Optimistic Buy Rating for CuriosityStream Driven by Promising Content Licensing Strategy and Revenue Growth Potential

CuriosityStream (CURI – Research Report), the Communication Services sector company, was revisited by a Wall Street analyst today. Analyst Patrick Sholl from Barrington maintained a Buy rating on the stock and has a $6.00 price target.

Patrick Sholl’s rating is based on the promising growth potential of CuriosityStream’s content licensing strategy, which is expected to become a significant revenue driver in 2025. The company’s focus on licensing content for AI model training and its ability to aggregate valuable rights from various partners position it well for future monetization opportunities. Additionally, CuriosityStream’s core business in non-fiction content provides a stable cash flow, differentiating it from competitors who focus on scripted content.
The company also has potential growth in advertising revenue through its ad-supported channels on FAST services and AVOD distribution. Despite some risks associated with the sustainability of content licensing and the softening of the Direct Business, the company’s strategic decisions, such as lowering its cash cushion, reflect confidence in maintaining regular dividends. Overall, these factors contribute to the Buy rating, indicating optimism about CuriosityStream’s future performance.