Skydance Corporation (SKYD) AI Stock Analysis
SKYD AI stock analysis summary
AI ResearchSkydance Corporation (SKYD) is a media and entertainment company operating across Studios, Direct-to-Consumer, and TV Media. Over the trailing twelve months, revenue reached $29.11B with a profit margin of -2.1% and operating cash flow of $485.0M in FY2025. The company carries $15.16B in total debt and trades at a forward P/E of 11.3x after a 1-year share price decline of 58.4%.
- Market cap
- $34.84B
- Revenue (TTM)
- $29.11B
- P/E
- — fwd 11.3x
- 1Y return
- -58.4% S&P 500 16.8%
- Avg. target
- $8.87 28.4% vs last close
Bull case
- The stock trades at a forward P/E of 11.3x and a price-to-sales ratio of 1.2x, both below the S&P 500 Communication Services peer medians of 15.4x and 1.9x.
- Wall Street analysts set a mean price target of $8.87, which represents 28.4% upside above the recent closing price of $6.91.
- Free cash flow generation remained positive at $323.0M in FY2025, supporting capital expenditures of $162.0M.
Bear case
- Net income stood at -$6.19B in FY2025, matching the -$6.19B reported in FY2024, leaving the trailing twelve month profit margin at -2.1%.
- Total debt reached $15.16B as of June 30, 2026, compared to cash and short-term investments of $1.63B.
- The company's dividend payout ratio is 117.7%, following a 5-year annualized dividend decline of 26.9%.
What Skydance does
Skydance Corporation operates through three primary segments: Studios, Direct-to-Consumer and TV Media. It owns the CBS television network, a collection of cable networks, and film and television production studios such as Paramount Pictures that create and distribute entertainment content across the globe. The direct-to-consumer segment features the Paramount+ subscription streaming service and the free ad-supported platform Pluto TV. In addition, the company licenses content from its film and television library to external distributors. Headquartered in New York City, Skydance Corporation was created through the August 2025 combination of Skydance Media and Paramount Global, subsequently adopting its current corporate name in October 2026.
Growth and profitability
Revenue increased from $28.59B in FY2021 to $30.15B in FY2022 before retreating to $29.21B in both FY2024 and FY2025, generating a 4-year revenue CAGR of 0.5%. Net income declined from $4.54B in FY2021 to -$6.19B in FY2024 and -$6.19B in FY2025, resulting in a net margin of -21.2% in FY2025. Gross margin was 33.5% in FY2025, while operating margin was -18.0%. In the latest quarter ended June 30, 2026, quarterly revenue grew 0.9% year-over-year, while quarterly earnings declined 54.1%. Trailing twelve month revenue stands at $29.11B with an operating margin of 9.3% and EPS of -$0.02.
Balance sheet and cash flow
As of June 30, 2026, Skydance Corporation held $1.63B in cash and short-term investments alongside total debt of $15.16B, resulting in net debt of $13.53B. The company recorded shareholders' equity of $11.77B and total assets of $44.41B, with a current ratio of 1.04 and a debt-to-equity ratio of 1.29. In FY2025, the business generated operating cash flow of $485.0M and free cash flow of $323.0M. Capital deployment during FY2025 included capital expenditures of $162.0M, share buybacks of $92.0M, and dividends paid of $90.0M.
Valuation and performance
At a last close of $6.91, Skydance Corporation trades at a market capitalization of $34.84B and an enterprise value of $25.75B. Its forward P/E ratio is 11.3x, compared to the median of 15.4x for its S&P 500 Communication Services peers. The stock's price-to-sales multiple is 1.2x versus the peer median of 1.9x, while its EV/EBITDA ratio of 13.2x sits above the peer median of 10.9x. The company has a PEG ratio of 0.76 and a price-to-book ratio of 1.0x. Over the past year, SKYD shares fell 58.4%, while the SPY ETF returned 16.8%.
SKYD dividend
Skydance Corporation pays an annual forward dividend of $0.20 per share, representing a dividend yield of 2.89% based on its last close of $6.91. The payout ratio stands at 117.7%, and dividends have been paid for 21 consecutive years. Its 5-year annualized dividend growth rate was -26.9%, and the most recent ex-dividend date was September 15, 2026.
What analysts expect
Wall Street coverage includes 1 Strong Buy, 3 Buy, 9 Hold, 3 Sell, and 6 Strong Sell recommendations. The mean price target is $8.87, representing an upside of 28.4% from the last close of $6.91. For the current fiscal year ending December 31, 2026, analysts estimate EPS of -$0.28 on revenue of $66.65B. For the following fiscal year, 6 analysts project EPS of $0.20 and revenue of $69.32B. The company beat EPS estimates in 2 of the last 4 quarters, with the next earnings release scheduled for November 3, 2026.
Key risks and what to watch
- Net debt of $13.53B and a debt-to-equity ratio of 1.29 require ongoing cash flow to manage debt obligations.
- Operating margin was -18.0% in FY2025, and quarterly earnings fell 54.1% year-over-year in the period ended June 30, 2026.
- Short interest represents 15.7% of the float, accompanied by a 1-year share price return of -58.4%.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this SKYD AI stock analysis
This page is an AI-written research summary of Skydance Corporation (SKYD). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: SKYD income statement, SKYD balance sheet, SKYD key metrics, SKYD analyst forecast, SKYD chart. See the SKYD stock overview for the latest quote and news.
SKYD AI stock analysis FAQ
What dividend does Skydance Corporation pay?
Skydance Corporation pays an annual forward dividend of $0.20 per share, offering a dividend yield of 2.89%. The payout ratio is 117.7%, and the most recent ex-dividend date was September 15, 2026.
How much debt does SKYD have?
As of June 30, 2026, Skydance Corporation held total debt of $15.16B against cash and short-term investments of $1.63B, leading to net debt of $13.53B and a debt-to-equity ratio of 1.29.
What are analysts forecasting for Skydance Corporation?
Analysts anticipate EPS of -$0.28 on revenue of $66.65B for the fiscal year ending December 31, 2026. For the next fiscal year, 6 analysts project EPS of $0.20 on revenue of $69.32B, with a mean price target of $8.87.
When is Skydance Corporation's next earnings report?
The next earnings report date is scheduled for November 3, 2026.