Paramount price target raised to $11 from $10 at Morgan Stanley

Morgan Stanley analyst Benjamin Swinburne raised the firm’s price target on Paramount (PARA) to $11 from $10 and keeps an Underweight rating on the shares. The firm “modestly” trimmed its standalone FY25 estimates and notes that its view is roughly 5% below consensus, adding that its revised price target assumes roughly 50% of shares are tendered at $15 in the Skydance merger and the remaining equity is valued at about 6-times EV/EBITDA. While the valuation is no longer at a premium to peers given the underperformance over the past few years, the secular headwinds to linear TV have also worsened, the analyst tells investors.