Where Will FuboTV Stock Be in 3 Years?

Reuben Gregg Brewer, The Motley Fool

Sat, Apr 26, 2025, 5:28 PM 4 min read

Up until 2025, FuboTV (NYSE: FUBO) was something of an also-ran in the streaming wars. It was attempting to build an independent streaming service even as content giants like Walt Disney (NYSE: DIS) were building their own services. FuboTV has posted a lot of red ink and has less than 1.7 million customers to show for it. But things are likely to change materially now that FuboTV and Disney have inked a deal around Hulu. But what exactly will FuboTV look like in three years?

To be completely fair, FuboTV has actually done something pretty impressive. In a media world dominated by giant content companies like Disney, it has built a loyal subscriber base with an independent streaming service. Given the nature of subscriber services, that has created an annuity-like income stream for the company. Indeed, revenue has grown steadily over the past five years.

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That said, building a media business is not an easy task. And the growing revenue has not translated into a consistently profitable business. Simply put, it hasn't yet achieved the scale it needs to compete with the industry giants. More investment, largely on the content side, is needed. Based on this background alone, FuboTV probably isn't a particularly attractive investment choice.

But things changed at the start of 2025. That was when FuboTV and Disney announced that FuboTV would be merging with Hulu. FuboTV will run the combined businesses, but operate the two as separate entities. FuboTV's subscriber count is expected to rise to around 6.2 million once the deal is fully consummated.

FuboTV's merger with Hulu will dramatically increase its size and scale. And the agreement comes along with a capital infusion of around $220 million. There's also the opportunity to take a loan from Disney to the tune of $145 million. So FuboTV will hit the ground with a pile of cash to support its larger operations. That's important since the company ended 2024 with roughly $160 million of cash on its balance sheet, down from about $245 million the year before.

But there's a bigger question here when you consider what FubuTV's business will look like in three years. Assuming the Hulu deal is completed, 70% of FuboTV's stock will be owned by Disney. And Disney will have the right to appoint a majority of the board of directors. And then there's that $145 million loan that Disney will have provided to FuboTV.