Today we take a detailed look at ProSiebenSat.1 Media, one of the largest media and entertainment conglomerates in Europe, and examine how recent strategic changes could affect the company’s stock.

New strategy at ProSiebenSat.1: Local instead of global? ProSiebenSat.1, known for its diverse television business with channels such as ProSieben, Sat.1, Kabel Eins, and Sixx, is currently facing major changes. The company, based in Unterföhring near Munich, plans to focus more on content produced in Germany and Europe.

This change in strategy follows the observation that viewers increasingly desire content that reflects their own reality. While international hits like „The Big Bang Theory“ will continue to play a role, the focus will be on local productions. This is not only expected to increase ratings, but also boost advertising revenue.

Six-month chart for ProSiebenSat.1 Media SE The stock has surpassed the blue 50-day moving average and is now heading towards the red 200-day moving average. (Source: Stock Screener)

Figures and future prospects ProSiebenSat.1 has a market capitalization of 1.40 billion euros. A revenue of 3.87 billion euros is expected for the fiscal year 2023, which is projected to increase to 4.33 billion euros by 2026. Earnings per share are expected to be 0.98 euros in 2023 and increase to 1.24 euros by 2026.

From a technical standpoint, the stock is in a bottoming phase and a breakout above last year’s high could be a positive signal. However, it remains to be seen if the focus on local production will lead to the desired turnaround and if the associated cost reductions will bring an additional advantage.

Conclusion In summary, ProSiebenSat.1 is an exciting company in a phase of transition. The decision to focus more on local content could prove to be a wise move to survive in a rapidly changing media market.

However, it remains an open question whether this strategy is sufficient to compete with the major streaming platforms and revive linear television. For investors looking for a revaluation of the company, this presents an interesting but not risk-free opportunity.