Paramount Skydance (PSKY) AI Stock Analysis

• Market Cap: $17.17B
• Dividend Yield: 1.25%
• Average Volume (3M): 6.73M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.19
• Revenue Growth: -0.48%
• EPS Growth: 97.09%
• Country: US
• Employees: 18,600
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.03
• Shares Outstanding: 1,071,667,000
• 10 Day Avg. Volume: 7,727,276
• 30 Day Avg. Volume: 6,727,502
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.42
• Price to Sales (P/S): 0.23
• P/FCF Ratio: 13.88
• Enterprise Value/Market Cap: 1.95
• Enterprise Value/Revenue: 1.17
• Enterprise Value/Gross Profit: 3.67
• Enterprise Value/Ebitda: 19.28
• 1Y Price Target: $14.36
• Price Target Upside: -10.36% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 14
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: $15.50 ▼(-3.25% Downside)

Paramount Skydance's overall stock score reflects a company facing significant challenges in profitability and growth, as highlighted by its financial performance and valuation metrics. While the earnings call provided some positive insights, such as subscriber growth and efficiency improvements, the technical analysis indicates bearish momentum. The negative P/E ratio and modest dividend yield further underscore the risks. The company's strategic initiatives and content investments offer potential, but substantial hurdles remain.

Positive Factors

Subscriber Growth

Strong subscriber growth enhances recurring revenue streams and strengthens PSKY's competitive position in the streaming market.

Strategic Partnerships

The UFC partnership expands content offerings and market reach, potentially increasing subscriber base and engagement.

Content Investment

Significant content investment supports long-term growth by enhancing the quality and diversity of offerings, attracting more subscribers.

Negative Factors

Revenue Growth Challenges

Inconsistent revenue growth indicates potential difficulties in maintaining market share and adapting to industry shifts, impacting long-term stability.

Debt Levels

High debt levels may limit financial flexibility and increase vulnerability to economic downturns, affecting long-term financial health.

Cable Network Decline

Declining cable networks highlight the need for successful transition to streaming, posing challenges in revenue diversification.

Paramount Skydance Business Overview & Revenue Model

Company Description

Paramount Skydance Corporation operates as a media, streaming, and entertainment company worldwide. It operates through TV Media, Direct-to-Consumer, and Filmed Entertainment segments. The TV Media segment operates CBS Television Network, a domestic broadcast television network; CBS Stations, a television station; and international free-to-air networks comprising Network 10, Channel 5, Telefe, and Chilevisión; and domestic premium and basic cable networks, such as Nickelodeon, MTV, CMT, Comedy Central, BET, Paramount+ with SHOWTIME, Paramount Network, The Smithsonian Channel, BET Media Group, CBS Sports Network, and international extensions of these brands. This segment also provides domestic and international television studio operations, including CBS Studios, Paramount Television Studios, and Showtime/MTV Entertainment Studios; CBS Media Ventures, which produces and distributes first run syndicated programming; and digital properties consist of CBS News Streaming and CBS Sports HQ. The Direct-to-Consumer segment offers a portfolio of domestic and international pay and free streaming services, including Paramount+, Pluto TV, and BET+. The Filmed Entertainment segment produces and acquires films, series, and short-form content for release and licensing around the world, including in theaters, on streaming services, on television, through digital home entertainment, and DVDs/Blu-rays; and operates a portfolio consist of Paramount Pictures, Paramount Players, Paramount Animation, Nickelodeon Studio, Awesomeness, and Miramax. It provides production, distribution, and advertising solutions. The company was formerly known as ViacomCBS Inc. and changed its name to Paramount Global in February 2022. The company was founded in 1914 and is headquartered in New York, New York. Paramount Global is a subsidiary of National Amusements, Inc.

How the Company Makes Money

Paramount Skydance generates revenue through multiple streams, primarily from the production and distribution of films and television shows. The company earns money by licensing its content to streaming platforms, television networks, and international distributors. Additionally, PSKY engages in merchandising and branding opportunities related to its popular franchises and characters. Revenue is further bolstered by partnerships with major studios, investors, and co-production deals that allow for shared financial risk and expanded market reach. The firm also explores digital content monetization, including advertising revenue from online platforms, enhancing its earnings potential in the digital space.

Paramount Skydance Financial Statement Overview

Summary

Paramount Skydance's financial statements reflect challenges in profitability and growth. Despite operational improvements in EBIT and EBITDA margins, the negative net profit margin and stagnant revenue growth are concerning. The balance sheet shows moderate leverage and stable asset management, but the negative return on equity highlights profitability issues. Cash flow management is adequate, but the company needs to enhance cash generation to support growth and profitability.

Income Statement

Paramount Skydance's income statement shows a mixed performance. The TTM data reveals a stagnant revenue growth rate, indicating challenges in expanding sales. The gross profit margin has decreased over the years, reflecting increased cost pressures. The net profit margin is negative, highlighting ongoing profitability issues. However, there is a slight improvement in EBIT and EBITDA margins in the TTM period compared to the previous year, suggesting some operational efficiency gains.

Balance Sheet

The balance sheet presents a moderate financial position. The debt-to-equity ratio has improved slightly in the TTM period, indicating better leverage management. However, the return on equity remains negative, pointing to challenges in generating returns for shareholders. The equity ratio is stable, suggesting a balanced asset structure. Overall, the company shows some stability but faces profitability challenges.

Cash Flow

Cash flow analysis indicates a stable but not strong cash position. The free cash flow growth rate is stagnant in the TTM period, and the operating cash flow to net income ratio is low, reflecting limited cash generation relative to net income. The free cash flow to net income ratio is relatively healthy, suggesting some efficiency in converting profits into cash. Overall, cash flow management appears adequate but not robust.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	28.76B	29.21B	29.65B	30.15B	28.59B	25.29B
Gross Profit	9.14B	8.66B	7.26B	10.31B	10.84B	10.29B
EBITDA	1.74B	-4.92B	85.00M	2.60B	6.58B	4.61B
Net Income	150.00M	-6.19B	-608.00M	1.10B	4.54B	2.42B
Balance Sheet
Total Assets	43.18B	46.17B	53.54B	58.39B	58.62B	52.66B
Cash, Cash Equivalents and Short-Term Investments	3.26B	2.66B	2.46B	2.88B	6.27B	2.98B
Total Debt	14.73B	15.83B	15.86B	17.27B	19.31B	21.32B
Total Liabilities	29.91B	29.39B	30.49B	34.79B	35.65B	36.61B
Stockholders Equity	12.01B	16.32B	22.53B	23.04B	22.40B	15.37B
Cash Flow
Free Cash Flow	507.00M	489.00M	147.00M	-139.00M	599.00M	1.97B
Operating Cash Flow	772.00M	752.00M	475.00M	219.00M	953.00M	2.29B
Investing Cash Flow	122.00M	12.00M	942.00M	-526.00M	2.40B	56.00M
Financing Cash Flow	-528.00M	-507.00M	-1.84B	-2.98B	-152.00M	-90.00M

Paramount Skydance Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.02
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PSKY, the sentiment is Positive. The current price of 16.02 is above the 20-day moving average (MA) of 15.53, below the 50-day MA of 16.88, and above the 200-day MA of 13.56, indicating a neutral trend. The MACD of -0.19 indicates Negative momentum. The RSI at 51.12 is Neutral, neither overbought nor oversold. The STOCH value of 62.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PSKY.

Paramount Skydance Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOXA	77 Outperform	$27.37B	14.74	17.33%	0.84%	14.91%	9.30%
DIS	76 Outperform	$186.51B	15.25	11.78%	0.95%	3.61%	152.34%
WBD	70 Outperform	$59.47B	127.93	1.36%	―	-4.29%	―
NFLX	69 Neutral	$455.85B	44.94	42.86%	―	15.49%	35.54%
WMG	63 Neutral	$14.75B	40.72	61.97%	2.62%	4.37%	-16.22%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
PSKY	50 Neutral	$17.17B	―	-1.90%	1.25%	-0.48%	97.09%

Paramount Skydance Corporate Events

Paramount Skydance Appoints Dennis Cinelli to Board

On September 12, 2025, Paramount Skydance Corporation announced the appointment of Dennis Cinelli to its Board of Directors and the Audit Committee, replacing Sherry Lansing in the latter role. This strategic decision aligns with the company’s governance structure, as Cinelli was nominated by Ellison and is eligible for the Non-Employee Director Compensation Program, which includes stock units and potential future awards.

The most recent analyst rating on (PSKY) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Paramount Skydance stock, see the PSKY Stock Forecast page.