| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 0/6 |
| Past Performance | 4/6 |
| Financial Health | 3/6 |
| Dividends | 4/6 |
PARA Stock Overview
Paramount Global operates as a media and entertainment company worldwide.
Paramount Global Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$25.21 |
| 52 Week High | US$44.23 |
| 52 Week Low | US$23.69 |
| Beta | 1.57 |
| 1 Month Change | -18.15% |
| 3 Month Change | -31.57% |
| 1 Year Change | -42.91% |
| 3 Year Change | -51.89% |
| 5 Year Change | -60.42% |
| Change since IPO | -0.71% |
Recent News & Updates
Mediacom, Paramount renew channel carriage deal
Mediacom Communications, the nation's No. 5 cable operator, has renewed its carriage deal with Paramount Global (NASDAQ:PARA) (NASDAQ:PARAA). Financial terms weren't disclosed. The deal means Mediacom will continue to carry the Paramount portfolio, including BET, CBS Sports Network, CMT, Comedy Central, MTV, Nickelodeon, Paramount Network, Pop TV, and Smithsonian Channel as well as rights to streaming offering Showtime OTT. Also included are retransmission consent rights to the CBS stations owned and operated by Paramount.
When Should You Buy Paramount Global (NASDAQ:PARA)?
Let's talk about the popular Paramount Global ( NASDAQ:PARA ). The company's shares saw significant share price...
Paramount Global: Hard To Justify A Buy Now
This is a dedicated price action analysis on PARA stock. We discuss the critical levels investors should watch to help them with their decision-making. We discuss why Paramount Global's weak free cash flow profitability has not convinced us that it's undervalued at its current levels. Our price action analysis indicates a long-term bearish bias, filled with a series of bull traps. Furthermore, no bear trap price action has formed. Therefore, we think it's appropriate to rate PARA as a Hold now. We expect a near-term bottom but don't see a bear trap trigger.
Shareholder Returns
| PARA | US Media | US Market | |
|---|---|---|---|
| 7D | -3.0% | 0.9% | -2.2% |
| 1Y | -42.9% | -33.2% | -21.2% |
Return vs Industry: PARA underperformed the US Media industry which returned -33.2% over the past year.
Return vs Market: PARA underperformed the US Market which returned -21.2% over the past year.
Price Volatility
| PARA volatility | |
|---|---|
| PARA Average Weekly Movement | 7.9% |
| Media Industry Average Movement | 8.1% |
| Market Average Movement | 8.1% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.3% |
Stable Share Price: PARA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: PARA's weekly volatility (8%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1986 | 22,965 | Bob Bakish | https://www.paramount.com |
Paramount Global operates as a media and entertainment company worldwide. The company distributes a schedule of news and public affairs broadcasts, and sports and entertainment programming; acquires or develops, and schedules programming on the CBS Television Network that includes primetime comedies and dramas, reality, specials, kids’ programs, daytime dramas, game shows, and late night programs; produces or distributes talk shows, court shows, game shows, and newsmagazines; owns and operates 29 broadcast television stations; and operates CBS Sports Network, a 24-hour cable channel that provides sports and related content, as well as streaming and cable subscription services. It also operates Paramount+, a digital subscription video on-demand and live streaming services; and creates and acquires programming for distribution and viewing on various media platforms, including subscription cable networks, subscription streaming, and premium and basic cable networks.
Paramount Global Fundamentals Summary
| PARA fundamental statistics | |
|---|---|
| Market Cap | US$16.47b |
| Earnings (TTM) | US$3.82b |
| Revenue (TTM) | US$28.50b |
4.3x
P/E Ratio0.6x
P/S RatioIs PARA overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| PARA income statement (TTM) | |
|---|---|
| Revenue | US$28.50b |
| Cost of Revenue | US$18.18b |
| Gross Profit | US$10.33b |
| Other Expenses | US$6.51b |
| Earnings | US$3.82b |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
Aug 04, 2022
| Earnings per share (EPS) | 5.88 |
| Gross Margin | 36.23% |
| Net Profit Margin | 13.39% |
| Debt/Equity Ratio | 72.2% |
How did PARA perform over the long term?
See historical performance and comparisonDividends
3.8%
Current Dividend Yield16%
Payout RatioValuation
Is PARA undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for PARA?
Other financial metrics that can be useful for relative valuation.
| What is PARA's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$16.47b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.1x |
| Enterprise Value/EBITDA | 8.2x |
| PEG Ratio | -2.8x |
Price to Earnings Ratio vs Peers
How does PARA's PE Ratio compare to its peers?
| PARA PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 17x | ||
FOXA Fox | 16x | 11.0% | US$17.8b |
NXST Nexstar Media Group | 7.7x | 6.0% | US$6.8b |
TGNA TEGNA | 9.4x | 8.0% | US$4.7b |
IHRT iHeartMedia | 35.1x | 30.7% | US$1.4b |
PARA Paramount Global | 4.3x | -1.5% | US$16.5b |
Price-To-Earnings vs Peers: PARA is good value based on its Price-To-Earnings Ratio (4.3x) compared to the peer average (17x).
Price to Earnings Ratio vs Industry
How does PARA's PE Ratio compare vs other companies in the US Media Industry?
Price-To-Earnings vs Industry: PARA is good value based on its Price-To-Earnings Ratio (4.3x) compared to the US Media industry average (13.5x)
Price to Earnings Ratio vs Fair Ratio
What is PARA's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 4.3x |
| Fair PE Ratio | 19.5x |
Price-To-Earnings vs Fair Ratio: PARA is good value based on its Price-To-Earnings Ratio (4.3x) compared to the estimated Fair Price-To-Earnings Ratio (19.5x).
Share Price vs Fair Value
What is the Fair Price of PARA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: PARA ($25.21) is trading below our estimate of fair value ($101.93)
Significantly Below Fair Value: PARA is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: PARA's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Discover undervalued companies
Future Growth
How is Paramount Global forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?
Future Growth Score
0/6Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
-1.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PARA's earnings are forecast to decline over the next 3 years (-1.5% per year).
Earnings vs Market: PARA's earnings are forecast to decline over the next 3 years (-1.5% per year).
High Growth Earnings: PARA's earnings are forecast to decline over the next 3 years.
Revenue vs Market: PARA's revenue (4.9% per year) is forecast to grow slower than the US market (8.2% per year).
High Growth Revenue: PARA's revenue (4.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PARA's Return on Equity is forecast to be low in 3 years time (7.2%).
Discover growth companies
Past Performance
How has Paramount Global performed over the past 5 years?
Past Performance Score
4/6Past Performance Score 4/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
10.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PARA has a large one-off gain of $2.2B impacting its March 31 2022 financial results.
Growing Profit Margin: PARA's current net profit margins (13.4%) are higher than last year (10.3%).
Past Earnings Growth Analysis
Earnings Trend: PARA's earnings have grown by 10.6% per year over the past 5 years.
Accelerating Growth: PARA's earnings growth over the past year (41.1%) exceeds its 5-year average (10.6% per year).
Earnings vs Industry: PARA earnings growth over the past year (41.1%) exceeded the Media industry 18.8%.
Return on Equity
High ROE: PARA's Return on Equity (17%) is considered low.
Discover strong past performing companies
Financial Health
How is Paramount Global's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: PARA's short term assets ($15.4B) exceed its short term liabilities ($9.7B).
Long Term Liabilities: PARA's short term assets ($15.4B) do not cover its long term liabilities ($25.1B).
Debt to Equity History and Analysis
Debt Level: PARA's net debt to equity ratio (49.4%) is considered high.
Reducing Debt: PARA's debt to equity ratio has reduced from 308.2% to 72.2% over the past 5 years.
Debt Coverage: PARA's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: PARA's interest payments on its debt are well covered by EBIT (3.6x coverage).
Balance Sheet
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Dividend
What is Paramount Global current dividend yield, its reliability and sustainability?
Dividend Score
5/6Dividend Score 5/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
3.81%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PARA's dividend (3.81%) is higher than the bottom 25% of dividend payers in the US market (1.6%).
High Dividend: PARA's dividend (3.81%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Stability and Growth of Payments
Stable Dividend: PARA's dividends per share have been stable in the past 10 years.
Growing Dividend: PARA's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its low payout ratio (16.3%), PARA's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: PARA is paying a dividend but the company has no free cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.6yrs
Average management tenure
CEO
Bob Bakish (58 yo)
2.58yrs
Tenure
US$20,035,212
Compensation
Mr. Robrt Marc Bakish, also known as Bob, has been President, Chief Executive Officer and Director of Paramount Global (formerly known as ViacomCBS Inc.) since December 4, 2019. Mr. Bakish served as the Ch...
CEO Compensation Analysis
Compensation vs Market: Bob's total compensation ($USD20.04M) is above average for companies of similar size in the US market ($USD13.34M).
Compensation vs Earnings: Bob's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: PARA's management team is considered experienced (2.6 years average tenure).
Board Members
Experienced Board: PARA's board of directors are considered experienced (3.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Paramount Global's employee growth, exchange listings and data sources
Key Information
- Name: Paramount Global
- Ticker: PARA
- Exchange: NasdaqGS
- Founded: 1986
- Industry: Broadcasting
- Sector: Media
- Implied Market Cap: US$16.471b
- Shares outstanding: 649.10m
- Website: https://www.paramount.com
Number of Employees
Location
- Paramount Global
- 1515 Broadway
- New York
- New York
- 10036
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/07/04 00:00 |
| End of Day Share Price | 2022/07/01 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.