Shares of Paramount Skydance (PSKY) saw a large price jump recently. This change happened after news broke about a former government official potentially joining the company and rumors that the firm might try to buy Warner Bros. These events took place right after Paramount and Skydance finished their merger. Investors are now looking at several factors, including a new sports deal and how the stock market works, to understand why the price went up so fast. While the company is focusing on its streaming service and new leadership, the sudden rise in stock value has drawn attention from people who track the entertainment business.
Timeline of Events and Main Players
The recent activity involves the new combined company, Paramount Skydance, and several key figures and groups:
September 23, 2025: Multiple reports show the stock price rising quickly.
Makan Delrahim: A former official from the first Trump Administration and a key advisor during the merger. Reports say he might officially join the company.
Warner Bros. Discovery: A large entertainment company that PSKY is reportedly considering buying.
UFC: A mixed martial arts group that signed a new media rights deal, which may bring in more money for the company.
The Merger: The formal joining of Paramount and Skydance to create PSKY.
"The stock's significant jump also reflected general excitement surrounding the recent merger, with some analysts pointing to the potential for a short squeeze due to low public share ownership." — TradingView Market Report
Core Data and Evidence
Recent records and market reports highlight specific reasons for the stock movement:
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| Factor | Detail | Source |
|---|---|---|
| New Hire | Makan Delrahim reported to be joining PSKY. | New York Post |
| Expansion | Possible bid to buy Warner Bros. | Media Reports |
| Revenue | New UFC media rights deal. | Financial Analysts |
| Market Flow | Low number of public shares available for trade. | StockStory |
The rise in stock price seems to be caused by a mix of new leadership rumors, potential company growth through buying rivals, and specific market conditions that make the stock move fast.
The Role of New Leadership
Reports from the New York Post indicate that Makan Delrahim is close to taking a role at the company. He previously worked as a top lawyer for the U.S. government.
He was already a lead advisor during the merger.
His experience with government rules could help the company if they try to buy other large businesses.
Did the news of his hiring cause the stock to rise, or was it just one part of a larger trend?
Rumors of a Warner Bros. Purchase
At the same time the stock went up, news arrived that Paramount Skydance might want to buy Warner Bros.
Buying another large company would make PSKY one of the biggest media firms in the world.
This kind of news often makes investors excited, but it also brings questions about how the company would pay for such a large purchase.
Is the company truly ready to buy a competitor so soon after their own merger?
Market Mechanics and the "Short Squeeze"
Some experts believe the price jump was not just about news, but also about how the stock is traded.
Because of the merger, there are not many shares available for the general public to buy.
When many people try to buy a stock that has very few shares, the price can go up very quickly.
This is often called a "short squeeze" when people betting against the stock have to buy it back at a higher price.
Sports Rights and Future Money
The company also has a new deal to show UFC fights.
Live sports are a steady way to get people to pay for TV and streaming services.
Analysts believe this deal will help the company grow its revenue over the next few years.
In a recent earnings call, the company noted that their streaming business (D2C) performed well in its first six months.
Expert Analysis
Market Analysts from StockStoryThe analysts suggest that the "low public share ownership" is a primary reason the stock moved so much. They point out that when a company has few shares on the open market, any good news—like the UFC deal or a new hire—can cause the price to "skyrocket" much faster than usual.
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Financial ReportersObservers note that the timing of the Makan Delrahim news is important. Since he understands how the government views big company mergers, his presence might make investors believe that a deal to buy Warner Bros. would be allowed by law.
Findings and Next Steps
The evidence shows that the rise in PSKY stock was likely not caused by one single event. Instead, it was a combination of:
The official end of the merger and the start of the new company.
News that a well-connected former official might join the leadership team.
Speculation that the company will grow even larger by buying Warner Bros.
Technical market factors that make the stock price sensitive to news.
The company's leaders have stated in recent meetings that their streaming services are doing well. The next steps for the company will likely involve confirming if Makan Delrahim will join the team and whether the rumors about buying Warner Bros. are true. Investors will need to watch if the stock price stays high or if it was a temporary jump caused by the "short squeeze."
Read More: Paramount Wins Warner Bros. Discovery Bid Over Netflix After Deal Reevaluation
Sources Used
TradingView (Sep 23, 2025): Report on share price and market factors. Link
Punxsutawney Spirit (Sep 23, 2025): Article on Delrahim and Warner Bros. rumors. Link
FinancialContent (Sep 23, 2025): Analysis of merger advisors and market moves. Link
The Motley Fool (Feb 25, 2026): Earnings transcript for Paramount Skydance (PSKY). Link
