NETFLIX STOCK FALLS 1.5% AS WARNER BROS TURNS DOWN REVISED PARAMOUNT OFFER, YET IS WILLING TO CONSIDER A FINAL PROPOSAL
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 hours ago
0mins
Should l Buy PSKY?
Source: moomoo
Netflix Shares Decline: Netflix shares fell by 1.5% following news of Warner Bros. rejecting a revised bid from Paramount.
Warner Bros. Decision: The rejection of the bid indicates ongoing negotiations and potential changes in the media landscape.
Paramount's Position: Despite the rejection, Paramount remains open to a final offer, suggesting that discussions may continue.
Market Reactions: The stock market's response reflects investor concerns about the implications of these negotiations on Netflix and its competitors.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy PSKY?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on PSKY
Wall Street analysts forecast PSKY stock price to rise
15 Analyst Rating
1 Buy
7 Hold
7 Sell
Moderate Sell
Current: 10.320
Low
8.00
Averages
14.08
High
19.00
Current: 10.320
Low
8.00
Averages
14.08
High
19.00
About PSKY
Paramount Skydance Corp, formerly New Pluto Global, Inc., is a holding company. It operates through its wholly owned subsidiaries, Paramount Global (Paramount) and Skydance Media, LLC (Skydance). Paramount is a global media, streaming and entertainment company that creates premium content and experiences for audiences worldwide. Its consumer brands include CBS, Paramount Pictures, Nickelodeon, MTV, Comedy Central, BET, Paramount+ and Pluto TV. In addition to offering streaming services and digital video products, it also provides production, distribution and advertising solutions. Skydance is a diversified media company focused on creating event-level entertainment for global audiences. Skydance develops, finances and produces live-action and animated films, television shows, sports content and interactive games worldwide. Skydance has also produced 31 seasons of live-action and animated television content across 16 series and supplies content across a range of platforms.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Warner Bros. and Paramount Discuss Merger Terms
- Stock Surge: Shares of Paramount Skydance (PSKY) rose nearly 10% to $11.33 after Warner Bros. Discovery (WBD) agreed to discuss merger terms, reflecting market optimism about the potential deal.
- Active Trading Volume: By 1:15 PM ET, over 7.17 million shares of PSKY had traded, nearing its three-month average of 8.77 million shares, indicating strong investor interest in the merger negotiations.
- Merger Proposal Details: Paramount's latest offer includes a $650 million “ticking fee” payable quarterly after 2026 to WBD shareholders if regulatory approvals are delayed, along with a commitment to cover a $2.8 billion termination fee, demonstrating its determination to finalize the deal.
- Market Reaction and Strategic Implications: Warner Bros. has indicated it wants more than $31 per share for the company, and if Paramount offers $33 per share, the deal could be valued at nearly $116 billion, highlighting strong market interest in large media mergers and potential value creation opportunities.
See More
Wall Street Opens Under AI Disruption Fears
- Tech Stocks Decline: The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) fell over 2.7% in midday New York trading, marking its 11th decline in the past 15 sessions and pushing year-to-date losses to nearly 25%, reflecting ongoing investor concerns over potential AI-driven market disruptions.
- Nasdaq Underperformance: While broader equity indices were largely flat, the tech-heavy Nasdaq 100 slipped 0.3%, indicating a lack of confidence in the tech sector that may influence future investment decisions.
- Airline Stocks Rally: Airbnb Inc. (NASDAQ:ABNB) added 3.7%, extending last week's post-earnings momentum, while Southwest Airlines Co. (NYSE:LUV) jumped over 6% following analyst upgrades, suggesting a positive outlook for the airline industry's recovery.
- Commodity Market Decline: Following Iran's foreign minister's statement on reaching key principles with the U.S., crude oil fell 1.3% to $62 per barrel, while gold and silver dropped 2.5% and nearly 6%, respectively, indicating market reactions to geopolitical risks.
See More
General Mills Lowers 2026 Outlook, Shares Drop
- General Mills Outlook Downgrade: General Mills has lowered its 2026 organic net sales forecast to a decline of 1.5% to 2%, with operating profit and adjusted EPS expected to fall by 16% to 20%, resulting in a 7% drop in shares, indicating market concerns about future growth.
- Southwest Airlines Stock Surge: Shares of Southwest Airlines rose over 6% after UBS upgraded its rating to buy, with analysts highlighting new initiatives like extra legroom and assigned seating that could attract more travelers, showcasing the company's proactive transformation in a competitive airline market.
- ZIM Integrated Shipping Services Surge: ZIM's shares surged 30% following the announcement that German-based Hapag-Lloyd will acquire ZIM for $4.2 billion, financed through cash and external funding, marking a significant consolidation in the shipping industry.
- Labcorp's Mixed Results: Labcorp reported a fourth-quarter EPS of $4.07, exceeding the $3.94 expected by analysts, yet shares fell over 3% due to concerns regarding the pace of organic revenue growth despite a positive earnings forecast.
See More
Warner Bros. Sets Shareholder Vote Date for Netflix Merger
- Shareholder Vote Arrangement: Warner Bros. has confirmed a special shareholder meeting on March 20 at 8:00 AM to vote on the merger proposal with Netflix, demonstrating the company's strong confidence in the merger and aiming to accelerate shareholder support for the transaction.
- Negotiations with Paramount: Warner Bros. has initiated discussions with Paramount Skydance regarding a potential 'best and final offer', indicating the company's flexibility in its M&A strategy, which could lead to higher returns for shareholders.
- Stock Price Increase: Following the announcement, Warner Bros. shares rose by 2.39% to $28.66, reflecting market optimism about the merger prospects and potentially attracting more investor interest in the stock.
- Merger Terms Analysis: Warner Bros. emphasized that despite Paramount's $30 per share cash offer, its board has not determined that this proposal is likely to result in a superior transaction, reiterating its support for the Netflix merger, which showcases confidence in the deal's potential benefits.
See More
Market Dynamics and Investment Opportunities Analysis
- Tech Stock Pressure: Selling pressure in the Nasdaq is expected to exceed that of the S&P 500 due to ongoing fears of AI disruption, indicating a cautious market sentiment that may impact the short-term performance of tech companies.
- Norwegian Cruise Investment: Activist investor Elliott Investment Management has acquired over a 10% stake in Norwegian Cruise Line, aiming to turnaround the underperforming operator, which has led to a more than 6% increase in share price, reflecting market confidence in its restructuring potential.
- Energy Stock Upgrade: Melius upgraded Chevron from hold to buy, raising its price target from $162 to $205, as analysts believe the global energy company is well-positioned for growth, particularly due to developments in Venezuela.
- Apple Product Launch: Apple has invited press members to a
See More
NETFLIX STOCK FALLS 1.5% AS WARNER BROS TURNS DOWN REVISED PARAMOUNT OFFER, YET IS WILLING TO CONSIDER A FINAL PROPOSAL
Netflix Shares Decline: Netflix shares fell by 1.5% following news of Warner Bros. rejecting a revised bid from Paramount.
Warner Bros. Decision: The rejection of the bid indicates ongoing negotiations and potential changes in the media landscape.
Paramount's Position: Despite the rejection, Paramount remains open to a final offer, suggesting that discussions may continue.
Market Reactions: The stock market's response reflects investor concerns about the implications of these negotiations on Netflix and its competitors.
See More
Warner Bros. and Paramount Discuss Merger Terms
- Stock Surge: Shares of Paramount Skydance (PSKY) rose nearly 10% to $11.33 after Warner Bros. Discovery (WBD) agreed to discuss merger terms, reflecting market optimism about the potential deal.
- Active Trading Volume: By 1:15 PM ET, over 7.17 million shares of PSKY had traded, nearing its three-month average of 8.77 million shares, indicating strong investor interest in the merger negotiations.
- Merger Proposal Details: Paramount's latest offer includes a $650 million “ticking fee” payable quarterly after 2026 to WBD shareholders if regulatory approvals are delayed, along with a commitment to cover a $2.8 billion termination fee, demonstrating its determination to finalize the deal.
- Market Reaction and Strategic Implications: Warner Bros. has indicated it wants more than $31 per share for the company, and if Paramount offers $33 per share, the deal could be valued at nearly $116 billion, highlighting strong market interest in large media mergers and potential value creation opportunities.
See More
Wall Street Opens Under AI Disruption Fears
- Tech Stocks Decline: The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) fell over 2.7% in midday New York trading, marking its 11th decline in the past 15 sessions and pushing year-to-date losses to nearly 25%, reflecting ongoing investor concerns over potential AI-driven market disruptions.
- Nasdaq Underperformance: While broader equity indices were largely flat, the tech-heavy Nasdaq 100 slipped 0.3%, indicating a lack of confidence in the tech sector that may influence future investment decisions.
- Airline Stocks Rally: Airbnb Inc. (NASDAQ:ABNB) added 3.7%, extending last week's post-earnings momentum, while Southwest Airlines Co. (NYSE:LUV) jumped over 6% following analyst upgrades, suggesting a positive outlook for the airline industry's recovery.
- Commodity Market Decline: Following Iran's foreign minister's statement on reaching key principles with the U.S., crude oil fell 1.3% to $62 per barrel, while gold and silver dropped 2.5% and nearly 6%, respectively, indicating market reactions to geopolitical risks.
See More
General Mills Lowers 2026 Outlook, Shares Drop
- General Mills Outlook Downgrade: General Mills has lowered its 2026 organic net sales forecast to a decline of 1.5% to 2%, with operating profit and adjusted EPS expected to fall by 16% to 20%, resulting in a 7% drop in shares, indicating market concerns about future growth.
- Southwest Airlines Stock Surge: Shares of Southwest Airlines rose over 6% after UBS upgraded its rating to buy, with analysts highlighting new initiatives like extra legroom and assigned seating that could attract more travelers, showcasing the company's proactive transformation in a competitive airline market.
- ZIM Integrated Shipping Services Surge: ZIM's shares surged 30% following the announcement that German-based Hapag-Lloyd will acquire ZIM for $4.2 billion, financed through cash and external funding, marking a significant consolidation in the shipping industry.
- Labcorp's Mixed Results: Labcorp reported a fourth-quarter EPS of $4.07, exceeding the $3.94 expected by analysts, yet shares fell over 3% due to concerns regarding the pace of organic revenue growth despite a positive earnings forecast.
See More
Warner Bros. Sets Shareholder Vote Date for Netflix Merger
- Shareholder Vote Arrangement: Warner Bros. has confirmed a special shareholder meeting on March 20 at 8:00 AM to vote on the merger proposal with Netflix, demonstrating the company's strong confidence in the merger and aiming to accelerate shareholder support for the transaction.
- Negotiations with Paramount: Warner Bros. has initiated discussions with Paramount Skydance regarding a potential 'best and final offer', indicating the company's flexibility in its M&A strategy, which could lead to higher returns for shareholders.
- Stock Price Increase: Following the announcement, Warner Bros. shares rose by 2.39% to $28.66, reflecting market optimism about the merger prospects and potentially attracting more investor interest in the stock.
- Merger Terms Analysis: Warner Bros. emphasized that despite Paramount's $30 per share cash offer, its board has not determined that this proposal is likely to result in a superior transaction, reiterating its support for the Netflix merger, which showcases confidence in the deal's potential benefits.
See More
Market Dynamics and Investment Opportunities Analysis
- Tech Stock Pressure: Selling pressure in the Nasdaq is expected to exceed that of the S&P 500 due to ongoing fears of AI disruption, indicating a cautious market sentiment that may impact the short-term performance of tech companies.
- Norwegian Cruise Investment: Activist investor Elliott Investment Management has acquired over a 10% stake in Norwegian Cruise Line, aiming to turnaround the underperforming operator, which has led to a more than 6% increase in share price, reflecting market confidence in its restructuring potential.
- Energy Stock Upgrade: Melius upgraded Chevron from hold to buy, raising its price target from $162 to $205, as analysts believe the global energy company is well-positioned for growth, particularly due to developments in Venezuela.
- Apple Product Launch: Apple has invited press members to a
See More
NETFLIX STOCK FALLS 1.5% AS WARNER BROS TURNS DOWN REVISED PARAMOUNT OFFER, YET IS WILLING TO CONSIDER A FINAL PROPOSAL
Netflix Shares Decline: Netflix shares fell by 1.5% following news of Warner Bros. rejecting a revised bid from Paramount.
Warner Bros. Decision: The rejection of the bid indicates ongoing negotiations and potential changes in the media landscape.
Paramount's Position: Despite the rejection, Paramount remains open to a final offer, suggesting that discussions may continue.
Market Reactions: The stock market's response reflects investor concerns about the implications of these negotiations on Netflix and its competitors.
See More
