With a market cap of $7.3 billion, New York-based Paramount Global (PARA) is a leading media and entertainment company, known for creating premium content across television, film, and digital platforms. Its diverse portfolio includes iconic brands like CBS, Paramount Pictures, Nickelodeon, MTV, and streaming services such as Paramount+ and Pluto TV. The company expected to release its fiscal Q1 2025 earnings results after the market closes on Thursday, May 8.
Ahead of this event, analysts expect Paramount Global to report an adjusted EPS of $0.35 per share, down 43.6% from $0.62 per share in the year-ago quarter. It has surpassed Wall Street's bottom-line estimates in three of the last four quarters while missing on another occasion.
For fiscal 2025, analysts expect PARA to report adjusted EPS of $1.63, up 5.8% from $1.54 in fiscal 2024. Moreover, adjusted EPS is expected to grow 16.6% year-over-year to $1.90 in fiscal 2026.
Paramount Global has declined 11.6% over the past 52 weeks, lagging behind the S&P 500 Index's ($SPX) 7.5% gain and the Communication Services Select Sector SPDR ETF Fund's (XLC) 15.3% increase over the same period.
Shares of PARA fell over 2% on Feb. 26 after its Q4 2024 results. The company reported an adjusted loss of $0.11 per share, missing the forecast. Despite a 5% year-over-year revenue increase to around $8 billion, also missed the estimate, and free cash flow plummeted 87.4% to $56 million, further rattling investor confidence. While streaming showed strong growth, continued declines in traditional TV media and advertising revenue highlighted structural challenges that overshadowed the company’s digital progress.
Overall, analysts' consensus view on Paramount Global stock is cautious, with a "Hold" rating. Out of 23 analysts covering the stock, three recommend a "Strong Buy," 11 suggest a "Hold," and nine propose a "Strong Sell." As of writing, PARA is trading below the average analyst price target of $11.94.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
