- Forecasting a large sports betting future for the company. Wells Fargo upgrades Fox (NASDAQ:FOXA) from Equal Weight to Overweight.
- Analyst Steven Cahall sees "breadcrumbs on the path to a big sports betting future" that could come with share price acceleration of 17-34% over the next couple of years."
- Cahall writes that risks to the thesis include "unexpectedly sharp" cord cutting acceleration and Fox's inability to reach attractive terms with Flutter.
- Fox shares are up 1.8% pre-market to $37.24.
- Related: Last month, Fox announced the acquisition of digital platform Outkick Media, which has an exclusive marketing agreement with FanDuel.