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NWSA’s $1B Buyback: Diamond Hands or Lipstick on a Pig? The SEC Filing Tells All.

by Jeff D 2 weeks ago2 weeks ago

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News Corp Doubles Down on Buybacks: $676 Million Spent and Counting

News Corporation’s latest 8-K filing, dated May 21, 2025, reveals a flurry of activity related to its ongoing stock repurchase program. Let’s dive into the key documents and decipher what this means for investors.

The initial 8-K form (filed on May 16th but part of this larger May 21st event) lays the groundwork, reminding us of the $1 billion buyback authorization. News Corporation (the “Company”) is authorized to acquire from time to time up to $1 billion in the aggregate of the Company’s outstanding shares of Class A common stock and Class B common stock. Subsequent documents, specifically the Appendix 3C exhibits, provide the nitty-gritty details of the buybacks executed over several days. ✅

For instance, the EX-99.1 from May 16th details the purchase of over 10.7 million shares, costing News Corp over $227 million – just on that day! And the buybacks continued daily. ✅

The filings from May 19th (8-K, EX-99.1, EX-99.2) show the steady drumbeat of repurchases continuing, with another $348,100.92 spent on Class A shares. The total spent under the buyback program as of May 19th had reached approximately $674.9 million. ✅

News Corp has been aggressively repurchasing its own shares, spending nearly two-thirds of its $1 billion authorization in a relatively short period.

Fast forward to the final filings in this batch, dated May 21st (8-K, EX-99.1, EX-99.2), and we see the program continuing at pace. By May 21st, the total amount spent had climbed to approximately $676 million. ✅

These filings confirm News Corp’s commitment to returning capital to shareholders through buybacks, a trend that has been consistently evident in recent filings.

The Analyst’s Crystal Ball: NEWS CORPORATION (NWSA) – What Now? (Updated May 22, 2025) 🔮

Sentiment Score from latest documents (this batch only): 78/100 (raw avg: 0.56)

Implication of Current Filings: Positive Momentum Building

Overall Outlook & Forecast

This consistent execution of the buyback program suggests a positive outlook for the short to medium term (next 6-12 months). The continued investment in its own stock signals confidence from News Corp’s management and could potentially boost share value.

What Would Make Us Yell “To The Moon!” (Go Long) 🚀

An acceleration of the buyback program, indicating even stronger confidence in the company’s prospects.
Positive news regarding the company’s core businesses, demonstrating growth and profitability that further justifies the buybacks.
Analyst upgrades and positive market sentiment reflecting increased confidence in News Corp’s strategy.

When We’d Hit The Eject Button (Go Short) 📉

A sudden halt or significant slowdown in the buyback program without a clear explanation, which could signal concerns about the company’s financial health or future prospects.
Negative news impacting the company’s core businesses, suggesting that the funds used for buybacks might be better allocated elsewhere.
A significant drop in the stock price despite the buybacks, indicating potential market skepticism about the company’s long-term value.

The Mic Drop: So, What’s the Deal with NEWS CORPORATION’s Latest Paper Trail?

News Corp is putting its money where its mouth is with these continued buybacks. The filings reinforce the company’s commitment to returning capital to shareholders. While this is a positive signal, it’s important to remember this isn’t financial advice. Do your own research before making any investment decisions.