David Ellison-led Paramount Skydance (PSKY) announced the acquisition of The Free Press for $150 million and named Bari Weiss as Editor-in-Chief of CBS News. The terms of the deal, which include cash and Paramount stock, remain undisclosed. Weiss co-founded The Free Press in 2021, after quitting her opinion columnist role at the New York Times (NYT). She has been vocal against “woke” orthodoxy and is a strong defender of Israel.
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Ellison seems to be betting that Weiss, a successful businessperson with influential connections, can revive the currently third-ranked broadcast news network. Weiss will report directly to Ellison and play a key role in shaping CBS News’ editorial direction.
Ellison Moves to Reposition CBS News
Ellison is making great efforts to reposition CBS News, which he acquired as part of an $8.4 billion deal for Paramount Global. During the merger approval process, Skydance pledged to represent a wide range of viewpoints and reflect diverse American opinions. The company also committed to appointing an ombudsman for the nearly 100-year-old CBS News organization.
The Free Press reportedly has about 1.5 million subscribers, with around 170,000 paying for the service. Following the acquisition, The Free Press will continue to operate independently, maintain its own reporting, video, podcast operations, and subscriber events. Weiss will remain CEO and editor of The Free Press.
In a letter to Paramount employees on Monday, Ellison wrote that the company must improve and promote respectful, bipartisan dialogue, praising Weiss’ dedication to broad, fact-based reporting and diverse voices.
Weiss’ Appointment Draws both Support and Critics
Weiss’ appointment at CBS News has drawn both supporters and critics. Some believe that her new role as Editor-in-Chief of CBS News will bring new ideas and help people trust the news more, especially those who don’t trust the legacy media anymore. On the other hand, some are concerned that Weiss’ strong opinions about “woke” culture and her support for Israel might affect CBS News’ fairness. They worry this could bias the news and upset some viewers.
This acquisition and leadership change represent a key moment for CBS News as it faces challenges in a competitive media environment, striving to balance innovation with maintaining journalistic integrity.
Is PSKY Stock a Buy, Hold, or Sell?
On TipRanks, PSKY stock has a Hold consensus rating based on two Buys, nine Holds, and five Sell ratings. The average Paramount Skydance price target of $12.28 implies 35.8% downside potential from current levels. Meanwhile, PSKY stock has gained 85% year-to-date.
