This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Cramer: News Corp. Is a New Game

Stocks in this article: NWSA DIS


NEW YORK ( TheStreet) -- Debra Borchardt: News Corp. (NWSA) reported a pretty good second quarter, but, but, but ... they said get ready because things are going to get a little worse?

Jim Cramer: Right. We have a position at ActionAlertsPlus.com and Stephanie put out a bulletin list to summarize a lot of this, but let me just go into it for those who don't subscribe -- I obviously think you should.

There are three issues. They have a problem with Italy. I think that's understandable because Italy is weak. This is their cable company. They have a problem with Australia in publishing; Australia has been weak. The economy there has been under pressure. They have a problem with Fox. This is Fox the broadcast...

Debra Borchardt: American Idol, a little soft; X-Factor, a little soft.

Jim Cramer: Exactly. They happened to have a four-game world series, which wasn't that good. The NFL ...

Debra Borchardt: Darn those San Francisco Giants.

Jim Cramer: I know. Exactly. The NFL didn't do ... they had some problems with collegiate football. They didn't get the right matchups. They actually mentioned Ohio State not being able to play, which I thought was funny.

Here is one that I did find curious. They said that in the NFL playoffs, NFC was double-digit down. I thought that was amazing because those games were terrific.

Debra Borchardt: And yet, for all of this that we're talking about San Francisco Giants sweep, Ohio State ... these things hurt them and they're still going after sports.

Jim Cramer: Right. I think that they own this Fox News property is terrific, that's cable. They call it the worst kept secret, which is going up against ESPN. ESPN has obviously been a tremendous driver for Disney (DIS). ESPN is very, very successful.

Debra Borchardt: Huge.

Jim Cramer: Fox has enough property ... News Corp. has enough properties to cobble together what could be this fabulous international ESPN. ESPN actually has some international ... I was watching ESPN international the other day. It's very, very good. But I do think that that's what people want.

The reason why the stock isn't getting hammered is because they're kind of holding out. Look, we're going to do that ... remember they are splitting. They're buying back stock. The split makes a lot of sense. That's why we own it. The split is going to be complete at the end of the year. They continue to buy back stock, but it's not clear what's going to happen with the capital structure. They may not buy it as aggressively, that was mentioned.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs