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Paramount Global-B (PARA) Laps the Stock Market: Here's Why

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The most recent trading session ended with Paramount Global-B (PARA - Free Report) standing at $13.19, reflecting a +1.46% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a gain of 0.96% for the day. Meanwhile, the Dow experienced a rise of 0.4%, and the technology-dominated Nasdaq saw an increase of 1.3%.

Prior to today's trading, shares of the company had lost 1.74% over the past month. This has lagged the Consumer Discretionary sector's gain of 2.64% and the S&P 500's gain of 3.69% in that time.

Investors will be eagerly watching for the performance of Paramount Global-B in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 28, 2024. On that day, Paramount Global-B is projected to report earnings of -$0.05 per share, which would represent a year-over-year decline of 162.5%. In the meantime, our current consensus estimate forecasts the revenue to be $7.78 billion, indicating a 4.27% decline compared to the corresponding quarter of the prior year.

Investors might also notice recent changes to analyst estimates for Paramount Global-B. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.47% lower within the past month. Right now, Paramount Global-B possesses a Zacks Rank of #3 (Hold).

With respect to valuation, Paramount Global-B is currently being traded at a Forward P/E ratio of 12.22. This represents a discount compared to its industry's average Forward P/E of 16.62.

One should further note that PARA currently holds a PEG ratio of 1.63. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. PARA's industry had an average PEG ratio of 1.72 as of yesterday's close.

The Media Conglomerates industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 82, positioning it in the top 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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