Paramount Global (NASDAQ:PARA) Shares Down 3.9% Following Analyst Downgrade

Key Points

• Paramount Global's shares dropped by 3.9% after Wells Fargo & Company downgraded their price target from $12.00 to $10.00, giving the stock an underweight rating.
• The company's most recent earnings report showed a profit of $0.46 per share, surpassing estimates, although revenue fell slightly short of expectations at $6.85 billion.
• Currently, Paramount Global has a consensus rating of "Hold" among analysts, with seven recommending a sell and a consensus price target of $11.70.

Paramount Global (NASDAQ:PARA - Get Free Report) shares were down 3.9% during mid-day trading on Monday after Wells Fargo & Company lowered their price target on the stock from $12.00 to $10.00. Wells Fargo & Company currently has an underweight rating on the stock. Paramount Global traded as low as $12.62 and last traded at $12.51. Approximately 3,932,256 shares changed hands during trading, a decline of 56% from the average daily volume of 8,947,703 shares. The stock had previously closed at $13.01.

PARA has been the subject of a number of other research reports. UBS Group lowered their price objective on shares of Paramount Global from $11.00 to $10.00 and set a "sell" rating for the company in a research report on Tuesday, April 15th. Citigroup restated a "neutral" rating and issued a $12.00 target price (down previously from $13.00) on shares of Paramount Global in a research note on Thursday, May 29th. Loop Capital raised their price objective on Paramount Global from $10.00 to $11.00 and gave the company a "sell" rating in a report on Friday, July 25th. Guggenheim restated a "buy" rating and issued a $14.00 price objective on shares of Paramount Global in a report on Thursday, June 26th. Finally, Seaport Res Ptn cut Paramount Global from a "hold" rating to a "strong sell" rating in a report on Monday, July 28th. Seven equities research analysts have rated the stock with a sell rating, four have issued a hold rating and two have issued a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and a consensus price target of $11.70.

Institutional Investors Weigh In On Paramount Global

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Hoertkorn Richard Charles lifted its holdings in shares of Paramount Global by 10.2% during the 1st quarter. Hoertkorn Richard Charles now owns 252,485 shares of the company's stock worth $3,020,000 after acquiring an additional 23,419 shares during the last quarter. Teacher Retirement System of Texas purchased a new position in shares of Paramount Global during the first quarter valued at about $1,040,000. American Century Companies Inc. grew its holdings in Paramount Global by 29.2% in the fourth quarter. American Century Companies Inc. now owns 174,995 shares of the company's stock worth $1,830,000 after purchasing an additional 39,572 shares during the period. Yakira Capital Management Inc. bought a new stake in Paramount Global in the fourth quarter worth $1,315,000. Finally, Invesco Ltd. grew its holdings in shares of Paramount Global by 5.7% during the fourth quarter. Invesco Ltd. now owns 20,593,954 shares of the company's stock valued at $215,413,000 after buying an additional 1,119,314 shares during the last quarter. Institutional investors own 73.00% of the company's stock.

Paramount Global Trading Down 3.8%

The stock's fifty day moving average price is $12.52 and its 200 day moving average price is $11.75. The company has a quick ratio of 1.21, a current ratio of 1.39 and a debt-to-equity ratio of 0.83. The stock has a market cap of $8.44 billion, a PE ratio of -417.36, a PEG ratio of 3.99 and a beta of 1.17.

Paramount Global (NASDAQ:PARA - Get Free Report) last released its quarterly earnings results on Thursday, July 31st. The company reported $0.46 earnings per share for the quarter, topping the consensus estimate of $0.37 by $0.09. The business had revenue of $6.85 billion for the quarter, compared to the consensus estimate of $6.88 billion. Paramount Global had a negative net margin of 0.05% and a positive return on equity of 4.51%. The company's quarterly revenue was up .5% on a year-over-year basis. During the same period last year, the firm earned $0.54 earnings per share. On average, sell-side analysts forecast that Paramount Global will post 1.77 EPS for the current year.

Paramount Global Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, July 1st. Stockholders of record on Monday, June 16th were paid a $0.05 dividend. The ex-dividend date of this dividend was Monday, June 16th. This represents a $0.20 annualized dividend and a dividend yield of 1.6%. Paramount Global's dividend payout ratio is currently -666.67%.

Paramount Global Company Profile

Paramount Global 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; domestic premium and basic cable networks, such as Paramount+ with Showtime, MTV, Comedy Central, Paramount Network, The Smithsonian Channel, Nickelodeon, BET Media Group, and CBS Sports Network; and international extensions of these brands.

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