Fox Corp’s US$22b cash and stock move to acquire Roku has pushed streaming and digital media stocks back into the spotlight, with investors reassessing who might gain most from a reshaped connected TV market. With Fox shares down 8% in early trading and Roku stock halted ahead of the news, pricing expectations and deal risk are suddenly front and center. This article walks through 3 stocks from the Streaming and Digital Media Stocks screener that are directly exposed to this Fox and Roku story, to help you decide which opportunities or risks deserve a closer look next.

PubMatic (PUBM)

Overview: PubMatic is a US-based ad tech company that runs a cloud platform helping digital publishers and streaming services sell their ad space in real time to advertisers across mobile, desktop, video, and connected TV.

Operations: PubMatic generates about US$281.7 million in revenue from internet information provider services, with around US$153.4 million from the United States and the rest spread across EMEA, Asia-Pacific, and other regions.

Market Cap: US$527.1 million

Investors looking at the Fox and Roku deal may want to pay attention to PubMatic, because it already has deep ties into Roku’s ad ecosystem and focuses on programmatic tools that help monetize connected TV and premium video inventory. The company is still loss making and carries funding risk. Analysts expect earnings to improve and see scope for higher margins as more ad spend shifts to CTV, privacy focused formats, and AI driven campaign tools like AgenticOS and Decision Fabric. The combination of an active buyback program and a share price that sits well below some fair value estimates creates a mix of potential upside and execution risk that may warrant closer inspection before moving on.

PubMatic’s accelerating push into connected TV, AI tools and buybacks raises a key question: is the real story in its valuation or its earnings path, and how that ties into analyst forecasts for PubMatic?

Paramount Global (PARA)

Overview: Paramount Global is a media and entertainment company that owns CBS, Nickelodeon, MTV, Comedy Central, BET and the Paramount film studio, while running major streaming platforms such as Paramount+, Pluto TV and BET+ across TV, film and digital.

Operations: Paramount Global generates about US$17.8b in revenue from TV Media, US$8.1b from Direct to Consumer streaming, and US$3.0b from Filmed Entertainment, with minor corporate eliminations of US$135 million.

Market Cap: US$7.7b

Paramount Global gives investors a mix of free ad-supported streaming through Pluto TV, subscription growth potential with Paramount+, and a deep content library from Paramount Pictures and CBS that can be reused across platforms. At the same time, the company is still working through losses, higher debt reliance, and heavy content and sports rights spending that could affect cash flow. The stock trades at a sizeable discount to some fair value estimates, while analysts currently expect earnings and revenue to improve over time. This creates a gap between current sentiment and those expectations that investors following the Fox and Roku deal may want to understand in more detail before deciding how Paramount fits into their streaming exposure.

Paramount Global’s mix of discounted share price, large TV and streaming footprint, and analyst expectations for better earnings has many investors asking what the market is missing about its risk and reward trade off, which is exactly what the 3 key rewards and 2 important warning signs (1 is major!)

Integral Ad Science Holding (IAS)

Overview: Integral Ad Science Holding is a New York based digital advertising verification company that helps advertisers, agencies, and publishers ensure their ads appear in suitable, fraud free environments across desktop, mobile, connected TV, social media, and other digital formats, while measuring whether those ads are actually seen and driving attention.

Operations: Integral Ad Science generates about US$590.7 million in revenue from internet software and services, with roughly US$393.8 million from the United States, US$141.1 million from EMEA, and US$38.1 million from APAC, after minor segment adjustments.

Market Cap: US$1.7b

Integral Ad Science Holding sits at the junction of growing digital ad complexity and brand safety concerns, offering verification and optimization tools that advertisers increasingly treat as essential. Recent product launches with YouTube, Meta and major streaming platforms through IAS Total TV show how deeply the company is tying into audio, social and connected TV campaigns, exactly where Fox and Roku’s combined reach may focus new ad budgets. At the same time, a relatively high P/E, reliance on large platform partners, insider selling and funding risk linked to external borrowings mean the story is not risk free. For investors, a key consideration is how IAS’s expanding role across large ecosystems compares with those pressure points over time.

Integral Ad Science Holding’s growing role across YouTube, Meta and major streaming platforms could be masking a far bigger story about scale versus partner risk, which the analysis report for Integral Ad Science Holding starts to unpack before it raises an even tougher question for investors

The three stocks here are only a starting point, as the full Streaming and Digital Media Stocks screener surfaces 40 more companies with digital media scale and storylines that may be just as compelling. You can use Simply Wall St to identify the specific catalysts and narratives that matter to you, and then analyze and filter for ideas in streaming and digital media in a few focused steps.

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If PubMatic or any of these companies sound like a great opportunity, register for FREE with Simply Wall St and add your companies to a Watchlist to monitor the share price against the fair value the ideal entry point. Once you've made your move, manage your holdings with our Portfolio Command Center that filters out the noise to deliver only the most critical, actionable updates. Throughout your journey, our Community allows you to filter the best ideas from thousands of investor perspectives. By uncovering hidden catalysts and risks early, you'll accelerate your decision-making and stay one step ahead of the market.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.