News Corp (NWS)

Mainstream Media giant struggles to adapt to changing public sentiment. The Ron Paul Revolution is endearing to millions of liberty-minded individuals that are fed up with the authoritarian/fascist neoconservative movement. News Corp's Fox News will decline in viewership as their cacophony of neocon stooges continue to spout the tiring rhetoric of fearmongering war propaganda.

This decline in Fox News market share would have likely been a slow descent were it not for Fox's decision to exclude Ron Paul from an upcoming New Hampshire forum. Fergus Cullen of the NH GOP said the decision to exclude Ron Paul was Fox's, and the NH GOP wants all candidates included. Fox based their decision to exclude Ron Paul based on poll numbers, even though the polls show Ron Paul leading Fred Thompson who was invited to attend. Fox's decision to exclude is also curious as Ron Paul's 19.5 million in 4th quarter fundraising is unrivaled on the GOP side and in league with Hillary Clinton.

Fox is having a hard time justifying their decision to exclude Ron Paul from the debates, and it is helping many to see through Fox's so-called "Fair and Balanced" smokescreen for what is really a propaganda mouthpiece for the neoconservative movement. Fox is also being exposed for Rupert Murdoch and Roger Ailes support for Hillary Clinton.

Fox's decision to ally itself firmly with the pro-war neocons is a double-edged sword. Its viewership is directly correlated with support for the Iraq war and fear of islamofascism. This was a boon for Fox in the build up to the Iraq war and post-911 environment of fear. However, as more and more Americans become opposed to the war and see it as a mistake, this will hurt viewership and ultimately advertising revenue for the network, since it is unlikely to change course with respect to its programming.

News Corp, founded by Rupert Mudroch is a media company that has its finger in almost every pie from Filmed Entertainment, Television, Cable Network Programming and Direct Broadcast Satellite Television to Magazines, Newspapers and Book Publishing. Its vast empire ranging across continents makes it the most powerful media corporation in the world.

The company had an excellent 2006 with revenues increasing 6% due to good performances in Filmed Entertainment and Cable network. With important releases like the much-awaited Live Free or Die Hard, Alien vs Predator and The Simpsons Movie lined up for 2007, the Filmed Entertainment segment, which contributed 25% to revenues, will have a good year ahead.

The number of DVD households in USA is expected to exceed 94% by 2010, which should work in the company’s favor. The DVD sales of X-Men 3, Ice Age 2, The Devil Wears Prada, Garfield and Omen which are to be released in FY 2007 will definitely boost revenues in the first half of the year. While Borat, Eragon and Night at the Museum are expected to spice up the second half of the year.

The Television segment, which contributes 21% of revenues, will experience a bullish trend with the return of American Idol and 24 coupled with hits like Prison Break and House. SKY Italia, a part of Direct Broadcast Satellite Television could be an important growth driver with the number of subscribers expected to cross 4 million by the year-end.

News Corp also seems to be intent on beefing up its internet operations. They have announced measures to increase traffic on Myspace.com so as to capitalize on the search and display advertising market. Opportunities in video advertising through copyrighted content are also being looked into, though the company faces stiff competition from Google’s Youtube.com in this area. Finally in December, News Corp exchanged their stake in DirecTV for Liberty Media Corporation’s 16.3% stake in News Corp which will be accretive to its EPS. All of which suggests that News Corp will have a terrific year ahead.

Of all the reasons to be leery of the News Corp juggernaut, the MySpace purchase is what really did it for me. Anyone remember Friendster? I know MySpace is the hottest thing out there right now, but all trends -- particularly those dependent upon fourteen-year-olds -- have a life span, and when this one ends, I can't see a way for News Corp to emerge unscathed.

They own Myspace, which could boost the company all by itself in the next year.

I think traditional media is very threatened by the Internet. Further, I think many of them have no idea how to buy their way into the future. The NY Times bought About.com for $400 million. Dow Jones bought CBS Marketwatch for $600 million. Huh?

Against that, I think News Corp has been aggressive and smart. They earned a CAP from me.

FOX News Corp Stock Taking a Beating for Slighting Ron Paul by excluding him from the NH Debates.

From the 3 day totals it looks like FOX News parent company symbol (NWS) it taking a beating. Will it continue as the Boycott and stock dump continues from the Paul camp.

I predict that the numbers will continue in their current downward trend in the days and weeks ahead as the Ron Paul campaign with its huge grass roots engine rolling along will in the end steam roll the parent company of Fox news in stock value with their efforts. This will be in addition to the thousands of faxes, emails, phone calls and other such activist efforts on the part of the grass roots for Ron Paul.

This is fair compensation to Fox in my opinion for their slighting of Ron Paul by not inviting him to the Jan 6th forum sponsored in part by the New Hampshire Republican Party and Fox News.

From what I have read of the boycott effort it will include all advertisers that are currently sponsors of Fox news as well as encouraging the sell off of NWS stock for the forseable furture. The stock was kind of a dog from what I have seen so this is not going to help the situation for certain.

Fox has been most biased and unfair to Ron Paul and that is quite clear. This might be a further lesson for Fox News in what Dr. Paul referenced in that now famous first Fox Republican debate as what the CIA teaches and talks about. Blowback. I think he called that one. I hope that holders of NWS are short calling their holdings at about $18 that would be my bet.

http://www.nolanchart.com/article844.html

My Space. What does News Corp do with this. many things including making money out of it. I think this is a great company, well managed that is set to integrate the web more efficiently, should see this company continue to expand globally.

I have faith that the Ron Paul supporters will effectively drag this stock below the 52 week low of 19.71. I expect most shorts are set at a paltry 19.50 or lower.

MySpace has another year left. Fox will last forever, but investors associate NWS with MySpace too strongly. So, sometime in the next year, there will be a bunch of articles about how MySpace has fewer new users, and the stock will tank. I believe in NWS, but it needs to stop being just

This stock is getting alot of bad press. Being the parent company of FoxNews(unbalanced and unfair) is really hurting them.

Infotainment is on its way out. The Internet will replace it.

They dogged ron paul... rats.

VL

This is obviously not a great time to buy IRL but I am calling this one out as a "tracker"/"keeper" for the long term.

IE: on bad news (and the subsequent dip) BUY this one folks. It's a tank.

*Disclaimer, I might buy some right after posting this. Then again, I might not*

MySpace is certainly important as a franchise, but much more important in that it News Corp. 'gets it' when in comes to the Internet and generations of voracious consumers raised on technology and rich media interaction. I also like how Fox is releasing the 4 hour premiere of the hit TV show 24 the very next day after the show. This extends the buzz and creates a new model for TV DVD sales in which people are able to buy the season of the shows as they come out - instead of a couple of months after the season is over. People like to own TV shows and more so they like to be able to share them with their friends and families - the only existing model for being able to do this is the season pass on ITunes, or downloading copied shows off the internet. Fox still benefit from the buzz this generates, but now Fox is giving viewers more chances to do it legitimately and in the format of their choice.

Murdoch is a genius, love fox or hate it, and with him owning IGN entertainment, which is a huge niche cash crop, I see this stock going nowhere but up in the long run.

This company has lots of media investments (content, satellite, new media) that are just beginning to pay off.

Look for them to continue transforming MySpace into a major portal and personal website.

Ron Paul Fallout will drag this stock down.