Valuation metrics in the current fubo stock price forecast suggest the market is pricing in aggressive revenue expansion. Price-to-sales ratio currently sits near 1.5, below sector median, supporting growth investor attraction. Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at fuboTV as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 8.4%, which is based on a levered beta of 1.257. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. We have seen 116 institutional investors add shares of $FUBO stock to their portfolio, and 103 decrease their positions in their most recent quarter. Analysts tracking the fubo stock price forecast note that its recent trading volume spike signals renewed retail interest. Technical charts show a breakout above the 50-day moving average could push the stock toward $3.50, assuming macroeconomic indicators like CPI data remain favorable.
