Exploring Paramount Global (PARA) Investor Profile: Who’s Buying and Why?

You've seen the headlines, and honestly, the investor narrative around Paramount Global has been a defintely wild ride this year. We're not talking about a slow, steady ship; we're looking at a company that just reported a Q2 2025 net income of $61 million, a massive swing from the prior year's loss, but then slipped back to a Q3 net loss of $28.9 million, all while pushing its Direct-to-Consumer segment to 79 million subscribers. So, when you see a stock price reacting to this kind of volatility-and the massive, game-changing Skydance merger that closed in August-you have to ask: who are the smart money players buying into this story, and who is quietly heading for the exits?

The investor profile is a map of conviction: you have the long-term, deep-value institutions like Berkshire Hathaway holding a significant stake, but then you see hedge funds making sharp, contrasting moves, like Tudor Investment Corp ET AL initiating a NEW position of over 1.5 million shares in Q2, while Bank of America Corp DE slashed its holdings by 72% in the same period. Are these funds betting on the new entity, Paramount Skydance Corporation (PSKY), to finally deliver on the streaming-first strategy, or are they playing a short-term merger arbitrage game? Understanding these shifts gives you the edge, because it tells you exactly what kind of risk and opportunity the biggest players see in the post-merger media landscape.

Who Invests in Paramount Global (PARA) and Why?

The investor profile for Paramount Global (PARA) is a fascinating mix, dominated by a controlling entity and a large, activist institutional base that is betting heavily on the successful pivot to streaming and the value unlocked by the August 2025 merger with Skydance Media. The core takeaway is that while the Redstone family's National Amusements controls the voting power, the stock's price action is driven by institutional conviction in the Direct-to-Consumer (DTC) turnaround.

Key Investor Types: The Ownership Breakdown

Paramount Global has a dual-class share structure (Class A with voting rights, Class B without), which immediately segments the ownership. The company's fate is ultimately controlled by National Amusements, Inc., which as of May 5, 2025, beneficially owned shares of Class A Common Stock representing approximately 77.4% of the total voting power. This means the Class B shareholders-the vast majority of the public float-are investing in the economic value of the business, not its corporate control.

The remaining float is heavily institutional. Over 602 institutional investors and hedge funds held shares recently, with major names like Berkshire Hathaway being a significant holder. This institutional ownership typically holds the majority of the Class B shares, which totaled over 630 million shares outstanding as of February 21, 2025. Retail investors, while numerous, hold a smaller, but still significant, portion of the Class B shares, often drawn by the brand recognition and the potential for a value rebound.

• Controlling Shareholder: National Amusements, with 77.4% voting power.
• Institutional Investors: Over 602 firms, including major hedge funds and asset managers.
• Retail Investors: A large, diverse group focused on the economic value of the Class B stock.

Investment Motivations: Betting on the Turnaround

Investors are buying Paramount Global for three main reasons: the streaming growth story, the underlying asset value (a classic value play), and the major corporate catalyst of the Skydance merger. The old media business is declining, but the new one is finally showing real promise.

The most compelling motivation is the Growth Prospects of the DTC segment, primarily Paramount+. In Q2 2025, the DTC revenue grew by 15% year-over-year, and subscription revenue for Paramount+ specifically rose by 24%. This turnaround is defintely working, and management expects the entire DTC business to be profitable on a full-year basis in 2025. Also, the company's content strength is a huge draw; CBS remains the most-watched network in primetime for the 17th consecutive season.

The second key motivation is the Market Position and Value. The stock has been trading near its 52-week high as of July 2025, but many investors still see it as undervalued relative to its content library and peers, especially after the merger. The merger with Skydance Media, which closed in August 2025, is expected to generate at least $3 billion in run-rate efficiency savings by 2026, creating a clear path to improved profitability for the newly formed Paramount Skydance Corporation. You can read more about the company's structure and history here: Paramount Global (PARA): History, Ownership, Mission, How It Works & Makes Money.

Investment Strategies: Playing the Catalyst and the Long Game

The investment strategies seen in Paramount Global stock are highly polarized, reflecting the uncertainty and potential of the media industry transition.

Value Investing: This is the dominant strategy among long-term institutional holders. They see the company's market capitalization (around $15.53 billion as of July 2025) as a discount to the sum-of-its-parts-the value of CBS, the film studio, the cable networks, and the fast-growing streaming assets like Paramount+ and Pluto TV. They are willing to hold through the transition, expecting the cost-cutting and streaming scale to eventually lead to a much higher stock price.

Event-Driven/Activist Trading: Hedge funds and other short-term traders are primarily focused on the merger and the associated corporate actions. They buy based on the expected value-unlocking from the Skydance deal and the anticipated asset sales or spin-offs that could follow. Interestingly, one strategy of buying after a quarter-over-quarter revenue increase and holding for 30 days delivered a massive 97.54% return over three years, showing that event-driven trading around earnings is a viable approach here.

Here's the quick math on the DTC recovery: The company's Q2 2025 net income was $61 million, a massive swing from a $5.40 billion loss in Q2 2024, proving the turnaround is in motion. That's a compelling data point for anyone looking for a clear inflection point.

Your action item is clear: Finance should analyze the impact of the projected $3 billion cost savings on the 2026 free cash flow forecast by month's end.

Institutional Ownership and Major Shareholders of Paramount Global (PARA)

You're looking at Paramount Global (PARA), but the landscape changed drastically in 2025. The core takeaway is that the company, now Paramount Skydance Corporation (PSKY) following the August 7, 2025, merger with Skydance Media, is now majority-owned by a new controlling insider group, but institutional money still holds a significant, powerful stake.

Institutional investors-the large mutual funds, pension funds, and asset managers-own a substantial portion of the newly formed Paramount Skydance Corporation. As of the Q3 2025 reporting, institutional ownership sits at approximately 73.00% of the total stock. This high percentage means the company's stock price and long-term strategy are defintely influenced by the decisions of a few major players.

Top Institutional Investors and Their Holdings

While the merger with Skydance Media shifted the balance of power toward the new insider group, the largest institutional holders remain critical to the public float. These firms are primarily passive investors (like index funds) or large active managers buying into the post-merger turnaround story. Here's a look at the top institutional holders in Paramount Skydance Corporation, with data reflecting their positions as of the latest 2025 filings:

• Lingotto Investment Management LLP: Held 47,088,625 shares, valued at approximately $738.35 million.
• Vanguard Group Inc: Held 35,873,464 shares, with a market value of about $562.50 million.
• State Street Corp: Held 27,651,335 shares, valued at $433.57 million.
• Blackrock Inc: Held 16,557,304 shares, valued at roughly $259.62 million.

These top institutions, including Vanguard Group and State Street Corp, are often passive investors. They buy and hold the stock simply because it's part of a major index, but their sheer size gives them immense voting power on governance issues, especially with the non-voting Class B shares.

The Great Ownership Shift: Increases and Decreases

The biggest story in Paramount Global's ownership in 2025 wasn't a slow build-up, but a dramatic exit and a new controlling interest. Before the merger, the most significant change was the complete divestiture of a major stake by one of the world's most famous investors.

• Berkshire Hathaway's Exit: Warren Buffett's Berkshire Hathaway Inc., once a major holder of Paramount Global (PARA) Class B shares, sold its entire remaining stake in the company at a loss before the August 2025 merger. This move, totaling approximately 63.3 million shares, signaled a major lack of confidence in the media giant's pre-merger strategy and was a huge psychological blow to the stock.
• New Controlling Interest: The merger created a new power structure. The Skydance Investor Group, led by David Ellison and RedBird Capital, now controls approximately 70% of the pro forma shares of Paramount Skydance Corporation, replacing the Redstone family's National Amusements, Inc. as the primary power broker. This is a fundamental change in who drives the company's long-term decisions.

So, while the public float still has major institutional players, the real control is concentrated in the hands of the new insider group. This matters because it means the new management team has a clear mandate and the voting power to execute their strategy without constant public shareholder battles.

Institutional Impact on Stock Price and Strategy

The role of these large investors is twofold: they influence the stock price through their trading volume and they shape the company's strategy through engagement and proxy votes. The merger itself is the ultimate example of this influence.

The institutional investor vote was crucial in approving the merger and the new strategic direction. The new management is focused on three North Star priorities: investing in growth, scaling the Direct-to-Consumer (DTC) business (Paramount+), and driving efficiency for long-term free cash flow. This is the direct result of institutional pressure to fix the legacy business model.

Here's the quick math on the turnaround plan, which is what the institutions are now watching:

• Cost Savings: Management has increased the run-rate efficiency target to at least $3 billion by 2026.
• Content Investment: They are committing over $1.5 billion in incremental annual content investment for 2026.
• Streaming Growth: Paramount+ added 1.4 million new subscribers in Q3 2025, reaching a total of 79 million.

The market is cautiously optimistic, which is why shares of Paramount Skydance Corporation (PSKY) surged over 9% after the first post-merger Q3 2025 earnings report, which detailed the ambitious cost-saving and investment roadmap. You need to watch the execution on these numbers. If you want a deeper dive into the financials driving this shift, check out Breaking Down Paramount Global (PARA) Financial Health: Key Insights for Investors. Failure to hit the profitability target for the DTC segment in 2025 or the $3 billion savings goal will defintely lead to institutional selling pressure.

Key Investors and Their Impact on Paramount Global (PARA)

You're looking at Paramount Global (PARA) and trying to figure out whose money is really driving the bus, especially with all the M&A noise this year. The short answer is that the company's investor profile in 2025 was defined by a split: a single, controlling shareholder with nearly all the voting power, and a rapid, high-profile exit by a legendary institutional investor.

Before the company's merger with Skydance Media in August 2025, the investment landscape was dominated by the Redstone family's holding company, National Amusements, Inc. (NAI). This is the single most important factor for any investor to understand.

The Controlling Interest: National Amusements, Inc.

NAI's influence is not just about the size of its economic stake; it's about control. As of May 5, 2025, NAI beneficially owned shares of Class A Common Stock representing approximately 77.4% of the voting power of Paramount Global's common stock. This dual-class share structure (Class A with voting rights, Class B with limited voting rights) means that NAI, led by Shari Redstone, has the final say on all major corporate decisions, including board nominations and merger approvals.

Here's the quick math on influence: A massive institutional fund might own a large percentage of the total shares outstanding, but if those are mostly non-voting Class B shares, their influence on corporate governance (like the 2025 Annual Meeting of Stockholders on July 2, 2025, where directors were approved) is minimal compared to NAI. That's why the Skydance merger was a foregone conclusion once NAI was on board.

The Institutional Giants: Selling and Shifting

The institutional investor landscape for Paramount Global (PARA) in 2025 was marked by significant divestment, a clear signal of market uncertainty about the media giant's strategic direction, particularly before the merger. This is defintely a risk-off signal from the passive behemoths.

• Berkshire Hathaway: Sold entire stake in Q2 2024.
• BlackRock, Inc.: Reduced stake by 9,773,831 shares in late 2024.
• Vanguard Group Inc: Latest 2025 filings show a significant reduction or exit.

The most notable move was the complete exit by Berkshire Hathaway, led by Warren Buffett, which sold its entire position in the second quarter of 2024. This move, following a prior sale of one-third of their stake, was a huge vote of no confidence in the stock's value proposition, even with the company reporting a 15% growth in Direct-to-Consumer (DTC) revenue in Q2 2025. BlackRock, Inc., another top holder, reduced its position by 19.28% in a transaction executed on December 31, 2024, though it still held 40,927,492 shares as of early 2025. The price of that transaction was $10.46 per share, giving you a clear benchmark for their exit valuation.

For more context on the company's direction that prompted these moves, you can review the Mission Statement, Vision, & Core Values of Paramount Global (PARA).

Recent Moves and Forward-Looking Opportunities

The biggest recent move is the one that changed the company's name and structure: the merger with Skydance Media to form Paramount Skydance Corporation on August 7, 2025. This transition shifts the focus from managing the legacy media business to pursuing aggressive, scale-driven growth. The market capitalization of Paramount Global was reported at $15.53 billion and its annual revenue at $28.72 billion (2024 data) shortly before the merger.

The new entity, Paramount Skydance, is already making waves. As of November 2025, the company is reportedly preparing a bid for Warner Bros Discovery. This is a clear, near-term opportunity for investors, suggesting the new management is looking to consolidate the industry. The indicative offer is pitched around $23.50 a share. What this estimate hides is the regulatory risk and the complexity of integrating two massive media operations. Still, this aggressive post-merger action is a strong signal of a new, growth-focused strategy.

Here is a snapshot of the investor profile leading up to the merger:

So, the action item for you is to stop focusing on the old PARA investor base. The controlling interest is now aligned with a new, aggressive strategy. You need to analyze the financial viability of the new Paramount Skydance and its ability to execute on the massive task of acquiring and integrating Warner Bros Discovery.

Market Impact and Investor Sentiment

You are looking for a clear read on Paramount Global (PARA) now that the dust has settled from the Skydance merger, and the short answer is that investor sentiment remains highly polarized, but the focus has shifted entirely to the Direct-to-Consumer (DTC) turnaround. The market is still trying to price the new entity, Paramount Skydance Corporation, balancing the legacy media decline against the streaming growth story. Honestly, the stock's recent volatility shows this internal conflict.

The biggest near-term risk is that the market is still punishing the stock for the legacy business headwinds. For example, following the Q2 2025 earnings release on July 31, 2025, the stock fell 9.77% in aftermarket trading, closing at around $12, despite an earnings per share (EPS) beat of $0.46 against a forecasted $0.35. That's a classic case of the market prioritizing a slight revenue miss over a significant profitability beat. Still, the stock did see a massive surge of 89% since mid-September 2025 on rumors of a bid for Warner Bros. Discovery (WBD), showing how quickly sentiment can pivot on consolidation news.

• Sentiment: Cautious/Neutral, driven by DTC profitability promise.
• Key Investor: National Amusements, Inc. held approximately 77.4% of the voting power as of May 5, 2025, making their support for the Skydance deal crucial.
• Actionable Insight: Watch the DTC segment's operating income before depreciation and amortization (OIBDA) to gauge the true success of the new strategy.

The Skydance Merger and Ownership Shift

The completion of the merger with Skydance Media on August 7, 2025, which formed Paramount Skydance Corporation, is the most profound change to the investor profile this year. This transaction brought in new leadership and a clear mandate to scale the DTC business globally. The new management is targeting at least $3 billion in efficiency improvements and forecasting total revenue of $30 billion for 2026, which is a bold statement of intent.

For shareholders, the merger was a double-edged sword: it injected capital and a new strategic vision, but it also reduced the influence of existing common shareholders. The core investment thesis now rests on the new company's ability to execute its streaming-first strategy and integrate Skydance's production capabilities. If you want to dive deeper into the core business health that underpins this new strategy, you should check out Breaking Down Paramount Global (PARA) Financial Health: Key Insights for Investors.

Here's the quick math on the DTC segment's momentum, which is the engine driving the new narrative:

The company defintely expects the DTC segment to be profitable for the full-year 2025, which is a critical milestone for the investment community.

Analyst Views: A 'Sell' Consensus Hides the Turnaround Play

Despite the positive operational news in streaming, the overall analyst consensus remains cautious, leaning toward a 'Sell' or 'Neutral' rating as of mid-2025. This is a classic case of analysts being realistic about the enormous challenge of transforming a legacy media giant. The average 12-month price target hovers around $11.45 to $12.00, with a high estimate of $16.00 and a low of $10.00.

What this estimate hides is the deep division in the analyst community. Some firms, like Guggenheim, maintained a 'Buy' rating with a $14.00 target, while others like JP Morgan and Morgan Stanley lowered their ratings to 'Underweight' with a $10.00 target. The bear case focuses on the continued decline in TV Media revenue-down 13% to $4.5 billion in Q1 2025-and the high debt load, which was over $15.18 billion as of July 2025. The bull case, however, hinges on the new management's ability to execute the cost-cutting plan and the promise of global DTC profitability in 2025.

The key takeaway here is that the analyst community is not betting on a quick recovery; they are waiting for sustained evidence of the DTC segment offsetting the linear decline. Finance: Track the Q4 2025 Adjusted OIBDA forecast of $500 million to $600 million to see if the cost-cutting is yielding expected results.