CuriosityStream (CURI) Stock Forecast & Price Target

CuriosityStream Inc. has experienced positive momentum in its subscription revenues, which are showing sequential growth supported by increased availability on channel stores, enhancing subscriber acquisition. The company anticipates significant growth in licensing revenues, particularly for AI training content, along with forecasts for FY26 projecting revenue of $80.7 million and an adjusted EBITDA of $10.1 million, both showing robust year-on-year increases. Furthermore, CuriosityStream's improving free cash flow and expectation of sustainable dividend growth underscore its financial health and potential for continued expansion in the media and entertainment sector.

CuriosityStream faces several fundamental risks that contribute to a negative outlook on its stock, including a potentially limited total addressable market (TAM) for factual entertainment and increased competition from larger streaming platforms. The company's revenue growth is at risk due to lower year-over-year subscription revenues, which are not recurring, leading to potential volatility in future earnings. Additionally, the reliance on Direct Owned subscriber relationships presents a revenue headwind, further complicating the company's long-term financial stability amid rising stock compensation expenses affecting net income in upcoming quarters.