Paramount Global (PARA) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Paramount Global (PARA) Media & Communications Profile

Paramount Global, a media and entertainment giant, delivers content across broadcast, cable, and streaming platforms, including Paramount+. With a diverse portfolio spanning film and television, the company navigates a dynamic industry landscape while competing with both traditional media conglomerates and emerging digital streaming services.

What Is the Investment Thesis for PARA?

Paramount Global presents a complex investment case. The company's extensive content library and established broadcast network provide a solid foundation, evidenced by its 1.80% dividend yield. However, the competitive streaming landscape and a negative profit margin of -2.1% pose challenges. Growth hinges on the continued expansion of Paramount+ and the successful monetization of its content across various platforms. The company's beta of 1.19 suggests a slightly higher volatility compared to the market. Investors should closely monitor subscriber growth, streaming profitability, and the company's ability to adapt to evolving consumer preferences.

Based on FMP financials and quantitative analysis

PARA Key Highlights

Market Cap of $4.69M reflects its position as a major media player.

• Gross Margin of 34.8% indicates the profitability of its content production and distribution.
• Dividend Yield of 1.80% provides a return for investors.
• Beta of 1.19 suggests slightly higher volatility compared to the market.
• Operates Paramount+, a key streaming service in a competitive market.

Who Are PARA's Competitors?

PARA is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are PARA's Key Strengths?

Extensive content library

• Established broadcast network
• Paramount+ streaming service
• Strong brand recognition

What Are PARA's Weaknesses?

Negative profit margin

• High debt levels
• Dependence on traditional media
• Intense competition in streaming

What Could Drive PARA Stock Higher?

Continued growth in Paramount+ subscriber base.

• Successful theatrical releases of major film franchises.
• Strategic partnerships to expand content distribution.
• Cost-cutting initiatives to improve profitability.

What Are the Key Risks for PARA?

Financial-distress signal — its Altman Z-Score of -7.62 sits in the distress zone (elevated bankruptcy risk).

• Negative return on equity (-4.6%) — the business is not currently generating profit on shareholder capital.
• Weak fundamentals — a Piotroski F-Score of 1/9 flags soft profitability, leverage or efficiency.
• Increased competition in the streaming market.
• Cord-cutting trend impacting traditional media revenue.
• High debt levels limiting financial flexibility.
• Dependence on advertising revenue subject to economic cycles.

What Are the Growth Opportunities for PARA?

• Expansion of Paramount+: Paramount+ represents a significant growth opportunity for Paramount Global. By investing in original content, expanding its library, and offering attractive subscription bundles, Paramount+ can attract new subscribers and increase its market share in the competitive streaming landscape. The global streaming market is projected to reach $149.74 billion in 2026, offering substantial growth potential.
• Content Licensing: Paramount Global can leverage its extensive content library by licensing its films and television shows to other platforms. This generates revenue and extends the reach of its content. The global content licensing market is expected to grow, driven by the increasing demand for content from streaming services and other media outlets.
• Theatrical Releases: Despite the rise of streaming, theatrical releases remain an important source of revenue for Paramount Global. By producing high-quality films with broad appeal, Paramount can attract audiences to theaters and generate box office revenue. The global box office is recovering from the pandemic and is expected to grow in the coming years.
• Advertising Revenue: Paramount Global generates advertising revenue from its broadcast television networks, cable channels, and streaming services. By attracting a large and engaged audience, Paramount can command premium advertising rates. The advertising market is evolving, with digital advertising becoming increasingly important.
• International Expansion: Paramount Global has the opportunity to expand its reach into new international markets. By tailoring its content offerings to local audiences and partnering with local distributors, Paramount can tap into new revenue streams. The international media and entertainment market is growing rapidly, driven by increasing internet penetration and rising disposable incomes.

What Threats Does PARA Face?

• Cord-cutting trend
• Increasing competition in streaming
• Economic downturn
• Changing consumer preferences

What Are PARA's Competitive Advantages?

• Extensive content library provides a competitive advantage.
• Established broadcast network ensures wide distribution.
• Paramount+ offers a direct-to-consumer streaming platform.
• Strong brand recognition enhances its market position.

What Does PARA Do?

Paramount Global, formerly ViacomCBS, stands as a prominent media and entertainment company with a rich history dating back to its incorporation in 1986. Headquartered in New York City, the company's operations span across the globe, distributing a wide array of news, sports, and entertainment programming. Paramount's core business revolves around the CBS Television Network, where it acquires, develops, and schedules programming, including primetime comedies, dramas, reality shows, and late-night programs. Beyond its broadcast network, Paramount Global produces and distributes talk shows, court shows, game shows, and newsmagazines. The company owns and operates 29 broadcast television stations and manages CBS Sports Network, a 24-hour cable channel dedicated to sports content. Paramount Global has also made significant strides in the streaming arena with Paramount+, a digital subscription video-on-demand and live streaming service. The company develops, produces, finances, acquires, and distributes films, further diversifying its content offerings. Paramount Global operates as a subsidiary of National Amusements, Inc.

What Products and Services Does PARA Offer?

• Distributes news and public affairs broadcasts.
• Offers sports and entertainment programming.
• Acquires and develops content for the CBS Television Network.
• Produces talk shows, court shows, game shows, and newsmagazines.
• Owns and operates 29 broadcast television stations.
• Operates CBS Sports Network, a 24-hour cable channel.
• Manages Paramount+, a digital subscription video-on-demand and live streaming service.
• Develops, produces, finances, acquires, and distributes films.

How Does PARA Make Money?

• Generates revenue through advertising on its broadcast and cable networks.
• Earns subscription fees from Paramount+ and other streaming services.
• Licenses its content to other platforms.
• Generates revenue from theatrical releases of its films.

What Industry Does PARA Operate In?

Paramount Global operates in the dynamic and competitive entertainment industry. The industry is characterized by the shift towards streaming services, increasing demand for original content, and evolving consumer preferences. Paramount faces competition from established media conglomerates like Disney and Warner Bros. Discovery, as well as tech giants like Netflix and Amazon. The company's success depends on its ability to create compelling content, attract and retain subscribers to Paramount+, and navigate the changing media landscape.

Who Are PARA's Key Customers?

• Viewers of its broadcast television networks and cable channels.
• Subscribers to Paramount+ and other streaming services.
• Moviegoers who attend theatrical releases of its films.
• Advertisers who purchase advertising time on its platforms.

Wall Street analysts project Paramount Global revenue of about $13.6M for fiscal 2026, with EPS near $-14.54. The estimate reflects 7 contributing analysts.

Paramount Global's Piotroski F-Score is 1/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of -7.62 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Paramount Global stands at -4.6%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -1.4%, showing how much profit it generates from its asset base. Its free cash flow yield is 2.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.10 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -9.3%, the inverse of the P/E and a quick read on earnings relative to price.

Paramount Global (PARA) Valuation Context

Valued at $4.69M, PARA is classified as a micro-cap stock. Relative to its peer group, PARA's quantitative score of 17/100 is below the peer average of 53/100.

Company Profile

Paramount Global operates in the Entertainment industry within the Communication Services sector. It is headquartered in New York City, US. The company is led by CEO Brian Robbins. PARA has traded publicly since 2005.

PARA Financials

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Common Questions About PARA (Communication Services)

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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