Last Updated: 09 Nov 2024
Executive Summary
Paramount Global Class B (PARA) is a global media and entertainment company with a market capitalization of $8.02 billion. The company has been facing challenges in recent quarters, with declining revenue and earnings. However, the company is expected to return to profitability in 2024. The stock is currently trading at $11.07, below its 52-week high of $17.20. Analysts have a mixed view on the stock, with some recommending a buy and others recommending a hold.
Company Overview
Paramount Global is a global media and entertainment company. The company's operations include:
Television broadcasting: Paramount Global owns and operates a portfolio of television networks, including CBS, Showtime, and MTV.
Film production: Paramount Global produces and distributes films through its Paramount Pictures studio.
Streaming: Paramount Global operates a streaming service called Paramount+.
Fundamental Analysis
Paramount Global's financial performance has been mixed in recent quarters. The company's revenue has declined in each of the past four quarters. In the most recent quarter, the company reported revenue of $29.27 billion, down 0.1% year-over-year. The company's earnings have also declined in recent quarters. In the most recent quarter, the company reported a loss per share of $0.88, compared to earnings per share of $1.28 in the prior-year quarter.
Despite the recent challenges, Paramount Global is expected to return to profitability in 2024. The company is expected to benefit from the growth of its streaming service, Paramount+. The company is also expected to benefit from the launch of new streaming services, such as Paramount+ with Showtime.
Technical Analysis
The technical analysis of Paramount Global's stock is mixed. The stock is currently trading below its 50-day and 200-day moving averages. The stock is also trading below its 52-week high. However, the stock is trading above its 52-week low.
The relative strength index (RSI) is a technical indicator that measures the momentum of a stock. The RSI is currently at 38.67, which indicates that the stock is oversold. This suggests that the stock may be due for a rebound.
Short Term Outlook
The short-term outlook for Paramount Global's stock is mixed. The stock is currently trading below its 50-day and 200-day moving averages. This suggests that the stock may continue to decline in the short term. However, the stock is trading above its 52-week low. This suggests that the stock may have found support at this level.
Long Term Outlook
The long-term outlook for Paramount Global's stock is positive. The company is expected to benefit from the growth of its streaming service, Paramount+. The company is also expected to benefit from the launch of new streaming services, such as Paramount+ with Showtime.
Analyst Recommendations
Analysts have a mixed view on Paramount Global's stock. Some analysts recommend a buy, while others recommend a hold. The following table summarizes the analyst recommendations for the stock:
| Recommendation | Number of Analysts |
|---|---|
| Strong Buy | 2 |
| Buy | 2 |
| Hold | 13 |
| Sell | 7 |
| Strong Sell | 3 |
The average analyst target price for the stock is $11.95. This suggests that analysts believe that the stock is undervalued.
