News Corp’s Digital Pivot Fuels Growth and Shareholder Returns
31.01.2026 - 18:16:04
News Corporation is charting a course for expansion into 2026, leveraging a robust cash position to accelerate returns to shareholders while its digital transformation gains significant traction. The media conglomerate's strategy combines geographic expansion, such as the launch of the "California Post" on the West Coast, with a deepening focus on high-growth digital segments.
Key financial metrics for the recent period underscore this momentum. Revenue increased by 2% to $2.14 billion, while EBITDA climbed 5% to $340 million. In a clear sign of confidence, the company has aggressively ramped up its share repurchase program, now buying back stock at a rate of approximately $2.5 million per day—a pace more than four times faster than that of fiscal 2025.
The company's financial health is being powered by its digital business units. Digital Real Estate Services and Dow Jones have emerged as primary growth drivers. Realtor.com posted a 9% revenue increase, marking its strongest quarterly growth in nearly four years. Within Dow Jones, the B2B information services and the Risk & Compliance segment both achieved double-digit gains.
This digital focus is now intersecting with the era of artificial intelligence, creating new revenue streams. Rather than allowing the unauthorized use of its data by AI models, News Corp's management is pursuing licensed partnerships. A deal with OpenAI is already contributing measurably to earnings at both Dow Jones and the News segment.
Should investors sell immediately? Or is it worth buying News?
Strategic Alliances and Credit Recognition
The strategic value of the company's data and platforms is further evidenced by new collaborations. Since early January, News Corp publications have integrated forecast data from Polymarket. In real estate, Realtor.com launched a new collaborative search platform at the end of January.
This innovative approach and strengthening financial profile were acknowledged by rating agency Moody's, which revised its outlook for News Corporation to "positive" on January 23.
All eyes are now on the upcoming earnings release scheduled for Thursday, February 5, 2026, which will cover the second fiscal quarter. Investors will be keen to see if the growth momentum in digital real estate services and the returns from AI partnerships can once again surpass expectations.
Ad
News Stock: Buy or Sell?! New News Analysis from January 31 delivers the answer:
The latest News figures speak for themselves: Urgent action needed for News investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from January 31.
News: Buy or sell? Read more here...
