8-K: News Corp Continues $1 Billion Stock Repurchase Program, Discloses Daily Buy-Back Activity to ASX

News Corporation discloses daily buy-back activity to the Australian Securities Exchange (ASX) as part of its ongoing $1 billion stock repurchase program.

Summary

• News Corporation is executing a stock repurchase program, authorized to buy back up to $1 billion of its Class A and Class B common stock.
• The company is providing daily disclosures to the ASX regarding transactions under this program.
• As of May 16, 2025, the company has repurchased a total of 21,850,953 Class A shares for $446,777,231.52 and 10,786,393 Class B shares for $227,058,304.93.
• The highest price paid for Class A shares was $30.69 on February 19, 2025, and the lowest price was $14.88 on September 29, 2022.
• The highest price paid for Class B shares was $35.25 on February 19, 2025, and the lowest price was $15.17 on September 29, 2022.
• The repurchases are conducted through Morgan Stanley & Co. LLC.
• The company has approximately $325,614,502.20 remaining available for future repurchases under the program.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive as the company is continuing its buyback program, which is generally viewed favorably by investors. However, the forward-looking statements are caveated with risks and uncertainties.

Positives

• The stock repurchase program aims to enhance shareholder value.
• The company has already repurchased a significant portion of its shares, demonstrating a commitment to returning capital to shareholders.
• The daily disclosures to the ASX provide transparency regarding the buy-back activity.

Risks

• The company's ability to continue the repurchase program is subject to market conditions, stock price, applicable securities laws, and alternative investment opportunities.
• Forward-looking statements regarding the repurchase program are subject to uncertainty and changes in circumstances, and actual results may vary materially.

Future Outlook

The company intends to repurchase shares from time to time, subject to market conditions, stock price, and other factors. The company does not undertake any obligation to publicly update any forward-looking statements.

Industry Context

Stock repurchase programs are a common method for companies to return capital to shareholders, especially when they believe their stock is undervalued. News Corporation's program aligns with this trend.

Comparison to Industry Standards

• Comparing News Corp's buyback program to similar media companies like Fox Corporation or Paramount Global, the size of the buyback is substantial, reflecting a strong capital position.
• Other companies like Alphabet and Meta also engage in large-scale buybacks, indicating a broader trend in the tech and media sectors to utilize excess cash for shareholder returns.
• The daily reporting to the ASX is more frequent than required by US regulations, demonstrating a commitment to transparency for its Australian investors.

Stakeholder Impact

• Shareholders may benefit from the increased stock price due to the buy-back program.
• The buy-back program reduces the number of outstanding shares, potentially increasing earnings per share.

Key Dates

Keywords

stock repurchase, share buyback, ASX, News Corporation, NWSA, NWS, Class A common stock, Class B common stock, Morgan Stanley, shareholder value