As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at media stocks, starting with fuboTV (NYSE: FUBO).
The advent of the internet changed how shows, films, music, and overall information flow. As a result, many media companies now face secular headwinds as attention shifts online. Some have made concerted efforts to adapt by introducing digital subscriptions, podcasts, and streaming platforms. Time will tell if their strategies succeed and which companies will emerge as the long-term winners.
The 7 media stocks we track reported a satisfactory Q1. As a group, revenues missed analysts’ consensus estimates by 4.4%.
Luckily, media stocks have performed well with share prices up 18.8% on average since the latest earnings results.
fuboTV (NYSE: FUBO)
Originally launched as a soccer streaming platform, fuboTV (NYSE: FUBO) is a video streaming service specializing in live sports, news, and entertainment content.
fuboTV reported revenues of $416.3 million, up 3.5% year on year. This print fell short of analysts’ expectations by 28.7%, but it was still a very strong quarter for the company with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
fuboTV delivered the weakest performance against analyst estimates of the whole group. Interestingly, the stock is up 30.5% since reporting and currently trades at $3.79.
Is now the time to buy fuboTV? Access our full analysis of the earnings results here, it’s free.
Best Q1: Disney (NYSE: DIS)
Founded by brothers Walt and Roy, Disney (NYSE: DIS) is a multinational entertainment conglomerate, renowned for its theme parks, movies, television networks, and merchandise.
Disney reported revenues of $23.62 billion, up 7% year on year, outperforming analysts’ expectations by 2%. The business had a very strong quarter with an impressive beat of analysts’ adjusted operating income estimates and a solid beat of analysts’ EPS estimates.
The market seems happy with the results as the stock is up 30.4% since reporting. It currently trades at $120.09.
Is now the time to buy Disney? Access our full analysis of the earnings results here, it’s free.
Weakest Q1: Warner Music Group (NASDAQ: WMG)
Launching the careers of legendary artists like Frank Sinatra, Warner Music Group (NASDAQ: WMG) is a music company managing a diverse portfolio of artists, recordings, and music publishing services worldwide.
Warner Music Group reported revenues of $1.48 billion, flat year on year, falling short of analysts’ expectations by 2.2%. It was a softer quarter as it posted a significant miss of analysts’ EPS estimates and a miss of analysts’ Recorded Music revenue estimates.
As expected, the stock is down 1.4% since the results and currently trades at $29.68.
Read our full analysis of Warner Music Group’s results here.
Warner Bros. Discovery (NASDAQ: WBD)
Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ: WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production.
Warner Bros. Discovery reported revenues of $8.98 billion, down 9.8% year on year. This result came in 6% below analysts' expectations. It was a slower quarter as it also recorded a significant miss of analysts’ adjusted operating income estimates and a miss of analysts’ Advertising revenue estimates.
Warner Bros. Discovery had the slowest revenue growth among its peers. The stock is up 52.7% since reporting and currently trades at $13.11.
Read our full, actionable report on Warner Bros. Discovery here, it’s free.
Scholastic (NASDAQ: SCHL)
Creator of the legendary Scholastic Book Fair, Scholastic (NASDAQ: SCHL) is an international company specializing in children's publishing, education, and media services.
Scholastic reported revenues of $508.3 million, up 7% year on year. This print surpassed analysts’ expectations by 2.8%. However, it was a slower quarter as it logged full-year EBITDA guidance missing analysts’ expectations significantly.
Scholastic scored the biggest analyst estimates beat among its peers. The stock is up 18% since reporting and currently trades at $25.43.
Read our full, actionable report on Scholastic here, it’s free.
Market Update
Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.
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