Paul Kagan: “At an effective $60.36/sh., Murdoch’s gross cost of acquiring Dow Jones will be $5.058 billion, 18.4x projected EBITDA of $275 mil. and 41.6x est. earnings of $1.45.  The multiples might be even higher, if the traumatic jolts to the seller’s operations this summer shake up its workers, slow down its revenues and impact its profits.  But long term, it won’t matter. News Corp.‘s price will drop when it sells off assets it doesn’t care about. For example, some tradition-hungry family members could remain in the business if they used some of their gains to buy back Barron’s.  The Ottaway newspapers, which opposed the deal, will surely be sold, as could the Factiva data unit.” He owns shares in NWS. The biggest reason the multiples of a stagnant business don’t count: The Wall St. Journal and Dow Jones brand will eventually give Murdoch’s Fox Business Channel (soon to be launched) the machete it needs to cut into CNBC’s global news market share.”

David Carr, NYT: “... his purchase is a reminder that the unthinkable is often doable, given the loot and the will.”