FuboTV stock jumps on record North American subscribers
Shares of fuboTV (FUBO) are jumping in pre-market trading as the company revealed a new record for paid subscribers in North America. The company also posted a 29% gain in revenue compared to the same levels a year ago.
Yahoo Finance Anchors Brad Smith and Seana Smith break down how fuboTV is improving on key metrics amid its antitrust lawsuit.
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor's note: This article was written by Nicholas Jacobino
Video Transcript
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SEANA SMITH: Time for some trending tickers here on "Yahoo Finance." First up is Fubo, shares jumping in the pre-market up just about 14% after reporting a record number of paid subscribers in North America, and a 29% increase in revenue from the levels that we saw just about a year ago. They at 1.62 million paid subscribers, that was up 12% on a year over year basis, total revenue of $402 million.
Now, we know the focal point and really what has been driving some of the action in Fubo stock. And really more broadly speaking throughout the sector was what we just had their CEO David Gandler on "Yahoo Finance" not too long ago, a week or so-- ago, Brad talking about the antitrust lawsuit that they just filed to block Disney, Fox, and Warner sports streaming deal saying that it's anti-competitive, that it's going to destroy their business that was the focal point here.
For investors, for shareholders, for analysts, heading into these results and it looks like at least up until now, the company obviously improving on some of those key metrics. But the question is, is that future subscriber growth and how they are going to compete if they are at that disadvantage?
BRAD SMITH: Yeah, it's amazing actually the achievement for this all-time high in the average revenue per user right now in this interim period, $86.65. But you've got to wonder if a consolidation, or at least a partnership would materially impair that type of ability to extract value from some of these core customers, which they were able to see 1.618 million paid subscribers.
That's up by about 12% year over year if it would materially impair that figure. Especially as a more competitive offering gets brought to market here, and I think that's exactly what investors have been trying to get of, ahead of that's why the stock's down year to date by about 34%.
