Topline
Fox News’ parent company’s stock tanked Monday after the network announced the ouster of Tucker Carlson, its controversial-but-ratings-darling host, less than a week after the company agreed to pay $787.5 million to settle a defamation lawsuit from Dominion Voting Systems after Fox figures including Carlson peddled false claims of fraud in the 2020 election.
Tucker Carlson gives side eye.
Key Facts
Class A shares of Fox Corporation slid as much as 5.6% in the 30 minutes after its news wing announced it immediately “agreed to part ways” with Carlson.
That erased $700 million in market capitalization for the Rupert Murdoch-led firm.
The network did not immediately give a reason for Carlson’s departure, but it was a major bombshell considering Carlson’s weeknight program Tucker Carlson Tonight consistently delivered the largest audience in cable news.
Big Number
$182 million. That’s how much the net worth of Murdoch, Fox Corp.’s executive chairman, slid Monday, according to Forbes’ estimates. The 92-year-old is the 99th-richest man in the world.
Surprising Fact
Kenneth Leon, CFRA’s research director, downgraded Fox stock from a buy to a hold Friday in the aftermath of the Dominion settlement, slashing his price target for Fox from $41 to $37. Fox’s brand took a “hit with advertisers and marketers,” Leon wrote in a note to clients, lowering 2023 and 2024 earnings estimates by roughly 5% apiece.
Further Reading
Tucker Carlson Suddenly Out At Fox News (Forbes)
Correction (4/24): A previous version of this article incorrectly stated in the “key facts” section how much market capitalization Fox lost Monday.
Source: https://www.forbes.com/sites/dereksaul/2023/04/24/tucker-carlsons-exit-wipes-out-700-million-in-market-value-for-fox/