PARA’s controlling shareholder may sell her stake
Depending on who you ask, a recession is either right around the corner or the stock market is ready to rattle off a seismic bull run. As always, the answer is probably in the middle of those two extremes. But due to uncertainty surrounding the Federal Reserve’s interest rate cuts, investors are stuck in a holding pattern until more data defines the country’s fiscal path.
Since bargains become popular when times are uncertain, we’d like to introduce a new weekly segment: Cheap Seats. Every week, we will profile two stocks under $20 with a market capitalization of at least $2 billion.
These are not outright “buy” recommendations, but interesting names – with cheap overhead – that are worth adding to your watch list. This week, we are diving into weed
name Aurora Cannabis Inc (NASDAQ:ACB) and entertainment behemoth Paramount Global (NASDAQ:PARA).
ACB is in focus today, amid the potential for lower excise taxes in Canada, as well as the legalization of cannabis in Germany. While the shares were last seen down 1.8% at $7.08, they surged to their highest level since September earlier in the session, and just blew through resistance at the 320-day moving average. For 2024, the security sports a 51.2% lead.
PARA is pulling back as well, last seen down 9.2% to trade at $12.28, amid reports that controlling shareholder Shari Redstone reached a tentative agreement to sell her stake in Skydance Media. The equity yesterday came just shy of the $14 level when the news first broke, and has relied on support from the $11 level since its March 5, four-year low of $10.16.