Shares of sports-first live TV streaming platform company FuboTV Inc FUBO are trading higher Monday. What's going on?
Several companies in the broader communications, media and entertainment industry are trading higher as stocks rebound following September weakness stemming from concerns over inflation, aggressive Fed policy and a potential recession.
What Happened: Markets tumbled last week after U.S. initial jobless claims unexpectedly fell to the lowest levels since April.
Jobless claims decreased by 16,000 for the week ending Sept. 24 to 193,000 from a downwardly revised level of 209,000 in the prior week, according to data the Labor Department released last week. The number came in well below average economist estimates of 215,000.
A drop in treasury yields has also helped lift growth stocks in Monday's session. The 10-Year Treasury yield was hovering around 3.65% at time of publication. Lower rates increase the present value of future cash flows, which can positively impact the valuations of growth stocks.
What Else Is Happening: Fubo announced that its spending growth rate has been 112.8% faster than the increase in available impressions since it partnered with The Trade Desk Inc TTD. The company said such shows that advertisers were able to more precisely serve ads, while FuboTV was able to maximize yield and efficiencies for its available inventory.
Fubo said advertiser spend increased 61.5% year-over-year, while ad impressions jumped 25% year-over-year.
FUBO Price Action: Fubo has a 52-week high of $16.65 and a 52-week low of $2.31.
The stock was up 7.46% at $3.82 Monday afternoon, according to Benzinga Pro.
Photo: courtesy of FuboTV.
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