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FuboTV is being merged with Disney’s Hulu streaming service.
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FuboTV’s first-quarter results weren’t as strong as they may have seemed.
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The company’s subscriber count was weak.
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10 stocks we like better than fuboTV ›
FuboTV (NYSE: FUBO) made headlines in early 2025 when it agreed to merge with Disney‘s (NYSE: DIS) Hulu streaming service. This is a very big deal for FuboTV, and the stock has risen dramatically since the agreement was announced. Should interested investors buy now before the deal is done, or does it make more sense to wait and see what happens?
FuboTV says it has “a global mission to aggregate the best in TV, including premium sports, news and entertainment content, through a single app.” In the U.S. market, the product it sells is “a sports-first cable TV replacement product.” Basically, it is competing with the major content providers with an aggregated cable replacement for so-called cord-cutters.
That’s not exactly a bad plan, but it is still a fairly big project to undertake since companies like Disney, among many others, have created compelling streaming products of their own. And cable providers are increasingly offering their services through the web, as well. Notably, even if a consumer uses FuboTV, they still need a connection to the internet to make it work. Cable and phone providers are still how large numbers of consumers reach the web.
Disney is a media titan with massive content franchises. Hulu was an early effort to break into the streaming world, with multiple original partners. At this point, Hulu’s partners have stepped back, preferring to start their own streaming services. That includes Disney. Merging FuboTV with Hulu, with Disney ending up retaining a 70% stake in the company, seems more likely to benefit Disney than Hulu or FuboTV.
That’s because FuboTV could end up being a mere vassal of Disney. In that scenario, Disney could sell content to FuboTV with costs so high that FuboTV barely makes a profit. Another scenario to consider is that Disney simply sells its stake in FuboTV, leaving FuboTV with a larger business, but one that is still at a strategic disadvantage as content makers push their own streaming products.
The interesting thing is that FuboTV didn’t have a great first quarter in 2025. For example, the company reported GAAP earnings of $0.55 per share in the first quarter. But if you remove one-time items, the company actually lost $0.02 a share. That was an improvement from an adjusted loss of $0.14 a year earlier, but FuboTV is still a money-losing venture. Worse, FuboTV’s subscriber base declined year over year in the first quarter. The first-quarter showing suggests it isn’t entering into the Hulu pairing on the strongest footing.
