8-K: News Corporation Advances $1 Billion Stock Repurchase Program, Details Latest Buy-Back Activity

News Corporation provided an update on its ongoing $1 billion stock repurchase program, detailing recent buy-back activities for both Class A and Class B common stock.

Summary

• News Corporation has an authorized stock repurchase program for up to an aggregate of US$1 billion of its Nasdaq-listed Class A common stock and Class B common stock.
• The primary reason for the buy-back program is to enhance shareholder value.
• As of June 25, 2025, the company has purchased approximately US$688,973,660.80 worth of Class A and Class B shares under the program.
• On June 25, 2025, the company bought back 11,527 Class A shares for a total consideration of US$338,498.42, with prices ranging from US$29.13 to US$29.50.
• On June 25, 2025, the company bought back 5,773 Class B shares for a total consideration of US$194,701.35, with prices ranging from US$33.51 to US$33.84.
• Prior to June 25, 2025, a total of 22,181,042 Class A shares were bought back for US$456,035,415.65.
• Prior to June 25, 2025, a total of 10,951,704 Class B shares were bought back for US$232,405,045.38.
• The highest price paid for Class A shares to date was US$30.69 on February 19, 2025, and the lowest was US$14.88 on September 29, 2022.
• The highest price paid for Class B shares to date was US$35.25 on February 19, 2025, and the lowest was US$15.17 on September 29, 2022.
• The remaining amount authorized for repurchase under the program is approximately US$311,026,339.20.

Sentiment

Score: 7

Explanation: The document provides a positive update on an ongoing stock repurchase program, indicating consistent execution of a strategy aimed at enhancing shareholder value. There are no negative surprises or new risks disclosed beyond general market conditions.

Positives

• The ongoing stock repurchase program demonstrates a commitment to returning capital and enhancing value for shareholders.
• Repurchasing shares can lead to a reduction in the number of outstanding shares, potentially increasing earnings per share and improving valuation metrics.

Risks

• Actual results of the repurchase program may vary materially from expectations due to changes in the market price of the Company's stock.
• General market conditions can impact the execution and effectiveness of the repurchase program.
• Applicable securities laws and alternative investment opportunities may influence the company's ability or decision to continue repurchases.
• Other risks, uncertainties, and factors described in the Company's general filings with the Securities and Exchange Commission could affect the program.

Future Outlook

The company intends to repurchase Class A and Class B common stock from time to time in the open market or otherwise. These repurchases are subject to market conditions, the market price of the company's stock, and other factors. The company does not undertake any obligation to publicly update any forward-looking statements to reflect subsequent events or circumstances, except as required by law or regulation.

Management Comments

• Statements regarding the company's intent to repurchase stock are based on management's current expectations and beliefs and are subject to uncertainty and changes in circumstances.

Industry Context

This filing is a routine update on a stock repurchase program, a common capital allocation strategy employed by publicly traded companies across various industries, including media and publishing, to return value to shareholders and manage share count. It reflects an ongoing commitment to shareholder returns rather than a specific industry trend or competitive development.

Comparison to Industry Standards

• Stock repurchase programs are a standard practice for mature, profitable companies across various sectors, including media and publishing, to optimize capital structure and enhance shareholder returns.
• News Corporation's $1 billion program is a significant commitment, comparable in scale to similar programs by large-cap companies in the media and entertainment sector, such as Paramount Global or Warner Bros. Discovery, which also utilize buybacks as part of their capital management strategies.
• The specific execution details, such as the daily volume and price ranges, align with typical on-market buyback operations managed by brokers like Morgan Stanley & Co. LLC.

Stakeholder Impact

• Shareholders: Potential for increased earnings per share and enhanced shareholder value due to the reduction in outstanding shares through the repurchase program.

Next Steps

• The company will continue to acquire shares under the existing $1 billion stock repurchase program, subject to market conditions and other factors, in the open market or otherwise.

Key Dates

Recommendation

Keywords

News Corporation, stock repurchase, share buyback, Class A common stock, Class B common stock, shareholder value, capital allocation, SEC filing, 8-K, NWS, NWSA