Wall Street Weighs Skydance-Paramount Mega-Merger as $80 Billion Debt Load Triggers Sell Ratings

The newly completed Skydance-Paramount merger has created a sprawling entertainment conglomerate spanning HBO Max, CNN, DC Comics, and SpongeBob, but the combined entity faces intense scrutiny over an $80 billion debt load.
Wall Street remains skeptical of the balance sheet, with 40% of analysts covering the stock rating it a sell. Needham senior analyst Laura Martin pointed out that leverage is expected to run above seven times, raising doubts over how quickly free cash flow can service debt across an increasingly fragmented media landscape.