News Corp investors shrug off scandal, send shares up

New York: News Corp investors, unfazed by the phone hacking scandal at the company’s UK newspapers, pushed shares up 5 percent on Thursday after the company posted a stronger-than-expected quarterly profit. Rupert Murdoch’s News Corp’s, which announced quarterly results on Wednesday, also said its board approved another $5 billion in share buybacks. [caption id=“attachment_305665” align=“alignleft” width=“380” caption=“A man holds a sign denouncing Rupert Murdoch’s News Corp during a demonstration in New York in July. Reuters”] [/caption] The company is embroiled in a phone hacking scandal that has shaken the New York-based media conglomerate, calling into question its leadership. Last week, a UK parliamentary select committee report said Murdoch was unfit to run a major international business. Investors shrugged off the report and have sent shares of News Corp up $1.02 to $20.40 in morning trade on the NASDAQ. Evercore Partners analyst Alan Gould reiterated News Corp’s “overweight” rating and $25 price target based on “the superior fundamental earnings growth and the aggressive buyback,” he wrote in a note. Reuters