News Corporation Stock: Is NWSA Underperforming the Communication Service Sector?

With a market cap of around $16 billion, New York-based News Corporation (NWSA) is a global, diversified media and information services company, specializing in creating and distributing engaging content, products, and services for consumers and businesses worldwide. It owns leading platforms such as The Wall Street Journal, realestate.com.au, and Foxtel, catering to industries ranging from news and entertainment to property and financial services. 

Companies valued at $10 billion or more are generally classified as “large-cap” stocks, and News Corporation fits this criterion perfectly. News Corporation leverages its vast portfolio to deliver authoritative content and innovative solutions across various media channels.

Despite this, the publishing company experienced a 6.7% decline from its 52-week high of $30.03. The stock has gained 5.2% over the past three months, lagging behind the Communication Services Select Sector SPDR ETF Fund (XLC), which rose 10.8% during the same period.

In the longer term, NWSA’s shares have risen 2.1% over the past six months, lagging behind XLC’s 16.3% surge. Over the past 52 weeks, News Corporation has risen 18.1%, contrasting with XLC’s 36.2% return over the same period.

Yet, News Corporation’s stock has demonstrated a bullish price trend, consistently trading above its 200-day moving average since last year and staying mostly above its 50-day moving average, despite some fluctuations.

Shares of News Corporation rose marginally on Nov. 7 following its Q3 2025 earnings report that exceeded expectations. The company reported earnings of $0.21per share, beating the consensus estimate and growing 31.25% year-over-year, driven by strong performance in Digital Real Estate Services and Dow Jones segments. Revenues of $2.6 billion also topped estimates, with 3.1% year-over-year growth supported by contributions from REA Group, Dow Jones professional information services, and increased digital book sales. Investors reacted positively to the 14% rise in EBITDA and the company’s resilience despite challenges in certain segments like News Media and Subscription Video Services.

In comparison, rival Paramount Global (PARA) has lagged behind NWSA, gaining 1.1% over the past six months and a decline of 30.6% over the past 52 weeks.

Despite NWSA’s underperformance over the past year, analysts are bullish about the stock’s prospects. The stock has a consensus rating of “Strong Buy” from the six analysts covering it, and it is currently trading below the mean price target of $38.20.  

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. More news from Barchart

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