FuboTV posted remarkably poor earnings, although, at first glance, its revenue growth was impressive. Its stock has fallen 80% this year, and the drop accelerated recently.
Revenue in the most recent quarter was tiny at $242 million, up 102%. The company lost $141 million. Subscribers in North America were just shy of 1.1 million, higher by 81%. Subscribers outside North America were 305,000, up by 102%. FuboTV is too small to compete in the streaming world, and perhaps too small to survive. Some proof of this was that the company lowered its expectations for North America, which is its largest market.
FuboTV does not have a niche, as some smaller companies do. As streaming becomes more competitive, FuboTV’s program lineup is not sufficient, which this writer can attest to. And its monthly fees are extremely high.
In a world in which there are doubts about the growth of giants like Netflix, FuboTV has no way to take meaningful market share.
24/7 Wall St.As the stock continues to drop further, there is only one question about the company’s future. Will it be bought or will it disappear?
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