News Corporation (NYSE:NWS) shares moved up $0.44, or 1.78%, to $25.14 today after the company posted strong revenues supported by movie sales and MySpace. The company reported that MySpace’s sales had tripled from a year earlier as the company said profit margins should conservatively top 20% in fiscal 2008. President Peter Chernin also told analysts on a conference call that the company believes the segment would “over-deliver” on the $500 million in annual revenues projected three months ago. Meanwhile, operating profits in News Corp’s television business fell from $183 million to $112 million, hurt by both MyNetworkTV and Fox Broadcasting, where profits dropped 36%. The company did, however, experience great success in the hit movie “Borat” and expects the return of hit television series “24” and “American Idol” to boost future revenues in future quarters. Murdoch also said today that his company will launch their long awaited cable business news service this fall, built to rival CNBC. Combined, these factors make NWS a stock that is definitely
worth watching - even if it has already moved over 50% this year.
Related CompaniesTime Warner Inc. (TWX)CBS Corporation (CBS)The Walt Disney Corporation (DIS)