When the bell on Wall Street rang last week, the newly minted Paramount Skydance came out swinging. Financial news and investment site Investopedia noted Wednesday afternoon that “Paramount Skydance shares jumped nearly 40%” just that day. According to analysts, this is the best two-day run for Paramount stock in 35 years.
Paramount Skydance announced a seven-year media rights agreement with TKO Group under which Paramount+ will become the exclusive home of all UFC events in the U.S. — pulling the mixed martial arts events from ESPN.https://t.co/dLgo6DIxQB
— Variety (@Variety) August 11, 2025
While some analysts were mystified, most tied the surge to Paramount’s $7.7 billion deal with the Ultimate Fighting Championship (UFC). The deal gives Paramount exclusive media rights to all UFC events in the US for the next seven years.
A Meme by Any Other Name
The Paramount stock surge happened shortly after Jim Cramer called it a “Meme stock,” (similar to what happened to GameStop in 2021).
Paramount, (PSKY), is a meme stock!!!!!!!!!!!!!! Small float… shocking
— Jim Cramer (@jimcramer) August 13, 2025
To put it simply, a meme stock is when a stock’s rise in value is driven by social media interest, despite (or perhaps because of) traditional metrics. Like a meme, the value of the stock may be short-lived, as the internet can be a fickle place. Whether or not Paramount Skydance is experiencing a meme stock moment is yet to be determined, but the blurring of lines between fandom and finance is becoming increasingly apparent.
If it’s fans of Paramount’s offerings, such as Yellowstone, Star Trek, and the UFC, leading the charge, with investors playing catchup, it will be interesting to see how things shake out. Potentially, it may all come down to the quality of the entertainment and the streaming experience.
Paramount+ – The Ultimate Fighting Channel
While for some time the mixed martial arts fights were niche entertainment only available on pay-per-view, the sport’s popularity has steadily increased. Acquiring the exclusive rights to broadcast UFC fights on their streaming service may benefit both TKO (the UFC’s parent company) and Paramount. The jump in Paramount stock suggests investors are hopeful.
A screenshot of Mike Tyson and Jake Paul facing off before their Netflix boxing match – YouTube, MMAFightingonSBN
Netflix famously struggled to stream the Mike Tyson-Jake Paul boxing match last year (arguably less a sporting event and more of a meme itself), leading the New York Post to say, “Netflix isn’t built for it.” Since then, the mega-streamer has mostly stuck to scripted and reality programming. By making a seven-year commitment to the UFC, Paramount must believe it has the infrastructure to handle unmissable, live entertainment, and offer something Netflix seemingly cannot.
Meanwhile, Disney reportedly signed a billion-dollar deal with the NFL, giving ESPN control over several of their assets in exchange for an equity stake. The deal, however, is subject to regulatory approval and may be tied up for some time. It’s reportedly already inviting antitrust concerns.
As the media landscape changes, both in streaming and linear broadcasting, the battle for sports supremacy is only heating up.
Honeymoon Phase
At the same time that Paramount stock was experiencing a meteoric rise, Disney and Warner Brothers only saw modest gains.
Sylvester Stallone as Dwight ‘The General’ Manfredi in Tulsa King (2022), Paramount Plus
How long Paramount can remain supreme in the stock market compared to the competition is, as always, uncertain. Nevertheless, the historic enthusiasm for Paramount Skydance suggests a new era in the way fans interact with their entertainment providers.
How do you feel about the Paramount stock price increase following the UFC announcement? Sound off in the comments and let us know!
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