ViacomCBS Inc

Paramount delivered a solid quarterly result, exceeding Wall Street expectations in terms of revenues and earnings, driven largely by its media business as well as expansive monetization platforms. Through a strong performance at the box office and through its continued robust streaming momentum, the company delivered 19% overall revenue growth. The company is gradually gaining market share in upfront dollars, in the box office, in broadcast, and in streaming. The company had 3.7 net subscriber additions to the Paramount+ platform taking its total to 43.3 million subscribers. The content of Paramount consistently entertains and attracts mass audiences and the company leveraged its portfolio brands, including MTV and CBS, to execute the main cross-company consumer campaign that resonates with the audience. Paramount has been ramping up its expansion at the international level as scheduled with Paramount+, the subscription-based service to launch in Ireland and UK. Paramount+ continues to enlarge internationally, thus leveraging its rich heritage as a truly worldwide operating company. In this quarter, the monthly active users of the company grew. Through partnerships with Corus and Viaplay Group, the company is expanding the international footprint of Pluto TV in Canada and the Nordics. Paramount is continuing to develop its value over its business from streaming, to theatrical, to advertising. We provide the stock of Paramount with a ‘Hold’ rating with a revision in the target price.