HomeFinancial MarketsParamount Stock Jumps Amid Better-Than-Expected Q2 Earnings

Paramount Stock Jumps Amid Better-Than-Expected Q2 Earnings

Mass media and entertainment giant Paramount reported its second-quarter earnings on Monday and showed signs of improvement after a rough first three months of 2023. The investors took notice, sending the company’s shares up by almost 7% at one point in after-hours trading on Monday.

Paramount reported $7.62 billion in revenue for the second quarter, beating Wall Street analysts’ estimates of $7.43 billion. It also had $0.10 in adjusted earnings per share versus the expected $0.00.

Aside from solid Q2 numbers, the investors were encouraged by the sale of publisher Simon & Schuster. After a deal to sell Simon & Schuster to Penguin Random House fell apart back in 2022, Paramount circled back and struck an agreement with KKR. The sale is worth $1.62 billion in cash.

However, it wasn’t all good for Paramount. The company’s linear ad revenue plunged 10% while having a $250 million operating loss compared to $819 million in profit in the same period of last year. It also added just 700,000 subscribers to its streaming service Paramount+ compared to the 1.14 million expected by the analysts and 3.7 million added in the second quarter of 2022.

The shares of Paramount closed at $16.09 per share on Monday before jumping to $17.33 early in after-hours trading. They later settled at around $16.47 per share.

Fed to “Wait for Greater Clarity” Before Making Policy Adjustment Says Chair Jerome Powell

The Federal Reserve will wait to see the impact of recent sweeping tariffs on the U.S. economy before considering making policy adjustments, according to...

Oil Prices Will Decline Through 2026 According to Goldman Sachs

Oil prices will drop further this year, with the trend spilling over to 2026, according to Goldman Sachs. The investment bank forecasts that increased...

Morgan Stanley Remains Bullish on Nvidia Stock as its “Top Pick”

Shares of semiconductor giant Nvidia have had a wild ride in recent weeks. However, analysts from Morgan Stanley still believe that the stock will...