After shares plummeted on Monday, sports-centric streaming service FuboTV rebounded Tuesday following the company’s announcement of preliminary fourth-quarter results.
The stock rose as much as 26.13%, closing the day at $27.40, up 12.71%.
FuboTV’s total revenue in the quarter is expected to land between $94 million and $98 million, a 77% to 84% gain from the same period in 2019. The company previously estimated it would reach $80 million to $85 million.
Total subscribers are expected to reach 545,000 in Q4, a 72% increase from last year, also beating the company’s forecast.
FuboTV still has a long way to go before rivaling top livestreaming competitors.
- Hulu + Live TV — 4.1 million subscribers
- YouTube TV — More than 3 million subscribers
- Sling TV — 2.5 million subscribers
Since going public in October at an IPO price of $10 per share, Fubo has become a perplexing case for analysts. Shares skyrocketed to $62 in late December as the company announced plans to move into sports wagering.
LightShed Partners analyst Rich Greenfield recently projected FuboTV stock to eventually fall to $8 per share, saying it “may be the most compelling short we have ever identified.”
But Needham & Co.’s Laura Martin gave the stock a “buy” rating and called it “an inexpensive way for public investors to participate in the U.S. consumer shift toward OTT and streaming TV.”