fuboTV Shares Drop Despite Positive Earnings Report

New York, NY — Shares of fuboTV (NYSE:FUBO), the live sports and TV streaming service, fell 10.6% on Monday afternoon after the company released its third-quarter earnings report. Despite beating Wall Street estimates, the report revealed troubling trends in revenue and cash flow.

fuboTV reported adjusted earnings of $0.02 per share, surpassing analysts’ predictions of a loss. However, total revenue declined by 2.3% year-over-year, totaling $377.2 million. Investors were particularly concerned about the company’s cash usage, which showed a significant decrease in free cash flow, dropping to negative $9.41 million compared to negative $1.12 million in the same quarter last year.

The company experienced slight domestic subscriber growth year-on-year, yet the falling revenue and rising cash burn prompted a negative market reaction. Stock market analysts noted that sizable price drops like this might offer investment opportunities.

fuboTV has seen high volatility, with its shares moving more than 5% in either direction 55 times in the last year. The previously significant market movement occurred five days prior when the stock rose 5.5% after the company announced a business combination with Hulu + Live TV, part of The Walt Disney Company.

This deal created the sixth-largest Pay TV company in the United States, boasting nearly six million subscribers across North America. Under the agreement, Disney retains a 70% stake in the new entity, while current fuboTV shareholders hold around 30%. Both services are expected to remain separate.

CEO David Gandler will continue to lead the merged entity, which also includes a $145 million term loan commitment from Disney to aid in growth and integration. Although fuboTV shares are up 141% since the year’s start, they remain 37.7% below their 52-week peak of $5.46 recorded in January 2025.

For investors evaluating fuboTV, the stock is currently priced at $3.40 per share. Observers from Simply Wall St noted that, despite the year-to-date rise, the stock is down 2.2% over the past three years and 74.1% over the last five. Questions remain regarding whether now is the opportune time to invest in fuboTV, with market analysts suggesting its history of volatility and strategic pivots indicate possible growth pathways.