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Paramount Global-B (PARA) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Paramount Global-B (PARA - Free Report) closed at $21.87, marking a +1.82% move from the previous day. This move outpaced the S&P 500's daily gain of 0.14%. At the same time, the Dow lost 0.18%, and the tech-heavy Nasdaq gained 1.54%.

Prior to today's trading, shares of the company had lost 8.01% over the past month. This has lagged the Consumer Discretionary sector's loss of 5.57% and the S&P 500's loss of 4.07% in that time.

Investors will be hoping for strength from Paramount Global-B as it approaches its next earnings release. In that report, analysts expect Paramount Global-B to post earnings of -$0.11 per share. This would mark a year-over-year decline of 118.33%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.42 billion, up 1.22% from the year-ago period.

PARA's full-year Zacks Consensus Estimates are calling for earnings of $0.65 per share and revenue of $30.84 billion. These results would represent year-over-year changes of -61.99% and +2.26%, respectively.

Any recent changes to analyst estimates for Paramount Global-B should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 45.02% lower. Paramount Global-B is holding a Zacks Rank of #4 (Sell) right now.

Digging into valuation, Paramount Global-B currently has a Forward P/E ratio of 32.83. This valuation marks a premium compared to its industry's average Forward P/E of 28.87.

It is also worth noting that PARA currently has a PEG ratio of 3.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Media Conglomerates industry currently had an average PEG ratio of 2.43 as of yesterday's close.

The Media Conglomerates industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 163, which puts it in the bottom 36% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow PARA in the coming trading sessions, be sure to utilize Zacks.com.


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