TLDR
- FuboTV executed a 1-for-12 reverse stock split on March 23, effective at open on March 24
- The stock fell as much as 10.6% on the day before recovering to a ~3.6% decline
- Disney owns 70% of the combined Fubo/Hulu + Live TV entity; FuboTV holders own 30%
- The combined company posted $6.2 billion in pro forma revenue over the past 12 months
- Seaport Global upgraded FUBO to Buy with a $3 price target; Needham maintained Buy but cut its target from $4.25 to $3.00
FuboTV (FUBO) executed a 1-for-12 reverse stock split on Monday, March 23, with the adjusted price taking effect at the open of trading on Tuesday, March 24. The stock slipped as much as 10.6% on the day before clawing back some of those losses.
The reverse split was first flagged during FuboTV’s February earnings call. The board had been authorised to set a ratio anywhere between 1-for-8 and 1-for-12, and landed on the higher end of that range.
To make it official, the company filed a Certificate of Amendment with the Secretary of State of Delaware on Monday. Notably, written consent was required — and received — from Hulu, LLC, which holds a large stake in the company.
Reverse splits are generally seen as a red flag. They’re typically used to push a stock’s per-share price back above exchange minimums and to attract institutional buyers that won’t touch stocks trading below a certain threshold.
FuboTV’s market cap has fallen to around $360 million following months of decline. That’s a sharp drop for a company tied to a streaming business generating $6.2 billion in pro forma revenue over the trailing twelve months, alongside $78 million in adjusted EBITDA.
The Hulu + Live TV Merger Backdrop
The reverse split comes roughly five months after FuboTV merged its sports streaming business with Disney’s Hulu + Live TV. Disney took a 70% stake in the combined entity, leaving FuboTV stockholders with the remaining 30%.
The merged company reported its first quarterly results in February. Pro forma revenue rose 6%, topping analyst estimates. Adjusted EBITDA margin improved from 1.4% to 2.5%.
Subscriber numbers, however, moved in the wrong direction. North American subscribers dipped from 6.3 million to 6.2 million. International subscribers fell from 362,000 to 335,000.
Analyst Views
Seaport Global Securities upgraded FUBO from Neutral to Buy following the first post-merger quarter, setting a price target of $3.00.
Needham kept its Buy rating but trimmed its price target from $4.25 to $3.00, citing the loss of NBC sports content in 2026 as a headwind.
FuboTV’s Q1 2026 earnings surprised to the upside. The company posted EPS of $0.02 against an expected loss of $0.03 — a 166.67% beat. Revenue came in at $1.68 billion versus the $390.88 million consensus estimate.
That revenue figure reflected the inclusion of Hulu + Live TV for the first time in reported numbers. It’s a very different company on paper now than it was a year ago.
At current levels, FUBO trades at roughly 0.2 times sales and around 15 times EBITDA on its proportional 30% stake in the combined business.
The stock was trading at $13.20 as of Monday afternoon, with a 52-week range of $12.18 to $56.64 — the latter figure pre-reverse-split adjusted.
Class A common stock began trading on a split-adjusted basis on the New York Stock Exchange at the open on Tuesday, March 24, under the existing ticker symbol “FUBO” with a new CUSIP number of 35953D401.
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