What would a Disney buyout mean for Fubo investors?

Historically Disney buyouts happen in phases. Whether it is BAMtech or Hulu. Eventually it does happen. In all these cases Disney pays cash to the shareholders. Not Disney stocks.

So it is important to think about the amount that Disney might consider paying in order to escape the loss during a sale event.

Few things to factor in:

1. Disney has already paid 70 M + 140 Million. To get the 1.4 M * 30% subscribers (420K subscribers Disney might probably try to cap it around 1B - 800 M.
2. If Disney announces an offer for the remaining shares, the stock price would likely settle between $11.00 and $18.00,

Depending on the valuation model used: 20%–30% standard premium -> A typical acquisition premium on the current $9.87 price would put the stock in the $11.00–$12.00 range.

Whereas 1.0x Price-to-Sales (P/S) Target: Analysts often value scaled streaming services at 1x revenue. Based on the combined entity's $6.2 billion annual pro forma revenue, this would imply a total market cap of $6.2 billion, or approximately $17.50–$18.00 per share.

Realistically, It looks like $18 is the best thing that can eventually happen to this stock.