Corus Entertainment (CJR.B) AI Stock Analysis

• Market Cap: C$5.98M
• Dividend Yield: N/A
• Average Volume (3M): 183.02K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.38
• Revenue Growth: -11.27%
• EPS Growth: 57.50%
• Country: CA
• Employees: 2,610
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.01
• Shares Outstanding: 196,075,160
• 10 Day Avg. Volume: 285,596
• 30 Day Avg. Volume: 183,018
• PEG Ratio: <0.01
• Price to Book (P/B): -0.03
• Price to Sales (P/S): 0.02
• P/FCF Ratio: -0.57
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$0.01
• Price Target Upside: -75.00% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.15
• Revenue Forecast (FY): C$982.50M

• Rating: 41 Neutral
• Price Target: C$0.03 ▼(-27.50% Downside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is primarily weighed down by weak financial performance—declining revenue, large losses, negative equity, and recently negative operating/free cash flow. Technicals add only limited support with short-term stabilization but a broader downtrend and weak momentum. Valuation provides little offset because losses make P/E unreliable and no dividend yield is available.

Positive Factors

Diversified revenue streams

Multiple durable revenue pillars—advertising, subscriptions and content licensing—reduce reliance on any single income source. This breadth helps stabilize cash generation across ad cycles and subscription trends and enables cross-monetization of IP via partnerships and distribution deals over the medium term.

Owned content brands and production capability

Control of well-known channel brands and an in-house production studio (Nelvana) creates durable competitive advantages: proprietary content, licensing potential, and direct channel distribution. These assets support long-term audience retention, merchandising, and third-party licensing revenue streams.

Relatively healthy gross margins

A mid-40% gross margin indicates the core content and distribution model retains value despite operating pressures. If management stabilizes SG&A and scale, this gross profitability provides a structural cushion and a pathway to return to overall profitability without needing dramatic revenue expansion.

Negative Factors

Shrinking revenue base

Sustained revenue decline erodes scale advantages in advertising and distribution, weakens bargaining power with distributors and advertisers, and constrains reinvestment in content. Over months, continued top-line contraction can make margin recovery and deleveraging materially harder.

Negative shareholders' equity and high leverage

Negative equity and significant debt indicate a strained capital structure that limits financial flexibility. This increases refinancing and covenant risk, constrains strategic options like M&A or rightsized investments, and raises the cost of capital for executing a durable turnaround.

Recent negative operating and free cash flow

A shift to negative operating and free cash flow signals weakened cash generation and elevated liquidity risk. Persistently negative cash flow reduces ability to fund content investment and distribution, increasing reliance on external financing and making long-term recovery contingent on both revenue stabilization and cost cuts.

Corus Entertainment Business Overview & Revenue Model

Company Description

Corus Entertainment Inc., a media and content company, operates specialty and conventional television networks, and radio stations in Canada and internationally. It operates in two segments, Television and Radio. The Television segment operates 33 specialty television networks and 15 conventional television stations. It is also involved in the production and distribution of films and television programs, and animation software; and merchandise licensing and book publishing activities. In addition, this segment provides social digital agency and social influencer network, as well as media and technology services. Its primary brands include Global Television, W Network, OWN: Oprah Winfrey Network Canada, HGTV Canada, Food Network Canada, History, Showcase, Adult Swim, National Geographic, Disney Channel Canada, YTV, and Nickelodeon Canada. The Radio segment operates 39 radio stations that include a network of news-talk radio stations, as well as classic rock, country, new rock, and contemporary music formats. The company also provides children's animated content and related consumer products under the Babar, Franklin, Max & Ruby, Hardy Boys, Agent Binky: Pets of the Universe, and Esme and Roy brands; Toon Boom, a digital content and animation creation software; and Kids Can Press, a children's publishing press. Corus Entertainment Inc. was incorporated in 1998 and is headquartered in Toronto, Canada.

How the Company Makes Money

Corus Entertainment generates revenue through multiple streams, primarily from advertising sales, subscription fees, and content licensing. The advertising segment is a significant contributor, where the company sells ad space on its television networks and digital platforms to various advertisers targeting specific demographics. Subscription revenue comes from its specialty channels, where customers pay for access to premium content. Additionally, Corus leverages its production capabilities to create and license original programming and content to other broadcasters and platforms, further enhancing its revenue. Strategic partnerships with global media companies and digital platforms also play a crucial role in expanding its reach and monetizing its content across different channels.

Corus Entertainment Financial Statement Overview

Summary

Financials are under significant pressure: revenue is shrinking (~-5.3% TTM), net margin is deeply negative (~-29%), and the balance sheet shows negative shareholders’ equity with substantial debt. Cash flow has also deteriorated with operating and free cash flow turning negative in the latest periods, increasing liquidity and execution risk.

Income Statement

Profitability and growth have deteriorated meaningfully. Revenue has been shrinking (TTM (Trailing-Twelve-Months) down ~5.3% with declines also evident across recent annual periods), and the company is deeply loss-making with a TTM net margin around -29%. While gross margin is still relatively healthy in the mid-40% range, operating performance remains weak and volatile, with large net losses persisting versus positive profitability in 2021—indicating a challenged earnings profile and limited near-term consistency.

Balance Sheet

The balance sheet is highly pressured, highlighted by negative shareholders’ equity in the most recent annual and TTM periods, which materially raises financial risk and limits flexibility. Total debt remains substantial (TTM ~$1.14B) relative to the asset base (~$1.37B), and the shift from positive equity in 2023 to negative equity thereafter suggests worsening capitalization. While leverage ratios become less interpretable when equity is negative, the underlying message is clear: the capital structure is strained.

Cash Flow

Cash generation has weakened recently, with both operating cash flow and free cash flow turning negative in the latest annual period and remaining negative in TTM (Trailing-Twelve-Months). This marks a sharp reversal from 2022–2024 when the business produced positive operating cash flow and free cash flow. A key offset is that free cash flow compares favorably to reported net losses (free cash flow is less negative than earnings), but the near-term trend—negative cash flow—signals elevated execution and liquidity risk.

Breakdown	TTM	Aug 2025	Aug 2024	Aug 2023	Aug 2022	Aug 2021
Income Statement
Total Revenue	1.07B	1.13B	1.27B	1.51B	1.60B	1.54B
Gross Profit	456.55M	500.63M	740.50M	839.33M	971.36M	1.00B
EBITDA	332.17M	374.06M	-236.59M	401.30M	655.86M	1.03B
Net Income	-351.42M	-328.40M	-772.64M	-428.72M	-232.24M	172.55M
Balance Sheet
Total Assets	1.37B	1.27B	1.49B	2.75B	3.50B	3.86B
Cash, Cash Equivalents and Short-Term Investments	45.22M	59.55M	82.42M	56.16M	54.91M	43.69M
Total Debt	1.14B	1.20B	1.17B	1.22B	1.40B	1.49B
Total Liabilities	2.04B	1.93B	1.83B	2.29B	2.60B	2.64B
Stockholders Equity	-710.20M	-706.56M	-465.40M	317.75M	752.04M	1.07B
Cash Flow
Free Cash Flow	-64.34M	-31.58M	111.53M	106.03M	194.62M	244.65M
Operating Cash Flow	-47.54M	-14.91M	130.66M	122.67M	216.84M	274.49M
Investing Cash Flow	-17.71M	-8.24M	-29.55M	125.27M	25.17M	-29.53M
Financing Cash Flow	22.87M	288.00K	-73.64M	-246.69M	-230.78M	-247.18M

Corus Entertainment Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CJR.B, the sentiment is Negative. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.04, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 44.51 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CJR.B.

Corus Entertainment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Y	72 Outperform	C$185.60M	8.29	23.61%	8.77%	-7.80%	-58.83%
TVA.B	64 Neutral	C$37.59M	0.18	4.54%	―	-6.56%	46.49%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
CGX	47 Neutral	C$631.92M	-17.97	―	―	18.50%	31.15%
CJR.B	41 Neutral	C$5.98M	-0.16	―	―	-11.27%	57.50%

Corus Entertainment Corporate Events

Corus Secures Covenant Waivers to Maintain Liquidity During Recapitalization

Corus Entertainment, a major Canadian media and content provider with a broad portfolio of television, radio and streaming assets, continues to focus on distributing high-quality brands and programming across multiple platforms for global audiences.

The company has secured a new waiver and standstill agreement with lenders under its existing credit facility, following the expiry of a prior amendment, to maintain access to liquidity, including its revolving credit line. The agreement, which waives certain leverage and interest coverage covenants through May 30, 2026, supports Corus’s ongoing recapitalization efforts and offers near-term financial flexibility for operations and stakeholders.

The most recent analyst rating on ($TSE:CJR.B) stock is a Hold with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.

Corus Shareholders Overwhelmingly Back Board and Stock Option Plan at AGM

Corus Entertainment shareholders strongly backed the company’s slate of seven directors at its virtual annual general meeting held on February 26, 2026. Approximately 97.35% of Class A voting shares were represented, and each director nominee received about 99.68% support, underscoring solid investor confidence in the current board.

Shareholders also approved the appointment of auditors, authorized the board to set auditor compensation, and ratified unallocated entitlements under the company’s stock option plan for the next three years. The endorsements provide Corus with continued governance stability and flexibility to use equity-based incentives as it navigates the evolving media and content landscape.

The most recent analyst rating on ($TSE:CJR.B) stock is a Hold with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.

Corus Wins Strong Creditor Backing for Recapitalization Despite Class B Shareholder Shortfall

Corus Entertainment has reported the voting results on its proposed recapitalization transaction, a plan of arrangement aimed at reducing its third-party debt and other liabilities by more than $500 million and cutting annual cash interest payments by up to $40 million. The resolution received overwhelming support from senior noteholders and Class A voting shareholders but fell short of the required two-thirds approval threshold among Class B non-voting shareholders. Despite this, the company intends to proceed by seeking court approval for the arrangement in March 2026, emphasizing that the transaction is the best available option to preserve shareholder value and maintain Corus’s position as a vital independent broadcaster in Canada, while continuing to operate business as usual for employees, partners, and other stakeholders.

The most recent analyst rating on ($TSE:CJR.B) stock is a Sell with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.

Corus Entertainment Posts Lower Q1 Results, Advances Major Recapitalization Plan

Corus Entertainment reported an 18% year-over-year decline in consolidated revenue to $267.6 million for its fiscal 2026 first quarter, driven by a 19% drop in television revenue and softer advertising and subscriber income, while radio revenue fell 4%. Consolidated segment profit slid 32% to $57.2 million, compressing margins to 21%, and the company swung to a net loss attributable to shareholders of $11.1 million, alongside a negative free cash flow of $53.6 million, underscoring ongoing market and industry pressures. Management highlighted substantial progress on a proposed recapitalization transaction expected to reduce debt and other liabilities by more than $500 million and deliver up to $40 million in annual cash interest savings, which would materially strengthen the balance sheet and extend debt maturities if completed. Operationally, Corus continued to invest in its content slate, announcing robust winter 2025 and winter 2026 programming across Global, Showcase and W Network, including new and returning high-profile series designed to support audience engagement and advertising performance amid challenging conditions.

The most recent analyst rating on ($TSE:CJR.B) stock is a Sell with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.

Corus Seeks Securityholder Approval for Debt-Heavy Recapitalization to Stabilize Finances

Corus Entertainment has mailed and filed materials for special meetings of its shareholders and senior noteholders to vote on a proposed recapitalization transaction designed to materially reduce debt, cut annual interest costs, and secure ongoing access to an expanded revolving credit facility. Backed by a substantial majority of both senior noteholders and key voting shareholders, the board unanimously supports the plan of arrangement under the Canada Business Corporations Act as the best available solution to stabilize the balance sheet, extend covenant relief, and preserve value for stakeholders, warning that failure to approve the deal could force alternative restructuring with little or no recovery for equity holders.

The most recent analyst rating on ($TSE:CJR.B) stock is a Sell with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.

Corus Seeks Securityholder Approval for Major Debt Recapitalization to Avert Restructuring

Corus Entertainment has mailed and filed materials for special meetings of its shareholders and senior noteholders to seek approval for a proposed recapitalization transaction designed to address its heavy debt load and looming maturities. The board, following a strategic review, unanimously backs the plan, which would be implemented via a court-approved plan of arrangement and has already secured strong support from a large majority of senior noteholders and key voting shareholders. If approved, the transaction is expected to cut more than $500 million in third-party debt and other liabilities, generate up to $40 million in annual interest savings, increase the company’s secured revolving credit facility from $75 million to $125 million, and extend covenant relief, thereby bolstering liquidity and operational stability. The company warns that failure to implement the recapitalization would likely force alternative restructuring options that could leave existing shareholders with no recovery, underscoring the high stakes of the January 30, 2026 votes for both creditors and equity investors.

The most recent analyst rating on ($TSE:CJR.B) stock is a Sell with a C$0.03 price target. To see the full list of analyst forecasts on Corus Entertainment stock, see the TSE:CJR.B Stock Forecast page.