NEW YORK (TheStreet) -- Twenty-First Century Fox (FOXA) shares are up 1.5% to $36.76 in trading on Wednesday after the media company reached a preliminary agreement to purchase video advertising company true[X] Media.
"At Fox, we are constantly working to create ad experiences that empower marketers to reach consumers in new and more effective ways. We are excited about the opportunities true[X] brings with respect to enhancing ad engagement for consumers on our networks' digital platforms," said Fox Networks COO Randy Freer.
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The specifics of the transaction have not yet been made public.
true[X] specializes in offering online publishers and advertisers a platform for marketing in premium digital and on-demand environments. The company will continue to operate as a stand alone entity following the transaction.
TheStreet Ratings team rates TWENTY-FIRST CENTURY FOX INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate TWENTY-FIRST CENTURY FOX INC (FOXA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in stock price during the past year, attractive valuation levels, good cash flow from operations and growth in earnings per share. We feel these strengths outweigh the fact that the company has had sub par growth in net income."