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For the quarter, the Zacks Consensus Estimate for loss is pegged at 5 cents per share, moving south by 1 cent over the past 30 days. The figure indicates a 162.5% plunge from the year-ago quarter’s reported figure.
The consensus mark for revenues is pegged at $7.78 billion, indicating a 4.27% decrease from the year-ago quarter’s reported figure.
The company’s earnings beat the Zacks Consensus Estimate twice in the last four quarters and missed the mark on the other two occasions. PARA has a trailing four-quarter earnings surprise of 323.61%, on average.
Let’s see how things have shaped up for this announcement.
Paramount Global’s fourth-quarter viewership and ad revenues are expected to have benefited from an expanding content catalog of live sporting events and a solid portfolio of streaming services, including CBS All Access, Showtime OTT, Pluto TV, Noggin and BET+.
The growing traction of Showtime, BET, Comedy Central and Nickelodeon is expected to have boosted the top line.
Paramount Global continues to demonstrate the strength of its content engine, driving momentum across streaming, television and theatrical. Paramount+ subscribers reached approximately 63 million, with 2.7 million additions in the third quarter. This trend is expected to have continued in the to-be-reported quarter. The Zacks Consensus Estimate for global Paramount subscribers is pegged at 67 million.
The launch of Paramount+ with the SHOWTIME plan, a cornerstone integration that makes Paramount+ the new streaming home for SHOWTIME, has been aiding advertising revenue growth. The Paramount+ Essential Plan (without SHOWTIME) is available for $5.99 per month.
Pluto TV has gained immense popularity with more than 250 live events, linear channels and thousands of hours of on-demand content. Pluto TV partners with more than 175 content providers, including media houses and film and TV studios that help it produce various content.
However, Paramount Global has significant exposure to the large but declining linear Pay-TV business and faces the threat of these businesses declining faster than expected, as well as risk around the ability to pivot and reinvest linear cash flows into other business lines, such as streaming.
The company remains heavily exposed to Linear TV (54% of revenues from Advertising and Affiliate Fees, plus 13% from TV Licensing/ Other) compared with large media peers like Disney, Warner Bros. Discovery and Netflix. The decline of Linear TV is expected to have weighed on top-line growth in the to-be-reported quarter.
Near-term challenges in the ad market continue to weigh on revenue trends for the network. Advertisers continue to face supply-chain disruptions and labor shortages and many others are contending with rising costs amid record inflation, which have led to cutbacks in spending on advertising. This is expected to have hampered ad revenue growth in the to-be-reported quarter.
The impact of the WGA and SAG-AFTRA strikes is expected to have negatively reflected upon licensing revenues in the fourth quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That’s the case here as you can see below.
PARA has an Earnings ESP of +55.61% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks to Consider
Synchronoss Technologies (SNCR - Free Report) , Guidewire Software (GWRE - Free Report) and JD.com (JD - Free Report) are some other companies that, too, have the right combination of elements to post an earnings beat in their upcoming releases.
Synchronoss has an Earnings ESP of +157.14% and sports a Zacks Rank #1 at present. The company is set to report fourth-quarter 2023 results on Mar 5. Its bottom-line result surpassed the Zacks Consensus Estimate twice in the trailing four quarters while missing on two occasions, the average negative surprise being 16.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate is pegged at a loss of 11 cents per share, significantly narrower than the year-ago quarter’s loss of 72 cents. The consensus mark for revenues is pegged at $43.8 million, indicating a year-over-year decline of 29%.
Guidewire Software has an Earnings ESP of +4.76% and a Zacks Rank #3 at present. The company is slated to report second-quarter fiscal 2024 results on Mar 4. Its earnings beat the Zacks Consensus Estimate thrice in the trailing four quarters while missing on one occasion, the average negative surprise being 42.22%.
The Zacks Consensus Estimate for second-quarter earnings is pegged at 21 cents per share. The company had incurred a loss of 21 cents per share in the year-ago quarter. Guidewire Software’s quarterly revenues are estimated to improve 3.6% to $240.9 million.
JD.com has an Earnings ESP of +0.78% and carries a Zacks Rank #3 at present. The company is anticipated to report fourth-quarter 2023 results on Mar 14. Its earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, with the average surprise being 14.5%.
The Zacks Consensus Estimate for JD.com’s fourth-quarter earnings is pegged at 65 cents per share, indicating a year-over-year decline of 7.1%. It is estimated to report revenues of $42.56 billion, which implies a decrease of approximately 0.7% from the year-ago quarter.
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Paramount Global (PARA) to Post Q4 Earnings: What's in Store?
Paramount Global (PARA - Free Report) is set to report fourth-quarter 2023 earnings on Feb 28.
For the quarter, the Zacks Consensus Estimate for loss is pegged at 5 cents per share, moving south by 1 cent over the past 30 days. The figure indicates a 162.5% plunge from the year-ago quarter’s reported figure.
The consensus mark for revenues is pegged at $7.78 billion, indicating a 4.27% decrease from the year-ago quarter’s reported figure.
The company’s earnings beat the Zacks Consensus Estimate twice in the last four quarters and missed the mark on the other two occasions. PARA has a trailing four-quarter earnings surprise of 323.61%, on average.
Let’s see how things have shaped up for this announcement.
Paramount Global Price and EPS Surprise
Paramount Global price-eps-surprise | Paramount Global Quote
Factors to Consider
Paramount Global’s fourth-quarter viewership and ad revenues are expected to have benefited from an expanding content catalog of live sporting events and a solid portfolio of streaming services, including CBS All Access, Showtime OTT, Pluto TV, Noggin and BET+.
The growing traction of Showtime, BET, Comedy Central and Nickelodeon is expected to have boosted the top line.
Paramount Global continues to demonstrate the strength of its content engine, driving momentum across streaming, television and theatrical. Paramount+ subscribers reached approximately 63 million, with 2.7 million additions in the third quarter. This trend is expected to have continued in the to-be-reported quarter. The Zacks Consensus Estimate for global Paramount subscribers is pegged at 67 million.
The launch of Paramount+ with the SHOWTIME plan, a cornerstone integration that makes Paramount+ the new streaming home for SHOWTIME, has been aiding advertising revenue growth. The Paramount+ Essential Plan (without SHOWTIME) is available for $5.99 per month.
Pluto TV has gained immense popularity with more than 250 live events, linear channels and thousands of hours of on-demand content. Pluto TV partners with more than 175 content providers, including media houses and film and TV studios that help it produce various content.
However, Paramount Global has significant exposure to the large but declining linear Pay-TV business and faces the threat of these businesses declining faster than expected, as well as risk around the ability to pivot and reinvest linear cash flows into other business lines, such as streaming.
The company remains heavily exposed to Linear TV (54% of revenues from Advertising and Affiliate Fees, plus 13% from TV Licensing/ Other) compared with large media peers like Disney, Warner Bros. Discovery and Netflix. The decline of Linear TV is expected to have weighed on top-line growth in the to-be-reported quarter.
Near-term challenges in the ad market continue to weigh on revenue trends for the network. Advertisers continue to face supply-chain disruptions and labor shortages and many others are contending with rising costs amid record inflation, which have led to cutbacks in spending on advertising. This is expected to have hampered ad revenue growth in the to-be-reported quarter.
The impact of the WGA and SAG-AFTRA strikes is expected to have negatively reflected upon licensing revenues in the fourth quarter.
What Our Model Says
Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That’s the case here as you can see below.
PARA has an Earnings ESP of +55.61% and a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks to Consider
Synchronoss Technologies (SNCR - Free Report) , Guidewire Software (GWRE - Free Report) and JD.com (JD - Free Report) are some other companies that, too, have the right combination of elements to post an earnings beat in their upcoming releases.
Synchronoss has an Earnings ESP of +157.14% and sports a Zacks Rank #1 at present. The company is set to report fourth-quarter 2023 results on Mar 5. Its bottom-line result surpassed the Zacks Consensus Estimate twice in the trailing four quarters while missing on two occasions, the average negative surprise being 16.8%. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate is pegged at a loss of 11 cents per share, significantly narrower than the year-ago quarter’s loss of 72 cents. The consensus mark for revenues is pegged at $43.8 million, indicating a year-over-year decline of 29%.
Guidewire Software has an Earnings ESP of +4.76% and a Zacks Rank #3 at present. The company is slated to report second-quarter fiscal 2024 results on Mar 4. Its earnings beat the Zacks Consensus Estimate thrice in the trailing four quarters while missing on one occasion, the average negative surprise being 42.22%.
The Zacks Consensus Estimate for second-quarter earnings is pegged at 21 cents per share. The company had incurred a loss of 21 cents per share in the year-ago quarter. Guidewire Software’s quarterly revenues are estimated to improve 3.6% to $240.9 million.
JD.com has an Earnings ESP of +0.78% and carries a Zacks Rank #3 at present. The company is anticipated to report fourth-quarter 2023 results on Mar 14. Its earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, with the average surprise being 14.5%.
The Zacks Consensus Estimate for JD.com’s fourth-quarter earnings is pegged at 65 cents per share, indicating a year-over-year decline of 7.1%. It is estimated to report revenues of $42.56 billion, which implies a decrease of approximately 0.7% from the year-ago quarter.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.