Skydance Corp (SKYD.K): The Street’s Pretty Bearish. We See Upside to Consensus.

We are resuming coverage of Skydance after a period of Rating Suspended with a Buy rating and a target price of $10 per share. From '27 to '29, our EBITDA forecast falls short of management's internal goals. However, our EBITDA forecast is ~12% ahead of Street estimates. To us, this suggests investors remain skeptical. Our more constructive stance is underpinned by $8 billion of cost synergies by '29 (~$2 billion ahead of management targets). Our TP of $10 is akin to 6.9x 2028 EV/EBITDA. Skydance Is Born — With Paramount's acquisition of Warner Bros, Skydance emerges with several notable attributes: 1) ~$30 billion of annual content outlays, ~50% larger than Netflix and ~20% larger than Disney; 2) the largest TV and film studio, generating ~2x the revenue of Sony, NBCU, or Disney;