A so-called take-under that values Viacom below its current per-share price: CBS would benefit more but Viacom shareholders would also gain In a deal with a slight premium for Viacom stock, Viacom shareholders would benefit more Barclays advocates having exposure to both CBS and Viacom.
Full Answer
Is ViacomCBS a good value stock to buy now?
Only 1.67% of the stock of ViacomCBS is held by insiders. Only 0.98% of the stock of ViacomCBS is held by institutions. The P/E ratio of ViacomCBS is 6.25, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 13.55.
Why has VIAC stock increased from $11 to $41?
VIAC stock has increased from $11 to $41 off its 2020 bottom, much more than the S&P 500 which increased about 90% from its March lows. The stock outperformed the broader market because of the strong performance of its streaming business during the pandemic and stimulus measures announced by the Fed.
Why did Viacom’s revenue go up 111% in three years?
On the contrary, during these three years the total revenue went up by 111% due to the merger between Viacom and CBS, higher advertising, and content licensing revenue. Additionally, the net income margin shot up by 24% from 9.6% to 11.9%.
Why did ViacomCBS’ P/E multiple fall in 2020?
Excluding the tax benefit and other non-operating items, ViacomCBS’ operating profit margin declined from 20% in 2017 to 16% in 2020 due to higher operating cost and merger-related expenses, thus leading to a slide in the P/E multiple.
Is ViacomCBS stock a good buy?
ViacomCBS stock is certainly cheap, at less than 10 times expected 2022 earnings. Those estimates are likely to come down as analysts incorporate management's new spending plans into their models, but it's still fair to say that there's plenty of skepticism priced into the stock at current levels.
What happened to VIAC stock?
ViacomCBS' (Nasdaq:VIAC) stock dropped more than 20% Wednesday after the company said it would rebrand as Paramount and reorient itself further around streaming.
How does ViacomCBS make money?
The largest contributor to revenues was advertising, which was up 1% to $2.6 billion. Affiliate fees—which cable and satellite TV providers pay to ViacomCBS to include its channels like Nickelodeon, MTV, and Comedy Central in their bundles—rose 2% to $2.1 billion.
Should I buy PARA stock?
Out of 14 analysts, 3 (21.43%) are recommending PARA as a Strong Buy, 2 (14.29%) are recommending PARA as a Buy, 7 (50%) are recommending PARA as a Hold, 1 (7.14%) are recommending PARA as a Sell, and 1 (7.14%) are recommending PARA as a Strong Sell.
Is Viacom going out of business?
CBS Corporation retained the over-the-air broadcasting, television production, pay television subscription service, and publishing assets, which were previously owned by the first Viacom....Viacom (2005–2019)Viacom's spun off logo, used from 2005 to 2019Viacom's headquarters at One Astor Plaza in New York CityDefunctDecember 4, 201922 more rows
Why did Viacom stock spike?
Among the biggest factors: the company launched its Paramount+ streaming service on March 4, 13 key CBS TV affiliates signed multi-year contract renewals in January, and retail investors began to target VIAC shares. The result was VIAC stock closing at $100.34 on March 22, for a 174% increase to that point in 2021.
Is Pluto TV a good investment?
“Pluto in the domestic U.S. today is profitable,” Bakish said at the UBS Global TMT Conference. “It's actually profitable in '21 and it's at margins approaching broadcast. This business clearly has the opportunity to create incremental bottom-line value.”
Is Pluto TV profitable?
Recreating linear television for the streaming age is a lucrative business: In 2018, Pluto TV founder Tom Ryan sold his company to Paramount Global (then Viacom) for $340 million. Last year, Pluto topped $1 billion in ad revenue.
Is Viacom undervalued?
It's poised to capitalize on streaming trends and is trading well below what we think it's worth. In a sector where undervalued opportunities are few and far between, ViacomCBS (VIAC) stands out, trading 30% below our $61 fair value estimate.
What happened to Viacom stock in March 2021?
ViacomCBS announced the stock offering after markets closed March 23. The next day, with the company flooding the market with millions of new shares priced at $85, the stock began to fall. The offering raised $2.65 billion.
Is Paramount plus losing money?
Paramount's total streaming-related revenue from subscriptions and advertising were nearly $1.1 billion in the first quarter, up by 82% from a year earlier. But losses tripled to $456 million, from a $149 million deficit in the first quarter of 2021, as Paramount poured money into content and marketing.
Is ViacomCBS a Fortune 500 company?
The entertainment company, created in 2005 as a spin-off from CBS, produces and distributes films and programming through brands including Paramount Pictures and MTV Films....Company Info.CEORobert BakishWebsitehttp://www.viacom.comYears on Fortune 500 List11Employees9,4453 more rows
Why is Viacom so cheap?
VIAC stock is rather cheap based on its current profitability and outlook. As long as Viacom is able to maintain its present levels of prosperity — let alone achieve further growth — VIAC stock should perform well. Based on Viacom's past results, the current share price looks like a real opportunity.
How much is VIAC stock going up?
VIAC stock has increased from $11 to $41 off its 2020 bottom, much more than the S&P 500 which increased about 90% from its March lows. The stock outperformed the broader market because of the strong performance of its streaming business during the pandemic and stimulus measures announced by the Fed.
Does ViacomCBS own Pluto?
Not to forget, along with Paramount+, ViacomCBS also owns Pluto TV streaming service and the Showtime network. The recent surge in Covid-positive cases is a hiccup for a media giant like ViacomCBS.
How much did ViacomCBS raise?
ViacomCBS news. The company announced a stock sale to raise $3 billion. ViacomCBS intends to use the funds to grow its streaming business. ViacomCBS followed the strategy that many other companies have deployed over the last year and capitalized on the spike in its stock to raise capital.
How many analysts are covering Viac?
Among the 20 analysts covering VIAC stock, four recommend a buy, while seven recommend a sell. Nine analysts have a hold or equivalent rating on VIAC stock.
How does the S&P 500 work?
Investing Basics: How the S&P 500 Works 1 ViacomCBS stock increased 7.9% over the last ten trading days (two weeks), compared to broader market (S&P500) rise of 0.5% 2 A change of 7.9% or more over ten trading days is a 10% likelihood event, which has occurred 262 times out of 2517 in the last 10 years 3 Of these 262 instances, the stock has seen a positive movement over the next ten trading days on 175 occasions 4 This points to a 67% probability for the stock rising over the next ten trading days
When did Viacom merge with CBS?
The Viacom logo is seen outside company headquarters in New York City August 13, 2019. - CBS and ...
How much is CBS All Access?
Today, CBS All Access is a relatively cheap option priced at $5.99 per month with limited commercials. At a price more than 50% below Netflix's most popular plan, this service gives users access to CBS' traditional programming, plus exclusives like Star Trek: Picard and more.
How much money does Netflix spend on content?
Netflix has gotten significant attention for its massive spending on content. Over the last year, the company's spending on content topped $14.6 billion. ViacomCBS suggested it spent about $13 billion last year on content. It's no secret that spending on content seems to drive streaming revenue.
What is the Motley Fool's recommendation for Netflix?
The Motley Fool owns shares of and recommends Netflix and Walt Disney and recommends the following options: long January 2021 $60 calls on Walt Disney and short April 2020 $135 calls on Walt Disney. The Motley Fool has a disclosure policy.
Is video streaming on the rise?
It's no secret that video streaming has been on the rise and the worldwide coronavirus epidemic is forcing millions to say at home. This is leading to an explosion of consumers looking for the next show to binge-watch. It's a strange phenomenon occurring in the streaming industry: Just as more streaming options become available, the globe is faced with a pandemic forcing people to stay inside.
Is CBS All Access competing with Netflix?
At first, it seems like CBS All Access couldn't possibly compete against the broad catalog that Netflix offers. However, Bakish has other plans: "To complete our portfolio, we will take CBS All Access and expand it to be a robust and compelling offering to service the broad pay streaming segment.".
How has ViacomCBS's stock been impacted by COVID-19 (Coronavirus)?
ViacomCBS's stock was trading at $23.88 on March 11th, 2020 when COVID-19 (Coronavirus) reached pandemic status according to the World Health Organization. Since then, VIACA shares have increased by 34.7% and is now trading at $32.17. View which stocks have been most impacted by COVID-19.
When is ViacomCBS's next earnings date?
ViacomCBS is scheduled to release its next quarterly earnings announcement on Thursday, May 5th 2022. View our earnings forecast for ViacomCBS.
How were ViacomCBS's earnings last quarter?
ViacomCBS Inc. (NASDAQ:VIACA) posted its quarterly earnings data on Monday, February, 14th. The company reported $0.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.40 by $0.14. ViacomCBS had a net margin of 12.00% and a trailing twelve-month return on equity of 14.20%. View ViacomCBS's earnings history.
How often does ViacomCBS pay dividends? What is the dividend yield for ViacomCBS?
ViacomCBS announced a quarterly dividend on Thursday, February 10th. Shareholders of record on Tuesday, March 15th will be paid a dividend of $0.24 per share on Friday, April 1st. This represents a $0.96 annualized dividend and a dividend yield of 2.98%. The ex-dividend date is Monday, March 14th. View ViacomCBS's dividend history.
Is ViacomCBS a good dividend stock?
ViacomCBS pays an annual dividend of $0.96 per share and currently has a dividend yield of 2.92%. The dividend payout ratio of ViacomCBS is 18.79%. This payout ratio is at a healthy, sustainable level, below 75%. View ViacomCBS's dividend history.
Who are some of ViacomCBS's key competitors?
Some companies that are related to ViacomCBS include FOX (FOXA), FOX (FOX), ViacomCBS (VIAC), Formula One Group (FWONK), Formula One Group (FWONA), Formula One Group (FWONB), Nexstar Media Group (NXST), Grupo Televisa, S.A.B.
Who are ViacomCBS's major shareholders?
ViacomCBS's stock is owned by many different institutional and retail investors. Top institutional investors include Simplex Trading LLC (0.00%), Simplex Trading LLC (0.00%), Gamco Investors INC. ET AL (0.29%), Gabelli Funds LLC (0.27%), BlackRock Inc. (0.05%) and Goldman Sachs Group Inc. (0.03%).
