What's Going On With Paramount Global Stock?

Paramount Global PARA shares are moving Thursday after Berkshire Hathaway sold approximately 30.4 million shares of the stock.

The Details:

Berkshire Hathaway, led by Warren Buffet, reduced its position in Paramount by roughly 30.4 million shares and now holds 63.32 million shares. 

Paramount Global has been exploring a sale or merger and has received interest from Warner Bros. Discovery, Inc. WBD, Skydance Media, and Byron Allen. Earlier this week, the troubled media company announced it was cutting 800 jobs, approximately 3% of its workforce. 

According to data from Benzinga Pro, shares are trading below the stock’s 50-day moving average of $14.44 and well-below its 52-week high of $24.66. Also, a notable 19.12% of Paramount shares are being sold short. 

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PARA Stock Prediction 2024

Equity research analysts on and off Wall Street typically use earnings growth and fundamental research as a form of valuation and forecasting. But many in trading turn to technical analysis as a way to form predictive models for share price trajectory.

Some investors look to trends to help forecast where they believe a stock could trade at a certain point in the future. Looking at Paramount Global, an investor could make an assessment about a stock's long term prospects using a moving average and trend line. If they believe a stock will remain above the moving average, which many believe is a bullish signal, they can extrapolate that trend into the future using a trend line. For Paramount Global, the 200-day moving average sits at $14.46, according to Benzinga Pro, which is above the current price of $13.07. For more on charts and trend lines, see a description here.

Traders believe that when a stock is above its moving average, it is a generally bullish signal, and when it crosses below, it is a more negative signal. Investors could use trend lines to make an educated guess about where a stock could trade at a later date if conditions remain stable.

PARA Price Action: According to Benzinga Pro, Paramount Global shares are down 1.35% at $13.01 at the time of publication.

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