• Revenues for the year ahead are expected to increase 75% y/y.
• Sports betting is not included in the guidance and will be rolled out in Q4 2021.
• Very attractive margins from advertising. Advertising revenues now make up 12.2% of total revenue per user.
• The stock is priced at less than 12x forward sales (not including any sports betting revenue that will be rolled out in Q4 2021).
fuboTV is a rapidly growing sports platform that is disrupting a very expensive and entrenched industry.
fuboTV has 169 million shares outstanding (including fully converted), which implies that its market cap right now is approximately $5 billion. That means investors are being asked to pay less than 11x forward sales for a company that's clearly rapidly growing.
Furthermore, we have to keep in mind that fuboTV's 2021 guidance doesn't include any sport wagering revenues that will be deployed in Q4 2021.
If you look far and wide towards other streaming platforms, there are not many growing their revenues at even 50% y/y. And those, such as CuriosityStream (NASDAQ:CURI) are priced much closer to 21x forward sales (once you account for all the outstanding shares).
Meanwhile, the likes of Netflix are growing at closer to 22%-25% y/y, but it's priced at about 8x forward sales.
Submitted March 10, 2021 at 11:45PM by SPACinvesting https://ift.tt/3bCKhmJ
