Paramount Skydance Corporation (PSKY) Fair Value & Analysis

Communication Services · US · Market cap $10.2B

Below-average quality, and screening another 89% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($1.29). The favourable scenario is already priced in.
• Weak quality (34/100) and above fair value at the same time, the margin of safety is missing on both counts.
• A fairly wide model range ($0.7000 to $1.29) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range $7.81 – $40.84 · fair‑value band $0.7000 – $1.29 · the $9.06 price screens above the $1.00 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

Paramount Skydance Corporation (PSKY) currently trades at $9.06, while our model-based Fair Value estimate is $1.00, implying the stock looks roughly 89.0% overvalued today. We read business quality at 34/100 (below-average quality), in the Communication Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: medium).

Over the trailing twelve months, Paramount Skydance Corporation generated revenue of $29.0B at a net margin of -2.1%. Revenue grew 2.2% year over year. It earns a return on equity of -0.8%. Net debt stands at $11.1B. Fundamentals as of Jul 16, 2026

Our scenario range runs from $0.7000 (bear case) to $1.29 (bull case); at $9.06, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 56% below its 52-week high and 5% above its 52-week low, currently below its 200-day average. For context, the median of 10 Communication Services peers we cover trades at -52% fair-value upside, at -89%, PSKY screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Asset-Based ($7.20) versus Dividend Discount ($1.08). Highest evidence: Gordon GGM (70).

Key figures & financial health

Quality Score breakdown

About the company

Paramount Skydance Corporation operates as a media and entertainment company worldwide. It operates in three segments: Studios, Direct-to-Consumer, and TV Media.

Full company description

Paramount Skydance Corporation operates as a media and entertainment company worldwide. It operates in three segments: Studios, Direct-to-Consumer, and TV Media. The company operates CBS Television Network, a domestic broadcast television network; CBS Stations, a television station; international free-to-air networks comprising Network 10, Channel 5, Telefe, and Chilevisión; and domestic premium and basic cable networks, such as Nickelodeon, MTV, CMT, Comedy Central, BET, Paramount+ with SHOWTIME, Paramount Network, The Smithsonian Channel, BET Media Group, CBS Sports Network, and international extensions of these brands. It also provides domestic and international television studio operations, including CBS Studios, Paramount Television Studios, and Showtime; CBS Media Ventures, which produces and distributes first-run syndicated programming; and digital properties consist of CBS News and CBS Sports HQ. In addition, the company offers a portfolio of domestic and international pay and free streaming services, including Paramount+, Pluto TV, and BET+. Further, it produces and acquires films, series, and short-form content for release and licensing worldwide, including in theaters, on streaming services, on television, through home entertainment, and DVDs, Blu-ray; and operates a portfolio consisting of Paramount Pictures, Paramount Players, Paramount Animation, Nickelodeon Studio, and Miramax. It provides production, distribution, and advertising solutions. The company was founded in 1914 and is headquartered in New York, New York.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Paramount Skydance Corporation reported revenue of $29.2B in FY2025 versus $28.6B in FY2021, a compound +0.5%/yr. Reported net income was −$6.2B in FY2025.

PSKY screens 89% overvalued. Compare with Netflix, Inc →

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

• Paramount Skydance (PSKY) Gets EU Clearance For Warner Bros. Discovery Acquisition Yahoo Finance · Aug 5, 2026
• Paramount Skydance projects $3.8B-$3.9B FY 2026 adjusted EBITDA while targeting 10%+ free cash flow conversion Seeking Alpha · Aug 5, 2026
• Why Paramount might win its case and still run out of time to acquire Warner Bros. Discovery Yahoo Finance · Aug 4, 2026
• With Paramount's Acquisition of Warner Bros. on Hold and Netflix Down 38%, Is Netflix Stock Finally a Buy? Nasdaq · Aug 2, 2026

Peer Group

Entertainment · 268 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Entertainment median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0: the price sits above our fair-value range.

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.