Is NWSA a high-quality business?

AlphaMadera's AlphaQuality grade scores News Corporation on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how NWSA compares to a Buffett-style quality bar.

What is News Corporation's AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to NWSA based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes NWSA a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

NWSA - News Corporation

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $31.70 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Stable Earnings Power

AlphaQuality — archetype-weighted quantitative grade

C+ 59.8 / 100 composite

Composite Grade

Composite of six pillars weighted for stable earnings power businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 20%

C- 48.7

5yr Avg ROIC 4.6% 33/100
Operating Margin Trend +1.02 pp/yr 85/100

Capital Efficiency

Weight: 15%

C 53.4

5yr Avg ROE 5.8% 39/100
5yr Share-Count CAGR -1.0% 80/100

Growth Quality

Weight: 15%

C+ 57.7

5yr Revenue CAGR -2.5% 15/100
5yr EPS CAGR 38.7% 100/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 15%

B 69.3

5yr FCF Margin 8.1% 62/100
5yr FCF/NI Conversion 2.16x 78/100

Balance Sheet

Weight: 20%

A- 83.9

Net Debt / EBITDA 0.38x 91/100
Interest Coverage (EBIT/Int) 95.60x 100/100
Altman Z-Score 2.32 51/100

Stability

Weight: 15%

D+ 41.2

EPS Volatility (σ/μ) 0.93 3/100
Piotroski F-Score 6 67/100
Negative-Revenue Years (5) 1/5 80/100

4 of 4 gurus held; 1 added; 2 trimmed.

Holders: 4
Avg Δ position: +69.4%
New buys: 0
Full exits: 0

Wood increased +377%
Cooperman decreased -68%
Greenblatt decreased -32%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (20%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (15%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (15%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (20%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (15%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.