Media

Analysts Making Big Changes on Twenty-First Century Fox

Twenty-First Century Fox Inc.

Shares of Twenty-First Century Fox Inc. (NASDAQ: FOXA) closed 2016 at $26.59 per share. As of last Thursday’s close, the shares had added $0.86, a little more than 3.2%. Not bad, and way better than Walt Disney Co. (NYSE: DIS), which traded down nearly 5.8% at Thursday’s close. Only Comcast Corp. (NASDAQ: CMCSA) has performed better (up nearly 5%) than Fox since the beginning of the year.

In our last look at Warren Buffett’s portfolio at Berkshire Hathaway Inc. (NYSE: BRK-A), we noted that Buffett continued to hold 8.951 million shares of Fox at the end of 2015, up nearly 18% from his holdings at the end of 2014. Buffett did not add to his position in Fox during the fourth quarter however.

The company has had a surprisingly massive hit with its latest Marvel Comics-based movie, “Deadpool,” which had pulled in nearly $700 million worldwide in less than four weeks. It’s only the third-ever R-rated movie to earn more than $300 million in the United States, according to Box Office Mojo.


But all the recent news from analysts has been less enthusiastic. Overall ratings have not changed much, but price targets are being reduced. Here’s the latest scorecard:

  • CLSA cut its price target from $33 to $26.
  • Goldman Sachs lowered its price target from $33 to $31 with a Buy rating.
  • Jefferies cut its price target from $37 to $30 and holds a Buy rating on the shares.
  • Nomura cut its price target from $31 to $30 with a Buy rating.
  • Pacific Crest lowered its price target from $35 to $34 with an Overweight rating.
  • Pivotal cut its price target from $32 to $31 and holds a Buy rating on the stock.

Fox shares closed at $27.92 on Friday, up 1.7% for the day, in a 52-week range of $22.66 to $35.85. The consensus price target on the stock is $31.89, although recent changes may not be included yet. The high target is $39 and the low target, not including CLSA’s latest cut, is $27.

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