November 30, 2025 a 11:30 am
PARA: Dividend Analysis - Paramount Global
Paramount Global showcases a diversified dividend profile. Despite recent challenges, the company has maintained a 20-year dividend history, signaling resilience. Investors should be cautious of inconsistent dividend growth and payout ratios, but the overall historical stability remains noteworthy.
📊 Overview
In this section, we provide a detailed overview of Paramount Global's current dividend statistics, which is essential for evaluating the company's ability to provide shareholder value through dividends.
| Key Metric | Value |
|---|---|
| Sector | Entertainment |
| Dividend yield | 1.90% |
| Current dividend per share | 0.2530 USD |
| Dividend history | 20 years |
| Last cut or suspension | None |
🗣️ Dividend History
The dividend history is pivotal in understanding a firm's commitment to returning capital to shareholders. Paramount Global's 20-year history underscores its dedication, but recent reductions must be evaluated.
| Year | Dividend per Share (USD) |
|---|---|
| 2025 | 0.15 |
| 2024 | 0.20 |
| 2023 | 0.39 |
| 2022 | 0.96 |
| 2021 | 0.96 |
📈 Dividend Growth
Dividend growth rates reflect a company's ability to increase shareholders' returns. Paramount Global demonstrates challenges, with declines over both 3 and 5 years.
| Time | Growth |
|---|---|
| 3 years | -40.72% |
| 5 years | -23.83% |
The average dividend growth is -23.83% over 5 years. This indicates a significant decline in dividend value, possibly suggesting financial strain.
⚠️ Payout Ratio
Payout ratios reveal how much of a company's earnings are distributed as dividends, critical for assessing sustainability. Paramount Global's EPS-based ratio is concerning due to negative earnings.
| Key Figure | Ratio |
|---|---|
| EPS-based | -1049.59% |
| Free Cash Flow-based | 31.62% |
The EPS payout ratio indicates an unsustainable dividend model due to significant losses. In contrast, the FCF-based ratio appears more manageable, suggesting dividends are better covered by cash flows.
💡 Cashflow & Capital Efficiency
Cash flow analysis is paramount for understanding a company's ability to generate cash effectively and reinvest in growth. Below is a detailed view of capital efficiency metrics.
| Metric | 2024 | 2023 | 2022 |
|---|---|---|---|
| Free Cash Flow Yield | 7.04% | 1.57% | -1.27% |
| Earnings Yield | -89.12% | -6.48% | 10.08% |
| CAPEX to Operating Cash Flow | 34.97% | 69.05% | 163.47% |
| Stock-based Compensation to Revenue | 0.84% | 0.60% | 0.57% |
| Free Cash Flow / Operating Cash Flow Ratio | 65.03% | 30.95% | -63.47% |
The cash flow reveals a declining yield, suggesting challenges in cash generation and capital efficiency. High CAPEX relative to cash flow could limit growth opportunities.
⚖️ Balance Sheet & Leverage Analysis
Assessing balance sheet health through leverage ratios is crucial to understand the company's financial stability and debt management capacity.
| Metric | 2024 | 2023 | 2022 |
|---|---|---|---|
| Debt-to-Equity | 0.95 | 0.70 | 0.75 |
| Debt-to-Assets | 0.34 | 0.30 | 0.30 |
| Debt-to-Capital | 0.49 | 0.41 | 0.43 |
| Net Debt to EBITDA | 7.35 | 157.62 | 5.53 |
| Current Ratio | 1.30 | 1.32 | 1.23 |
| Quick Ratio | 1.15 | 1.17 | 1.11 |
| Financial Leverage | 2.83 | 2.38 | 2.53 |
Leverage ratios indicate substantial debt compared to equity and assets, posing financial strain. Monitoring debt management is vital for future solvency.
📊 Fundamental Strength & Profitability
Analyzing profitability and return metrics helps in understanding the company's operational efficiency and its ability to generate profits from invested capital.
| Metric | 2024 | 2023 | 2022 |
|---|---|---|---|
| Return on Equity | -37.93% | -2.70% | 4.79% |
| Return on Assets | -13.41% | -1.14% | 1.89% |
| Margins: Net, EBIT, EBITDA, Gross | -21.19%, -18.20%, -16.86%, 29.64% | -2.05%, -1.12%, 0.29%, 24.49% | 3.66%, 7.29%, 8.63%, 34.19% |
| Research & Development to Revenue | 0% | 0% | 0% |
Profitability metrics show volatility in returns and reduced margins, impacting the company's overall financial health and competitiveness.
📉 Price Development
✅ Dividend Scoring System
Evaluating Paramount Global's dividends through a scoring system based on multiple factors provides insights into its dividend reliability and sustainability.
| Criteria | Score | Score Bar |
|---|---|---|
| Dividend Yield | 2 | |
| Dividend Stability | 3 | |
| Dividend Growth | 1 | |
| Payout Ratio | 2 | |
| Financial Stability | 2 | |
| Dividend Continuity | 3 | |
| Cashflow Coverage | 2 | |
| Balance Sheet Quality | 2 |
Total Score: 17/40
🎯 Rating
In conclusion, Paramount Global presents a mixed dividend profile. While historical stability is reassuring, recent economic pressures have led to dividend cuts and concerning payout ratios. Prospective investors should weigh these factors against broader market conditions and individual investment goals.