Is Now the Right Time to Buy Paramount Stock?
Paramount Global (NASDAQ: PARA) recently announced it will expand its on-demand streaming service, Paramount+, to several more European countries. The premium offering will be available in France on Dec. 1, followed by Germany, Austria, and Switzerland on Dec. 8. With this latest expansion, Paramount+ is opening up an opportunity to reach millions more customers in Europe -- just as long as it can avoid the struggles that other U.S.-based streaming services have run into there.
In its latest quarterly earnings report, Paramount Global revealed it has 63.3 million customers across its various direct-to-consumer (DTC) global services, of which Paramount+ accounts for 43 million subscribers. The company has achieved that number by moving beyond its domestic borders, expanding into such countries as Australia and Canada along with parts of Europe, including Ireland and Italy. Paramount Global, however, has still broader ambitions; it wants to reach 100 million DTC customers by the end of 2024.
Europe is a ripe market for streaming businesses eager to expand. In 2022, it is anticipated the global subscription video-on-demand (SVOD) market will generate almost $81 billion in revenue, of which $13.5 billion will come from Europe. And given that Europe's SVOD income is expected to reach $26 billion by 2027, now is certainly a good time for Paramount+ to establish a greater footprint in the region.
Source Fool.com
