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On Monday, investors buying News Corp. stock were paying the equivalent of $5.80 for every $1 of operating earnings that the combined company is expected to generate this year, according to Gould. That’s 20 percent lower, or $1.50 less, than investors are paying for more pure play TV and film companies like CBS Corp. and Viacom Inc.

Do the math on News Corp.’s expected $6 billion in operating earnings this year, and that means the company is being valued $9 billion less than its TV and film rivals. Gould says the idea behind the split is to capture some of that $9 billion. He believes the company could do it and is recommending that his investing clients buy the stock.

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Business Writer Bernard Condon in New York and Associated Press writer Raphael Satter in London contributed to this report.