Fubo stock price rises 3% on FY2026 EBITDA guidance

Investing.com – Fubo (NYSE:FUBO) shares rose 3% on Monday, after the company announced its adjusted EBITDA guidance for fiscal year 2026 of $80 million to $100 million.

The streaming company also set an adjusted EBITDA target for fiscal year 2028 of at least $300 million, and expects to generate positive free cash flow starting in fiscal year 2027, based on its current operating plan.

Fubo generated $59 million in unaudited adjusted EBITDA in fiscal year 2025. Based on the midpoint of its fiscal year 2026 guidance and its fiscal year 2028 target, the company expects its adjusted EBITDA compound annual growth rate to exceed 80%.

The company expects to have at least $200 million in cash and cash equivalents by the end of fiscal year 2026, compared with $274 million as of September 30, 2025. Fubo noted that, to date in the current fiscal year, it has paid about $50 million for litigation and transaction-related expenses.

Fubo currently has about $323 million in debt, with no debt maturities before 2029. The company expects to reach a net cash position in fiscal year 2028 and expects, based on its current operating plan, that it will not require additional external financing before fiscal year 2028.

The company’s fiscal year 2028 adjusted EBITDA forecast is supported by contractual wholesale fees agreed in the company’s commercial agreement with Hulu. Fubo charges wholesale fees based on the proportion of Hulu + Live TV transmission costs; this proportion increases from 95% in 2026 to 97.5% in 2027, and reaches 99% in fiscal year 2028 and thereafter.

The company also recently secured broadcast rights for its Fubo streaming service for 17 professional baseball teams, including adding SNY in New York and adding Spectrum SportsNet LA for broadcasts involving the Los Angeles Dodgers.

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