX News Digital outperformed in total views, total minutes and unique visitors for August 2023.

FOX News was the most engaged news brand on social media in August, with 24 million social interactions. This marked the 108th consecutive month that FOX News held this position. The interactions were distributed across Meta Platforms (META - Free Report) -owned Facebook (6.3 million), Instagram (15.2 million) and Twitter (2.6 million).

FOX News achieved 158.2 million video views on Alphabet (GOOGL - Free Report) -owned YouTube in August, experiencing 4% month-over-month growth.

Fox Corporation Price and Consensus

 

Fox Corporation Price and Consensus

Fox Corporation price-consensus-chart | Fox Corporation Quote

Fox's Business Network Outpaces Competitor Once Again

FOXBusiness.com outperformed Warner Bros. Discovery (WBD - Free Report) -owned CNN Business and Bloomberg.com for the 17th and 28th consecutive months, respectively, in terms of multiplatform views.

FOX Business recorded 175 million multiplatform views, delivered 302 million multiplatform minutes and had 20.9 million multiplatform unique visitors.

This business network remained the most viewed among the business news competitive set on YouTube for the 21st straight month, garnering a record of 83 million views in August, with 41% year-over-year growth.

Fox Sees a Slow Down in Growth Due to Cord-Cutting

Cord-cutting due to the shift in consumer viewing pattern toward subscription-based video-on-demand services does not bode well for Fox, which is predominantly a linear television content provider.

Shares of this Zacks Rank #3 (Hold) company have gained 4.7% in the year-to-date period compared with the Zacks Consumer Discretionary sector’s rise of 8%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Per Techjury, 55.1% of the U.S. consumers have cut the cord by 2022 and are accessing TV content through the Internet. This is a prolonged threat to the company as cord-cutting rates are expected to increase in the future. Reports of Techjury also anticipate that cable and satellite TV penetration will fall by 26% by 2030.

What further escalates the threat for FOXA is declining ad revenue growth as advertisers are contending with rising costs amid record inflation, which has led to cutbacks in spending on advertising.

The Zacks Consensus Estimate for advertising revenues is pegged at $1.22 billion. In the last reported quarter, advertising revenues (33.2% of revenues) declined 4.5% year over year to $1 billion as continued growth at Tubi was more than offset by comparably lower political advertising revenues at the FOX Television Stations and the impact of elevated supply in the direct response marketplace at FOX News Media.

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