The biggest risk is that they are paying out a good dividend yield and buying back substantial shares each year.
So the longer it takes the above to play out, the more you are just bleeding money over time.
Also their revenues have been growing every year since the fairfax acquisition. So much for irreversible decline?
People are always going to watch their news, sports, reality TV, etc on live TV. My friends in Gen Z still watch 9Now or 7plus for sports like AFL, tennis, etc.
I read the AFR, yes you can get around paywalls but like adblocking not everyone knows that. I don't think the sustainable equilibrium is 100% of people getting around the paywall. Just like youtube can still exist even though you can use adblock.
NEC Price at posting:
$2.07 Sentiment: Hold Disclosure: Held
(20min delay)