- Fubo announced a reverse split plan for its Class A and B shares in February.
- Trading will commence on Tuesday on a split-adjusted basis, with the stock retaining its current ticker symbol.
- A reverse split reduces the share count while raising the price; FuboTV combined 12 shares into one.
FuboTV Inc. (FUBO) is drawing attention after moving forward with a share restructuring, finalizing a reverse stock split to consolidate its outstanding shares.
The move follows earlier approvals by both its board and a key shareholder, signaling a strategic effort to adjust its market positioning.
Shareholder Approval And Board Action
The company confirmed on Monday that Hulu, LLC, which holds sufficient voting power, provided written consent to authorize the stock split. This action followed recommendations from FuboTV’s board and audit committee, culminating in a finalized decision on March 20, to implement a 1-for-12 reverse split.
FuboTV formally submitted its Certificate of Amendment on Monday. Shares will begin trading on a split-adjusted basis on Tuesday under the existing ticker symbol. The company also issued a new CUSIP number to reflect the updated structure.
What Are Stocktwits Users Saying?
On Stocktwits, retail sentiment around the stock remained in ‘bearish’ territory while message volume improved to ‘high’ from ‘low’ levels in 24 hours.
A Stocktwits user expressed concern about the stock’s value after the split.
However, a bullish user expects the stock to perform well.
What The Reverse Split Means
A reverse stock split reduces the number of shares in circulation while proportionally increasing the stock price. In FuboTV’s case, every 12 shares were consolidated into one. Companies often pursue such actions to meet exchange listing requirements or to improve perceived share value.
Alongside the split, the company amended its certificate of incorporation to reaffirm its authorized share count. FuboTV retains the ability to issue billions of shares of Class A and Class B common stock, as well as preferred stock, preserving flexibility for future financing or strategic initiatives.
In October, FuboTV and The Walt Disney Company (DIS) completed the merger of Fubo’s platform with Hulu + Live TV, forming a combined streaming business that blends Fubo’s sports-focused offerings with Hulu + Live TV’s broader entertainment lineup.
In the first quarter (Q1), Fubo reported a 40% year-on-year jump in revenue to $1.549 billion. FUBO stock has gained over 303% in the last 12 months.
Also See: AMC Stock Rises Premarket: ‘Project Hail Mary’ Breakout Opening Fuels 70% Ticket Revenue Jump
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