Up 78% This Year, Are Shares of fuboTV a Buy?
Meme stocks may be making a comeback. Yes, I am writing this in the summer of 2023. Shares of fuboTV (NYSE: FUBO) have soared 78% so far this year and are up 58% in the past month. Yet, the stock is still at just $3, off 95% from all-time highs set during the meme stock run in 2021. The virtual cable provider has put up strong revenue growth in recent quarters but is still burning tons of cash, meaning that traders are likely bidding up the stock in correlation with the 2023 artificial intelligence (AI)-driven bull market.
Is now the time to hop back on the fuboTV stock train? Let's investigate.
The business model of fuboTV is to offer broadcast and cable TV bundles virtually through an internet-connected service. Plans cost around $75 to $100 a month before taxes, which is much more expensive than what one pays for a typical streaming service but can actually be much cheaper than the traditional cable bundle. Last quarter, its average revenue per user (ARPU) in North America was $76.79 a month, up from $71.43 in 2022.
Source Fool.com
