Wedbush Cuts FuboTV Target to $3.50 After Q1 $1.55B Revenue Beat
Wedbush lowered its FuboTV price target to $3.50 from $5 while maintaining an Outperform rating, citing a lack of guidance and a reverse stock split. FuboTV reported Q1 revenue of $1.55 billion versus a $1.36 billion estimate and aims to capture synergies from its Hulu Live merger.
1. Wedbush Lowers Price Target
Wedbush lowered its price target to $3.50 from $5 and maintained an Outperform rating on FuboTV, pointing to weak forward guidance and a reverse stock split as key concerns. The firm described FuboTV as a show-me story that needs clearer strategic direction to attract institutional investors.
2. Seaport Research Upgrade
Seaport Research upgraded FuboTV to Buy from Neutral with a $3 price target, arguing the sharp post-merger share decline creates a buying opportunity. The upgrade underscores confidence in the combined FuboTV and Hulu Live platform’s long-term growth prospects.
3. Q1 Financial Performance
FuboTV reported first-quarter revenue of $1.55 billion, topping the $1.36 billion consensus estimate. CEO David Gandler highlighted 2025 as a transformational year following the Hulu Live merger and emphasized enhancements in consumer choice and programming flexibility.
4. Synergy and Operational Outlook
Management expects to deliver cost, revenue, and operational synergies through programming flexibility, advertising optimization, and marketing enhancements across FuboTV and Hulu Live. While acknowledging uncertainties, the company believes the current reset could establish a valuation floor for institutional investors seeking upside.