Head-To-Head Analysis: Paramount Skydance (NASDAQ:PSKY) & Cineverse (NASDAQ:CNVS)

Paramount Skydance (NASDAQ:PSKY) and Cineverse (NASDAQ:CNVS) are both communication services companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, earnings, institutional ownership, analyst recommendations, profitability, dividends and risk.

Earnings & Valuation

This table compares Paramount Skydance and Cineverse”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Paramount Skydance	$28.89 billion	0.41	-$621.00 million	$0.29	36.62
Cineverse	$85.21 million	0.59	-$8.84 million	($0.59)	-3.61

Cineverse has lower revenue, but higher earnings than Paramount Skydance. Cineverse is trading at a lower price-to-earnings ratio than Paramount Skydance, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

73.0% of Paramount Skydance shares are held by institutional investors. Comparatively, 8.2% of Cineverse shares are held by institutional investors. 0.4% of Paramount Skydance shares are held by company insiders. Comparatively, 12.4% of Cineverse shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of current recommendations and price targets for Paramount Skydance and Cineverse, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Paramount Skydance	9	5	4	0	1.72
Cineverse	1	0	2	0	2.33

Paramount Skydance currently has a consensus target price of $11.33, suggesting a potential upside of 6.72%. Cineverse has a consensus target price of $11.50, suggesting a potential upside of 439.91%. Given Cineverse’s stronger consensus rating and higher possible upside, analysts clearly believe Cineverse is more favorable than Paramount Skydance.

Risk and Volatility

Paramount Skydance has a beta of 1.5, meaning that its stock price is 50% more volatile than the S&P 500. Comparatively, Cineverse has a beta of 1.48, meaning that its stock price is 48% more volatile than the S&P 500.

Profitability

This table compares Paramount Skydance and Cineverse’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Paramount Skydance	-2.13%	4.11%	1.21%
Cineverse	-12.87%	-50.16%	-18.30%

Summary

Paramount Skydance beats Cineverse on 9 of the 14 factors compared between the two stocks.

About Paramount Skydance

Paramount Global is a media and entertainment company which creates premium content and experiences for audiences. The company’s portfolio of consumer brands includes CBS, Showtime Networks, Paramount Pictures, Nickelodeon, MTV, Comedy Central, BET, Paramount , Pluto TV and Simon & Schuster, among others. Paramount Global, formerly known as ViacomCBS Inc., is based in NEW YORK.

About Cineverse

Cineverse Corp. operates as a streaming technology and entertainment company. The company operates in two segments, Cinema Equipment, and Content and Entertainment. It owns and operates streaming channels, through its proprietary technology platform. The company also delivers curated content through subscription video on demand (SVOD), dedicated ad-supported (AVOD), and ad-supported streaming linear (FAST) channels, as well as social video streaming services and audio podcasts; operates OTT streaming entertainment channels; and offers monitoring, billing, collection, and verification services. It entertains consumers worldwide by providing premium feature film and television programs, enthusiast streaming channels, and technology services. The company was formerly known as Cinedigm Corp. and changed its name to Cineverse Corp. in May 2023. Cineverse Corp. was incorporated in 2000 and is based in New York, New York.