PARAMOUNT GLOBAL-CLASS B (PARA) Stock Fundamental Analysis
USA - NASDAQ:PARA - US92556H2067 - Common Stock
11.04 USD
-0.71 (-6.04%)
11.17 USD
+0.13 (+1.18%)
Overall PARA gets a fundamental rating of 4 out of 10. We evaluated PARA against 95 industry peers in the Media industry. PARA may be in some trouble as it scores bad on both profitability and health. PARA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PARA had positive earnings in the past year.
PARA had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: PARA reported negative net income in multiple years.
PARA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PARA has a worse Return On Assets (-12.08%) than 64.36% of its industry peers.
The Return On Equity of PARA (-33.16%) is worse than 60.40% of its industry peers.
PARA's Return On Invested Capital of 5.34% is fine compared to the rest of the industry. PARA outperforms 67.33% of its industry peers.
PARA had an Average Return On Invested Capital over the past 3 years of 4.75%. This is below the industry average of 8.51%.
The 3 year average ROIC (4.75%) for PARA is below the current ROIC(5.34%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.08% | ||
| ROE | -33.16% | ||
| ROIC | 5.34% |
ROA(3y)-4.3%
ROA(5y)-0.12%
ROE(3y)-12.14%
ROE(5y)-0.12%
ROIC(3y)4.75%
ROIC(5y)5.84%
1.3 Margins
The Operating Margin of PARA (8.49%) is better than 63.37% of its industry peers.
PARA's Operating Margin has declined in the last couple of years.
PARA has a Gross Margin of 32.58%. This is comparable to the rest of the industry: PARA outperforms 43.56% of its industry peers.
PARA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.49% | ||
| PM (TTM) | N/A | ||
| GM | 32.58% |
OM growth 3Y-13.02%
OM growth 5Y-10.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.09%
GM growth 5Y-2.56%
2. Health
2.1 Basic Checks
PARA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PARA has more shares outstanding than it did 1 year ago.
PARA has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, PARA has a worse debt to assets ratio.
2.2 Solvency
PARA has an Altman-Z score of 1.27. This is a bad value and indicates that PARA is not financially healthy and even has some risk of bankruptcy.
PARA has a Altman-Z score (1.27) which is in line with its industry peers.
The Debt to FCF ratio of PARA is 36.00, which is on the high side as it means it would take PARA, 36.00 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 36.00, PARA is in line with its industry, outperforming 52.48% of the companies in the same industry.
A Debt/Equity ratio of 0.86 indicates that PARA is somewhat dependend on debt financing.
PARA has a Debt to Equity ratio of 0.86. This is comparable to the rest of the industry: PARA outperforms 47.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 36 | ||
| Altman-Z | 1.27 |
ROIC/WACC0.64
WACC8.31%
2.3 Liquidity
A Current Ratio of 1.29 indicates that PARA should not have too much problems paying its short term obligations.
PARA has a Current ratio of 1.29. This is comparable to the rest of the industry: PARA outperforms 49.51% of its industry peers.
PARA has a Quick Ratio of 1.18. This is a normal value and indicates that PARA is financially healthy and should not expect problems in meeting its short term obligations.
PARA's Quick ratio of 1.18 is in line compared to the rest of the industry. PARA outperforms 46.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
PARA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.67%.
The earnings per share for PARA have been decreasing by -19.12% on average. This is quite bad
Looking at the last year, PARA shows a decrease in Revenue. The Revenue has decreased by -1.48% in the last year.
The Revenue has been growing slightly by 1.59% on average over the past years.
EPS 1Y (TTM)-24.67%
EPS 3Y-24.01%
EPS 5Y-19.12%
EPS Q2Q%-14.81%
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y0.73%
Revenue growth 5Y1.59%
Sales Q2Q%0.53%
3.2 Future
PARA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.48% yearly.
The Revenue is expected to grow by 2.30% on average over the next years.
EPS Next Y-17.18%
EPS Next 2Y-2.06%
EPS Next 3Y-2.97%
EPS Next 5Y9.48%
Revenue Next Year-3.2%
Revenue Next 2Y-1.33%
Revenue Next 3Y-0.76%
Revenue Next 5Y2.3%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.77 indicates a reasonable valuation of PARA.
Based on the Price/Earnings ratio, PARA is valued a bit cheaper than 79.21% of the companies in the same industry.
PARA is valuated cheaply when we compare the Price/Earnings ratio to 25.91, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.47, the valuation of PARA can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PARA indicates a somewhat cheap valuation: PARA is cheaper than 79.21% of the companies listed in the same industry.
PARA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.77 | ||
| Fwd PE | 7.47 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PARA is valued a bit cheaper than 74.26% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PARA indicates a somewhat cheap valuation: PARA is cheaper than 66.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.47 | ||
| EV/EBITDA | 6.84 |
4.3 Compensation for Growth
PARA's earnings are expected to decrease with -2.97% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.06%
EPS Next 3Y-2.97%
5. Dividend
5.1 Amount
PARA has a Yearly Dividend Yield of 1.81%. Purely for dividend investing, there may be better candidates out there.
PARA's Dividend Yield is a higher than the industry average which is at 4.44.
PARA's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
5.2 History
The dividend of PARA decreases each year by -23.51%.
PARA has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-23.51%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PARA has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-2.83%
EPS Next 2Y-2.06%
EPS Next 3Y-2.97%
11.04
-0.71 (-6.04%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap7.44B
Revenue(TTM)29.21B
Net Income(TTM)-5.48B
Analysts49.68
Price Target11.81 (6.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
Yearly Dividend0.25
Dividend Growth(5Y)-23.51%
DP-2.83%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-90.11%
Min EPS beat(2)-193.35%
Max EPS beat(2)13.14%
EPS beat(4)3
Avg EPS beat(4)63.48%
Min EPS beat(4)-193.35%
Max EPS beat(4)331.15%
EPS beat(8)7
Avg EPS beat(8)405.1%
EPS beat(12)8
Avg EPS beat(12)259.81%
EPS beat(16)9
Avg EPS beat(16)193.08%
Revenue beat(2)0
Avg Revenue beat(2)-1.92%
Min Revenue beat(2)-3.31%
Max Revenue beat(2)-0.54%
Revenue beat(4)0
Avg Revenue beat(4)-4.08%
Min Revenue beat(4)-7.38%
Max Revenue beat(4)-0.54%
Revenue beat(8)1
Avg Revenue beat(8)-3.04%
Revenue beat(12)2
Avg Revenue beat(12)-2.75%
Revenue beat(16)3
Avg Revenue beat(16)-2.09%
PT rev (1m)0.19%
PT rev (3m)-4.44%
EPS NQ rev (1m)-0.73%
EPS NQ rev (3m)5.36%
EPS NY rev (1m)0%
EPS NY rev (3m)1.74%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-0.44%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.77 | ||
| Fwd PE | 7.47 | ||
| P/S | 0.26 | ||
| P/FCF | 18.47 | ||
| P/OCF | 11.08 | ||
| P/B | 0.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.84 |
EPS(TTM)1.13
EY10.24%
EPS(NY)1.48
Fwd EY13.38%
FCF(TTM)0.6
FCFY5.41%
OCF(TTM)1
OCFY9.03%
SpS42.6
BVpS24.53
TBVpS-15.41
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -12.08% | ||
| ROE | -33.16% | ||
| ROCE | 6.76% | ||
| ROIC | 5.34% | ||
| ROICexc | 5.76% | ||
| ROICexgc | 29.61% | ||
| OM | 8.49% | ||
| PM (TTM) | N/A | ||
| GM | 32.58% | ||
| FCFM | 1.4% |
ROA(3y)-4.3%
ROA(5y)-0.12%
ROE(3y)-12.14%
ROE(5y)-0.12%
ROIC(3y)4.75%
ROIC(5y)5.84%
ROICexc(3y)5.08%
ROICexc(5y)6.35%
ROICexgc(3y)19.34%
ROICexgc(5y)17.73%
ROCE(3y)6.01%
ROCE(5y)7.39%
ROICexgc growth 3Y30.95%
ROICexgc growth 5Y12.55%
ROICexc growth 3Y-5.24%
ROICexc growth 5Y-5.96%
OM growth 3Y-13.02%
OM growth 5Y-10.41%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.09%
GM growth 5Y-2.56%
F-Score4
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 36 | ||
| Debt/EBITDA | 5.02 | ||
| Cap/Depr | 70.79% | ||
| Cap/Sales | 0.94% | ||
| Interest Coverage | 2.81 | ||
| Cash Conversion | 23.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 1.27 |
F-Score4
WACC8.31%
ROIC/WACC0.64
Cap/Depr(3y)77.99%
Cap/Depr(5y)80.01%
Cap/Sales(3y)1.06%
Cap/Sales(5y)1.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-24.67%
EPS 3Y-24.01%
EPS 5Y-19.12%
EPS Q2Q%-14.81%
EPS Next Y-17.18%
EPS Next 2Y-2.06%
EPS Next 3Y-2.97%
EPS Next 5Y9.48%
Revenue 1Y (TTM)-1.48%
Revenue growth 3Y0.73%
Revenue growth 5Y1.59%
Sales Q2Q%0.53%
Revenue Next Year-3.2%
Revenue Next 2Y-1.33%
Revenue Next 3Y-0.76%
Revenue Next 5Y2.3%
EBIT growth 1Y42.3%
EBIT growth 3Y-12.39%
EBIT growth 5Y-8.99%
EBIT Next Year156.1%
EBIT Next 3Y36.57%
EBIT Next 5Y22.29%
FCF growth 1Y143.19%
FCF growth 3Y-6.54%
FCF growth 5Y-11.03%
OCF growth 1Y220.86%
OCF growth 3Y-7.59%
OCF growth 5Y-9.37%
PARAMOUNT GLOBAL-CLASS B / PARA FAQ
Can you provide the ChartMill fundamental rating for PARAMOUNT GLOBAL-CLASS B?
ChartMill assigns a fundamental rating of 3 / 10 to PARA.
What is the valuation status for PARA stock?
ChartMill assigns a valuation rating of 6 / 10 to PARAMOUNT GLOBAL-CLASS B (PARA). This can be considered as Fairly Valued.
What is the profitability of PARA stock?
PARAMOUNT GLOBAL-CLASS B (PARA) has a profitability rating of 3 / 10.
What is the earnings growth outlook for PARAMOUNT GLOBAL-CLASS B?
The Earnings per Share (EPS) of PARAMOUNT GLOBAL-CLASS B (PARA) is expected to decline by -17.18% in the next year.
Is the dividend of PARAMOUNT GLOBAL-CLASS B sustainable?
The dividend rating of PARAMOUNT GLOBAL-CLASS B (PARA) is 3 / 10 and the dividend payout ratio is -2.83%.