8-K: News Corp Continues Share Buyback Programs

News Corporation announced daily updates on its ongoing Class A and Class B common stock repurchase programs, totaling up to $2 billion.

Summary

• News Corporation is conducting daily share buy-backs for its Nasdaq-listed Class A and Class B common stock.
• The company has two active repurchase programs: a 2021 program authorized for up to $1 billion, and a 2025 program authorized for an additional $1 billion.
• On January 12, 2026, the company repurchased 70,004 Class A shares for a total consideration of $1,855,127.00, with prices ranging from $26.36 to $26.66.
• On the same day, 30,471 Class B shares were repurchased for $926,330.59, with prices ranging from $30.15 to $30.56.
• To date, approximately $983,567,675 worth of Class A and Class B shares have been purchased under the 2021 Repurchase Program.
• This leaves approximately $16,432,325 remaining under the 2021 program and the full $1 billion available under the 2025 program.
• The primary reason for these buy-backs is to enhance shareholder value.

Sentiment

Score: 7

Explanation: The filing indicates a positive sentiment due to the ongoing commitment to shareholder value through share repurchases, with significant remaining authorization. It's a routine update on an existing program, so not overwhelmingly positive, but consistently positive for shareholders.

Positives

• Ongoing share repurchase programs demonstrate management's commitment to returning capital to shareholders.
• The buy-back aims to enhance shareholder value by reducing the number of outstanding shares.
• Significant remaining authorization under the 2025 Repurchase Program ($1 billion) provides future flexibility for capital allocation.

Risks

• Actual results of the repurchase program may vary materially due to changes in the market price of the Company's stock.
• General market conditions could impact the effectiveness and execution of the buy-back.
• Applicable securities laws and alternative investment opportunities may influence the Company's ability or decision to repurchase shares.

Future Outlook

The Company intends to repurchase, from time to time, its Class A common stock and Class B common stock, subject to market conditions, stock price, and other factors. This intention is based on management's current expectations and beliefs.

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 reason for the buy-back is to enhance shareholder value.

Industry Context

Share repurchase programs are a common corporate finance strategy employed by mature companies to return capital to shareholders, signal confidence in the company's valuation, and potentially boost earnings per share. News Corporation's ongoing programs align with this trend, indicating a focus on shareholder returns amidst its media and information services operations.

Stakeholder Impact

• Shareholders: Potential for increased share price due to reduced share count and enhanced shareholder value.
• Investors: Provides transparency on capital allocation strategies and ongoing commitment to returning capital.

Next Steps

• Continue daily disclosure of transactions under the Repurchase Programs to the Australian Securities Exchange (ASX).
• Disclose information concerning the Repurchase Programs in the Company's quarterly and annual reports.
• Continue repurchasing Class A and Class B common stock from time to time, subject to market conditions.

Key Dates

Recommendation

The filing is a routine daily update on an existing share repurchase program. While share buybacks are generally positive for shareholder value, this specific announcement does not introduce new information that would fundamentally alter the investment thesis or warrant a change in recommendation. The company continues to execute its previously announced capital allocation strategy.

Keywords

News Corporation, share buyback, stock repurchase, capital allocation, shareholder value, Class A common stock, Class B common stock, Nasdaq