UPDATE: Nomura Initiates Coverage on Twenty-First Century Fox at Buy, Establishing a $40.00 PT

In a report published Wednesday, Nomura analyst Anthony DiClemente initiated coverage on Twenty-First Century Fox, Inc. FOXA with a Buy rating, establishing a $40.00 price target. According to the report, while FOXA currently trades roughly in line with its large-cap peers, we think it deserves a higher-than-industry multiple. “Given its breadth of world-class content, including both national and regional sports rights, international cable assets, and a large-scale film and TV studio, we believe FOXA will achieve the fastest earning growth over the next three years of any of the large-cap Media names,” the report noted. “While Fox currently trades roughly in line with its large-cap peers, we think it deserves a higher than industry multiple.” FOXA closed Tuesday at $32.30.