Q3 Earnings Outperformers: News Corp (NASDAQ:NWSA) And The Rest Of The Media Stocks

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the media industry, including News Corp (NASDAQ:NWSA) and its peers.

The advent of the internet changed how shows, films, music, and overall information flow. As a result, many media companies now face secular headwinds as attention shifts online. Some have made concerted efforts to adapt by introducing digital subscriptions, podcasts, and streaming platforms. Time will tell if their strategies succeed and which companies will emerge as the long-term winners.

The 6 media stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 1.6%.

Luckily, media stocks have performed well with share prices up 12.1% on average since the latest earnings results.

News Corp (NASDAQ:NWSA)

Established in 2013 after a restructuring, News Corp (NASDAQ:NWSA) is a multinational conglomerate known for its news publishing, broadcasting, digital media, and book publishing.

News Corp reported revenues of $2.14 billion, up 2.3% year on year. This print exceeded analysts’ expectations by 2%. Overall, it was a strong quarter for the company with a beat of analysts’ EPS and adjusted operating income estimates.

Interestingly, the stock is up 7.2% since reporting and currently trades at $26.90.

Is now the time to buy News Corp? Access our full analysis of the earnings results here, it’s free.

Best Q3: Warner Music Group (NASDAQ:WMG)

Launching the careers of legendary artists like Frank Sinatra, Warner Music Group (NASDAQ:WMG) is a music company managing a diverse portfolio of artists, recordings, and music publishing services worldwide.

Warner Music Group reported revenues of $1.87 billion, up 14.6% year on year, outperforming analysts’ expectations by 10.8%. The business had an exceptional quarter with a beat of analysts’ EPS and revenue estimates.

Warner Music Group pulled off the biggest analyst estimates beat and fastest revenue growth among its peers. However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $30.37.

Is now the time to buy Warner Music Group? Access our full analysis of the earnings results here, it’s free.

Weakest Q3: Warner Bros. Discovery (NASDAQ:WBD)

Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ:WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production.

Warner Bros. Discovery reported revenues of $9.05 billion, down 6% year on year, falling short of analysts’ expectations by 1.9%. It was a mixed quarter as it posted an impressive beat of analysts’ adjusted operating income estimates but a miss of analysts’ Content revenue estimates.

Warner Bros. Discovery delivered the weakest performance against analyst estimates and slowest revenue growth in the group. Interestingly, the stock is up 24.3% since the results and currently trades at $28.29.

Read our full analysis of Warner Bros. Discovery’s results here.

The New York Times (NYSE:NYT)

Founded in 1851, The New York Times (NYSE:NYT) is an American media organization known for its influential newspaper and expansive digital journalism platforms.

The New York Times reported revenues of $700.8 million, up 9.5% year on year. This result beat analysts’ expectations by 1.2%. It was a strong quarter as it also put up a beat of analysts’ EPS estimates and a decent beat of analysts’ EBITDA estimates.

The stock is up 26.2% since reporting and currently trades at $72.86.

Read our full, actionable report on The New York Times here, it’s free.

Disney (NYSE:DIS)

Founded by brothers Walt and Roy, Disney (NYSE:DIS) is a multinational entertainment conglomerate, renowned for its theme parks, movies, television networks, and merchandise.

Disney reported revenues of $22.46 billion, flat year on year. This number came in 1.3% below analysts' expectations. More broadly, it was a satisfactory quarter as it also logged an impressive beat of analysts’ adjusted operating income estimates but a miss of analysts’ Entertainment revenue estimates.

The stock is down 4.6% since reporting and currently trades at $111.30.

Read our full, actionable report on Disney here, it’s free.

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