GuruFocus Flags Fox Corp 11.5% Overvalued With $2.2B Insider Selloff
GuruFocus estimates Fox Corp shares at $60.59 are 11.5% overvalued relative to $54.34 intrinsic value as insiders sold $2.2 billion in the past year.
Fox Corp shares trade at $60.59, 11.5% above GuruFocus’s GF Value estimate of $54.34, as insiders sold $2.2 billion in stock over the past year. The valuation gap comes as the network wraps up a 12-year partnership with veteran broadcaster Maria Bartiromo, a programming shift that may signal a broader strategic refresh.
Bartiromo’s final episode of “Mornings with Maria” aired Sept. 3. The program will be replaced by “Mornings with FOX Business” featuring rotating anchors. Her weekly show will be rebranded as “FBN’s Wall Street” and hosted by Cheryl Casone this week. Fox Corp operates cable networks including Fox News and Fox Business, plus a broadcast network and 29 local stations. The Murdoch family retains control of the company, which has a market capitalization of $26.94 billion.
GuruFocus’s GF Value metric, which blends historical multiples, growth trends, and forward estimates, signals the stock is trading above its intrinsic value. The trailing price-to-earnings ratio of 15.82x is above the five-year median of 14.42x, reinforcing the overvaluation reading. The GF Score of 81 out of 100, based on profitability, financial strength and growth, points to solid fundamentals, but the valuation premium and insider selling add a cautionary note.
Insiders unloaded $2.19 billion in shares over the past 12 months against just $10.6 million in purchases, according to GuruFocus data. That net selling dwarfs the buying and could reflect management’s view of the stock’s current level. The picture is more mixed among large fund managers: GuruFocus tracks 10 premium gurus holding Fox shares, with five adding to positions and three trimming, a net positive trend that suggests some long-term conviction.
A continued insider selling push would reinforce the overvaluation signal, while a pickup in corporate buybacks or a stronger earnings report could narrow the gap to GF Value. The next quarterly results are due in November, a natural checkpoint for the thesis. Until then, the stock's premium to its intrinsic estimate and the insider unloading pattern give investors a specific risk to track.
Fox Corp’s GF Score of 81 reflects strong operating margins and a healthy balance sheet, but the 11.5% margin above GuruFocus’s fair-value benchmark leaves limited room for error if fundamentals slip.
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