8-K: News Corp Continues $2 Billion Stock Buyback Program

News Corporation announced ongoing repurchases of its Class A and Class B common stock under its combined $2 billion stock buyback programs.

Summary

• News Corporation is continuing its stock repurchase programs for Class A (NWSA) and Class B (NWS) common stock.
• The company has two authorized programs: a 2021 Repurchase Program for up to US$1 billion (authorized September 21, 2021) and a 2025 Repurchase Program for an additional US$1 billion (authorized July 15, 2025), totaling US$2 billion in aggregate.
• Repurchases are conducted in the open market or otherwise, primarily for Nasdaq-listed shares, with no ASX-listed CDIs being repurchased.
• As of November 4, 2025, the company repurchased 70,004 Class A shares for US$1,821,728.09 and 30,471 Class B shares for US$906,664.61 on that day.
• Cumulatively, under the 2021 Repurchase Program, approximately US$856,767,167 worth of Class A and Class B shares have been purchased.
• The total number of Class A shares bought back before November 4, 2025, was 26,051,245 for US$566,241,518.
• The total number of Class B shares bought back before November 4, 2025, was 12,661,709 for US$287,797,257.
• The highest price paid for Class A shares was US$30.93 (on September 23, 2025) and the lowest was US$14.88 (on September 29, 2022).
• The highest price paid for Class B shares was US$35.41 (on July 15, 2025) and the lowest was US$15.17 (on September 29, 2022).

Sentiment

Score: 7

Explanation: The filing indicates a consistent execution of a significant share buyback program, which is generally positive for shareholder value. The authorization of an additional $1 billion in July 2025 further reinforces this positive sentiment. However, it is a routine update on an existing program rather than a new, unexpected positive development, hence not a perfect 10.

Positives

• The ongoing stock repurchase program aims to enhance shareholder value.
• The company has authorized a substantial US$2 billion for share repurchases, signaling confidence in its valuation and commitment to returning capital to shareholders.
• The company actively repurchased shares on November 4, 2025, demonstrating execution of the program.

Risks

• Forward-looking statements regarding the intent to repurchase stock are subject to uncertainty and changes in circumstances.
• Actual results may vary materially due to changes in the market price of the company's stock.
• General market conditions, applicable securities laws, and alternative investment opportunities could impact the program.
• Other risks, uncertainties, and factors described in the company's general SEC filings could affect the repurchase program.

Future Outlook

The company intends to repurchase Class A and Class B common stock from time to time, subject to market conditions, stock price, applicable securities laws, and alternative investment opportunities. The company does not undertake any obligation to publicly update these forward-looking statements, except as required by law or regulation.

Management Comments

• The Company intends to repurchase, from time to time, in the open market or otherwise, a combination of the Company's Class A common stock and Class B common stock.
• The buy-back is to enhance shareholder value.

Industry Context

The continuation of a significant share buyback program by a major media and information services company like News Corporation suggests a strategic focus on capital return to shareholders, potentially indicating a mature business with strong cash flow or a belief that its stock is undervalued. This trend is common among established companies seeking to optimize their capital structure and boost earnings per share, especially in an industry facing evolving digital landscapes and competitive pressures.

Comparison to Industry Standards

• News Corporation's US$2 billion aggregate share repurchase authorization is a substantial capital allocation strategy, comparable to similar programs seen in other large-cap media and information services companies such as The Walt Disney Company or Paramount Global, which also utilize buybacks to return value to shareholders and manage share count.
• The stated reason 'to enhance shareholder value' is a standard justification for such programs across industries, aligning with common corporate finance objectives.
• The use of Goldman Sachs & Co. LLC as a broker for the buyback is typical for large public companies executing significant repurchase programs, reflecting standard industry practice for market execution.

Stakeholder Impact

• Shareholders: Potential for enhanced shareholder value through reduced share count and increased earnings per share. Those holding shares may see increased demand for their stock.
• Employees, Customers, Suppliers, Creditors: No direct impact on these stakeholders is mentioned in this filing.

Next Steps

• Continue repurchasing Class A and Class B common stock from time to time under the authorized programs.
• Provide daily disclosure of transactions to the Australian Securities Exchange (ASX) if any repurchases occur.
• Disclose information concerning the Repurchase Programs in quarterly and annual reports.

Key Dates

Recommendation

The filing provides a routine update on an ongoing share buyback program, which is generally a positive signal for shareholder value. However, it does not introduce new fundamental information that would significantly alter the company's valuation or outlook beyond what is already known about its capital allocation strategy. The buyback is expected and part of the company's ongoing operations. Therefore, a 'hold' recommendation is appropriate as the news reinforces existing positive sentiment without providing a strong catalyst for a 'buy' or 'sell' decision based solely on this filing.

Keywords

News Corporation, Stock Repurchase, Share Buyback, NWSA, NWS, Capital Allocation, Shareholder Value, SEC Filing, 8-K, Nasdaq, ASX