fuboTV Inc. (FUBO) shares plummeted 5.14% in the intraday trading session on Wednesday, as the sports streaming provider continues to grapple with concerns about its ability to turn a profit despite efforts to expand its offerings and boost revenue growth.
The company has been struggling this year, with its stock down nearly 50% since January, as investors remain skeptical about its path to profitability amidst intense competition in the streaming market. While fuboTV reported a 20% year-over-year increase in revenue for the third quarter, it still recorded a substantial operating loss of $59 million.
In an attempt to attract more customers and diversify its revenue streams, fuboTV has recently announced partnerships and new flexible subscription options. This includes a deal with sports media company The Athletic to integrate fuboTV as a "go-to sports streaming destination" and the introduction of stand-alone premium packages like FanDuel Sports Network and NBA League Pass, allowing users to subscribe without a base channel plan.
However, analysts remain cautious about fuboTV's prospects, citing the looming threat of consolidation among streaming giants like Disney, Fox, and Warner Bros. Discovery. A potential joint venture between these companies could create a formidable competitor in the sports streaming space, further squeezing fuboTV's ability to gain market share and achieve profitability.
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