PARAMOUNT GLOBAL-CLASS A (PARAA) Stock Fundamental Analysis
USA - NASDAQ:PARAA - US92556H1077 - Common Stock
16.91 USD
-0.96 (-5.37%)
16.911 USD
+0 (+0.01%)
We assign a fundamental rating of 3 out of 10 to PARAA. PARAA was compared to 95 industry peers in the Media industry. Both the profitability and financial health of PARAA have multiple concerns. PARAA has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
PARAA had positive earnings in the past year.
In the past year PARAA had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: PARAA reported negative net income in multiple years.
Each year in the past 5 years PARAA had a positive operating cash flow.
1.2 Ratios
The Return On Assets of PARAA (-12.08%) is worse than 66.34% of its industry peers.
PARAA has a Return On Equity of -33.16%. This is in the lower half of the industry: PARAA underperforms 62.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.34%, PARAA is in the better half of the industry, outperforming 65.35% of the companies in the same industry.
PARAA had an Average Return On Invested Capital over the past 3 years of 4.75%. This is below the industry average of 8.55%.
The 3 year average ROIC (4.75%) for PARAA 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
With a decent Operating Margin value of 8.49%, PARAA is doing good in the industry, outperforming 61.39% of the companies in the same industry.
In the last couple of years the Operating Margin of PARAA has declined.
PARAA has a Gross Margin (32.58%) which is in line with its industry peers.
PARAA'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
PARAA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PARAA has more shares outstanding than it did 1 year ago.
The number of shares outstanding for PARAA has been increased compared to 5 years ago.
Compared to 1 year ago, PARAA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.34, we must say that PARAA is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.34, PARAA is in line with its industry, outperforming 58.42% of the companies in the same industry.
PARAA has a debt to FCF ratio of 36.00. This is a negative value and a sign of low solvency as PARAA would need 36.00 years to pay back of all of its debts.
PARAA has a Debt to FCF ratio of 36.00. This is comparable to the rest of the industry: PARAA outperforms 50.49% of its industry peers.
PARAA has a Debt/Equity ratio of 0.86. This is a neutral value indicating PARAA is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.86, PARAA is in line with its industry, outperforming 45.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.86 | ||
| Debt/FCF | 36 | ||
| Altman-Z | 1.34 |
ROIC/WACC0.64
WACC8.39%
2.3 Liquidity
PARAA has a Current Ratio of 1.29. This is a normal value and indicates that PARAA is financially healthy and should not expect problems in meeting its short term obligations.
PARAA's Current ratio of 1.29 is in line compared to the rest of the industry. PARAA outperforms 47.52% of its industry peers.
PARAA has a Quick Ratio of 1.18. This is a normal value and indicates that PARAA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.18, PARAA is in line with its industry, outperforming 44.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
PARAA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.67%.
Measured over the past years, PARAA shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -19.12% on average per year.
The Revenue has decreased by -1.48% in the past 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
PARAA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.48% yearly.
PARAA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.30% yearly.
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 14.96, the valuation of PARAA can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of PARAA indicates a somewhat cheap valuation: PARAA is cheaper than 71.29% of the companies listed in the same industry.
PARAA is valuated rather cheaply when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 11.45, the valuation of PARAA can be described as reasonable.
Based on the Price/Forward Earnings ratio, PARAA is valued a bit cheaper than the industry average as 70.30% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of PARAA to the average of the S&P500 Index (22.27), we can say PARAA is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.96 | ||
| Fwd PE | 11.45 |
4.2 Price Multiples
PARAA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PARAA is cheaper than 63.37% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PARAA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 26.55 | ||
| EV/EBITDA | 7.99 |
4.3 Compensation for Growth
A cheap valuation may be justified as PARAA's earnings are expected to decrease with -2.97% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.06%
EPS Next 3Y-2.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.18%, PARAA has a reasonable but not impressive dividend return.
The stock price of PARAA dropped by -24.78% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
PARAA's Dividend Yield is a higher than the industry average which is at 4.47.
With a Dividend Yield of 1.18, PARAA pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
5.2 History
The dividend of PARAA decreases each year by -23.51%.
PARAA has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-23.51%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PARAA 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%
16.91
-0.96 (-5.37%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners75.86%
Inst Owner ChangeN/A
Ins Owners0.44%
Ins Owner ChangeN/A
Market Cap10.70B
Revenue(TTM)29.21B
Net Income(TTM)-5484000000
Analysts49.68
Price Target17.85 (5.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.18% |
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)-19.71%
PT rev (3m)-27.55%
EPS NQ rev (1m)-0.73%
EPS NQ rev (3m)-17.25%
EPS NY rev (1m)0%
EPS NY rev (3m)-10.84%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-2.9%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.96 | ||
| Fwd PE | 11.45 | ||
| P/S | 0.37 | ||
| P/FCF | 26.55 | ||
| P/OCF | 15.92 | ||
| P/B | 0.65 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.99 |
EPS(TTM)1.13
EY6.68%
EPS(NY)1.48
Fwd EY8.74%
FCF(TTM)0.64
FCFY3.77%
OCF(TTM)1.06
OCFY6.28%
SpS45.4
BVpS26.14
TBVpS-16.42
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 | 1.34 |
F-Score4
WACC8.39%
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 A / PARAA FAQ
Can you provide the ChartMill fundamental rating for PARAMOUNT GLOBAL-CLASS A?
ChartMill assigns a fundamental rating of 3 / 10 to PARAA.
Can you provide the valuation status for PARAMOUNT GLOBAL-CLASS A?
ChartMill assigns a valuation rating of 4 / 10 to PARAMOUNT GLOBAL-CLASS A (PARAA). This can be considered as Fairly Valued.
How profitable is PARAMOUNT GLOBAL-CLASS A (PARAA) stock?
PARAMOUNT GLOBAL-CLASS A (PARAA) has a profitability rating of 3 / 10.
What are the PE and PB ratios of PARAMOUNT GLOBAL-CLASS A (PARAA) stock?
The Price/Earnings (PE) ratio for PARAMOUNT GLOBAL-CLASS A (PARAA) is 14.96 and the Price/Book (PB) ratio is 0.65.
Can you provide the dividend sustainability for PARAA stock?
The dividend rating of PARAMOUNT GLOBAL-CLASS A (PARAA) is 3 / 10 and the dividend payout ratio is -2.83%.