News and Fox shares going backwards. The poor first-quarter performance of News Corp and 21st Century Fox shares was missing from all the navel-gazing last week after the promotions of Lachlan and James Murdoch at News and its offshoot, 21st Century Fox. Lachlan was made non executive co-chair of both companies, and James was made co-chief operating officer with Chase Carey. Big news.
But after the sharp rises in the share prices of both companies in the second half of 2013 following the split on June 28, the shares have gone backwards in 2014, with Fox one of the five worst-performing companies on the S&P 500 with a market value of $US50 billion or more. According to the News-owned US website Marketwatch, Fox shares have fallen more than 10% since the start of the year. News shares lost 7.5% since the start of the year. The S&P 500 is up half a per cent for the year so far, so the performance of News and Fox have been less than stellar. With a fall of more than 10%, Fox shares are now in a correction phase as the costs of building a huge pay TV sports network in the US, plus weak film and TV ratings and revenues, weigh.