Paramount Shares Wobble On Q1 Results; Wall Street Hasn’t Fully Embraced Its Streaming Story
deadline.comParamount Global shares were down about 1% midway through the trading day after the company reported a mixed bag of first-quarter results.The stock initially dropped as much as 7% to near a 52-week low in the opening minutes of the session.
Like most other shares in media and many in tech, it remains in the red for 2022 to date, though it hasn’t absorbed as much punishment as others caught up in the complicated challenge of how best to attack the streaming business.Paramount said it reached 62 million total streaming subscribers for the first quarter, almost 40 million of that Paramount+, but core financials weren’t uniformly encouraging.
Still, today’s investor reaction today was moderate compared with that in February, when Paramount held an investor day, announced a corporate rebrand from ViacomCBS and divulged soft quarterly numbers along with anticipated high costs to fuel streaming content.
Shares fell more than 20% the following day.It’s still clear that investors have not entirely bought into the streaming narrative.
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