Is Paramount Global (PARA) Among Wednesday’s Losers?

We recently compiled a list of the 10 Firms Defy Market’s Bullish Momentum. In this article, we are going to take a look at where Paramount Global (NASDAQ:PARA) stands against the other stocks.

Wall Street’s main indices all finished in the green territory on Wednesday, as investors cheered an unexpectedly slower inflation rate in December.

The Dow Jones jumped by 1.65 percent, while the S&P surged by 1.83 percent. Meanwhile, the Nasdaq Composite index soared 2.45 percent.

Ten companies under mixed sectors bucked an overall positive market sentiment amid a series of negative factors weighing on investor sentiment.

In this article, let’s take a look at the reasons that dragged their shares performance.

To come up with the losers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

Viewers at home watching a top-rated show on the CBS Television Network.

Paramount Global (NASDAQ:PARA)

Mass media and entertainment giant Paramount Global (NASDAQ:PARA) saw its shares decline by 2.16 percent on Wednesday at $10.44 apiece after receiving public scrutiny for its planned merger with Skydance Media due to the participation of China-based Tencent Holdings Ltd., which was recently added to the US military blacklist.

John Moolenaar, chairman of the House China Select Committee, said in a statement on Wednesday that the merger should be reviewed by the Treasury Department’s Committee on Foreign Investment in the US.

“We’ve heard from multiple Hollywood executives about rampant self-censorship designed to curry favor with the Chinese Communist Party,” the Michigan Republican said. “Given that just this month, the Department of Defense designated Tencent as a Chinese military company, CFIUS should closely scrutinize the proposed merger to ensure the Chinese Communist Party is not further solidifying its hold on the American entertainment industry.”

Tencent, a technology and entertainment company, owns a minority stake in Skydance.

Overall PARA ranks 8th on our list of Wednesday’s losers. While we acknowledge the potential of PARA as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than PARA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.