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Paramount Global reshuffles top management

Published 30/04/2024, 00:12
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NEW YORK - Paramount Global announced today that Bob Bakish, President and CEO, is stepping down from his position and the Board of Directors. In his stead, an Office of the CEO has been established, composed of George Cheeks, Chris McCarthy, and Brian Robbins, all of whom are current presidents and CEOs of Paramount's various business units.

The newly formed Office of the CEO will collaborate with Naveen Chopra, CFO, and the Board to develop a long-term plan aimed at accelerating growth, streamlining operations, strengthening the balance sheet, and optimizing the streaming strategy. The Board expressed its confidence in the capabilities of Cheeks, McCarthy, and Robbins, citing their successful track records within the company.

Shari Redstone, Chair of the Board, expressed her belief in the future value creation potential of Paramount Global and her excitement for the prospects under the new collective leadership.

Bob Bakish's departure follows a career at Viacom beginning in 1997, culminating in his role as CEO of Viacom in 2016 and then CEO of the merged entity in 2019. Redstone acknowledged Bakish's contributions, including his role in the formation of the combined company and his efforts to rebuild Paramount's culture.

The Office of the CEO will now oversee the company's diverse portfolio, which includes CBS, Showtime, MTV, Comedy Central, BET, Paramount Pictures, Nickelodeon, and Paramount+. The company's assets reach over a billion people globally, with Paramount+ experiencing rapid growth in recent years.

Paramount Global (NASDAQ: PARA, PARAA), known for its extensive library of TV and film titles, is a significant player in media, streaming, and entertainment, offering a range of streaming services and digital video products, as well as production, distribution, and advertising solutions.

InvestingPro Insights

As Paramount Global navigates through a leadership transition, investors and industry observers are closely monitoring the company's financial health and stock performance. Paramount Global (NASDAQ: PARAA) stands out with a high shareholder yield, indicating a commitment to returning value to its shareholders. With 10 analysts having revised their earnings upwards for the upcoming period, there is an optimistic outlook on the company's potential to improve its earnings trajectory.

InvestingPro data highlights Paramount Global's current market capitalization of 14.32 billion USD. Despite recent challenges, the company is trading at a low Price / Book multiple of 0.38 as of the last twelve months ending Q4 2023, which could suggest that the stock is undervalued relative to its book value. This could be particularly relevant for value-oriented investors. Additionally, Paramount Global has maintained dividend payments for 19 consecutive years, with a current dividend yield of 0.89%, reflecting its commitment to shareholder returns.

For those interested in a deeper analysis, there are additional InvestingPro Tips available that shed light on Paramount Global's position as a prominent player in the Media industry, its stock price volatility, and liquidity position. To access these insights and more, consider subscribing to InvestingPro using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are in total 9 additional InvestingPro Tips that can provide further guidance on the company's performance and outlook.

The next earnings date for Paramount Global is set for April 29, 2024, which will be a pivotal moment for the company to showcase its strategic initiatives under the new collective leadership and provide updates on its streaming strategy optimization. As the company strives to accelerate growth and strengthen its balance sheet, these financial metrics and expert insights from InvestingPro will be key for investors to watch.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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