Should You Buy Corus Entertainment After Earnings? - InvestingChannel

Should You Buy Corus Entertainment After Earnings?

Corus Entertainment (TSX:CJR.B) is a Toronto-based media and content company that operates
specialty and conventional television networks and radio stations in Canada and worldwide. Shares of
Corus have dropped 27% in 2022 as of late afternoon trading on June 30. The stock is down 44% from
the previous year.

The company released its third quarter fiscal 2022 earnings on June 29. Overall, the company continued
to show improvement since pandemic has moved into the rear-view mirror. Consolidated revenues rose
8% year-over-year to $433 million in Q3 FY2022. Meanwhile, revenues rose 6% to $1.25 billion in the
year-to-date period.

Corus Studios significantly expanded its output deal with the United States streaming platform Hulu. The
new agreement includes 400 episodes of content, nearly doubling the previous output. It has also
partnered with Paramount Global to act as an advertising sales representative for the Pluto TV
streaming service. Investors should be encouraged by Corus’ foray into the streaming world. That said, it
has still retained an extensive legacy television lineup that includes Survivor, CSI: Vegas, and others.

Shares of Corus currently possess a very favourable price-to-earnings ratio of 4.8. It last had an RSI of 31,
which puts it just outside of technically oversold territory. Better yet, it offers a quarterly dividend of
$0.06 per share. That represents a tasty 6.7% yield.

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