Fox Stock Surges on Undervalued Assets, Ranks 296th in Market Activity as 370M Volume Jumps 71 Percent

On August 4, 2025, Fox Corporation (FOXA) surged 2.59% with a trading volume of $0.37 billion, a 71.05% increase from the previous day, ranking it 296th in market activity. The stock's performance aligns with a bullish thesis highlighting its undervalued assets, including a 19% stake in FanDuel and 2.4% in Flutter Entertainment. Analysts argue that FOXA’s valuation at 12.7x EV to 2027 FCF is significantly below industry peers, driven by underappreciation of its core strengths in cable news and sports broadcasting.

Key growth drivers include FOX Sports’ dominance in live sports and Tubi’s expansion in FAST channels, which now captures 2.2% of U.S. TV viewership. Tubi’s projected 20–25% EBITDA margins by 2027 underscore its potential as a long-term growth engine. The company’s strategic position in the gambling sector, with a valuable option to acquire 18.6% of FanDuel and $1.3 billion in Flutter equity, further supports a potential $68–$72 per share valuation by 2027.

With a strong balance sheet and net debt/EBITDA of 1x, FOXA benefits from growing investor recognition of its streaming and gambling assets. Catalysts such as potential monetization of FanDuel stakes could accelerate re-rating. The stock’s recent momentum reflects a combination of undervalued holdings and sector-specific resilience in news and sports media.

The strategy of purchasing the top 500 stocks by daily trading volume and holding them for one day delivered a 166.71% return from 2022 to the present, outperforming the benchmark by 137.53%. This highlights the impact of liquidity concentration in volatile markets, where high-volume stocks like FOXA can experience amplified price movements due to institutional and algorithmic trading activity. The results emphasize the importance of short-term liquidity dynamics in capturing market volatility.