Key Points
- Warner Bros. Discovery insider Gerhard Zeiler sold 591,038 shares for approximately $15.99 million at an average price of $27.05, reducing his direct ownership by 52.37% to 537,436 shares.
- WBD reported quarterly EPS of $0.06, beating the $0.14 loss analysts expected, but revenue of $8.72 billion fell short of estimates and declined 11.2% year over year. The stock opened at $27.65, near analysts’ average price target of $27.69.
- Analyst sentiment remains mixed, with a consensus “Hold” rating, while regulatory and antitrust challenges surrounding the proposed Paramount-WBD merger continue to pose a significant risk to shareholders.
Warner Bros. Discovery, Inc. (NASDAQ:WBD - Get Free Report) Director Kenneth Lowe sold 120,000 shares of Warner Bros. Discovery stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $26.97, for a total value of $3,236,400.00. Following the transaction, the director directly owned 990,108 shares of the company's stock, valued at $26,703,212.76. This trade represents a 10.81% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink.
Warner Bros. Discovery Price Performance
Shares of NASDAQ WBD opened at $27.65 on Thursday. The company has a current ratio of 0.78, a quick ratio of 0.78 and a debt-to-equity ratio of 0.90. The company's 50-day moving average price is $26.49 and its 200 day moving average price is $27.17. Warner Bros. Discovery, Inc. has a 52 week low of $11.25 and a 52 week high of $30.00. The stock has a market cap of $69.32 billion, a price-to-earnings ratio of -21.77 and a beta of 1.55.
Warner Bros. Discovery (NASDAQ:WBD - Get Free Report) last announced its earnings results on Thursday, August 6th. The company reported $0.06 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.14) by $0.20. Warner Bros. Discovery had a negative net margin of 8.77% and a negative return on equity of 8.91%. The company had revenue of $8.72 billion during the quarter, compared to analysts' expectations of $9.25 billion. During the same quarter in the previous year, the business posted $0.63 earnings per share. The firm's quarterly revenue was down 11.2% compared to the same quarter last year. As a group, research analysts forecast that Warner Bros. Discovery, Inc. will post -1.13 earnings per share for the current fiscal year.
Wall Street Analyst Weigh In
WBD has been the topic of a number of recent research reports. KeyCorp reaffirmed an "overweight" rating on shares of Warner Bros. Discovery in a research note on Friday, April 24th. Freedom Capital raised Warner Bros. Discovery from a "hold" rating to a "strong-buy" rating in a report on Monday. Huber Research upgraded Warner Bros. Discovery from an "underweight" rating to an "overweight" rating in a research report on Monday, June 1st. Guggenheim reiterated a "neutral" rating on shares of Warner Bros. Discovery in a research report on Thursday, May 7th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of Warner Bros. Discovery in a research note on Tuesday, August 4th. Two research analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating, twelve have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $27.69.
Read Our Latest Research Report on Warner Bros. Discovery
Institutional Inflows and Outflows
Several institutional investors have recently bought and sold shares of the business. Brighton Jones LLC lifted its stake in shares of Warner Bros. Discovery by 304.9% during the 4th quarter. Brighton Jones LLC now owns 68,950 shares of the company's stock worth $729,000 after purchasing an additional 51,920 shares during the period. NewEdge Advisors LLC lifted its stake in shares of Warner Bros. Discovery by 50.5% in the 1st quarter. NewEdge Advisors LLC now owns 63,254 shares of the company's stock valued at $679,000 after purchasing an additional 21,228 shares in the last quarter. Empowered Funds LLC grew its stake in Warner Bros. Discovery by 6.2% during the first quarter. Empowered Funds LLC now owns 65,082 shares of the company's stock worth $698,000 after buying an additional 3,779 shares during the period. Focus Partners Wealth boosted its position in Warner Bros. Discovery by 91.6% during the 1st quarter. Focus Partners Wealth now owns 116,821 shares of the company's stock worth $1,254,000 after purchasing an additional 55,837 shares during the period. Finally, Baird Financial Group Inc. raised its position in Warner Bros. Discovery by 3.8% in the second quarter. Baird Financial Group Inc. now owns 111,450 shares of the company's stock valued at $1,277,000 after purchasing an additional 4,062 shares during the period. 59.95% of the stock is currently owned by institutional investors and hedge funds.
Key Warner Bros. Discovery News
Here are the key news stories impacting Warner Bros. Discovery this week:
- Positive Sentiment: Freedom Capital upgraded WBD from “hold” to “strong buy,” adding to the stock’s bullish sentiment. Zacks.com
- Positive Sentiment: Paramount Skydance reportedly said a sale of CNN could be considered to help resolve California’s antitrust lawsuit challenging its proposed merger with Warner Bros. Discovery. Such a concession could improve the transaction’s chances of closing, although it would also reshape the deal’s strategic benefits. Paramount says CNN sale is on the table
- Neutral Sentiment: Paramount CEO David Ellison reportedly threatened to begin moving the company out of California if the state attorney general does not negotiate a settlement. The escalation increases pressure for a resolution but could prolong uncertainty around the WBD merger. Paramount California exit threat
- Neutral Sentiment: Coverage continues to describe the Paramount–WBD transaction as being in legal limbo, with an antitrust trial reportedly scheduled for March 2027. The prolonged timetable makes the stock particularly sensitive to regulatory and courtroom developments. Paramount Skydance versus WBD deal analysis
- Negative Sentiment: Director Kenneth W. Lowe sold 120,000 shares for approximately $3.24 million, while insider Gerhard Zeiler sold 591,038 shares worth about $15.99 million. The sizable insider selling may weigh on sentiment, though the filings do not establish the sellers’ motivations. WBD insider sale filing
- Negative Sentiment: The merger’s antitrust challenges remain a material downside risk: failure or substantial modification of the deal could remove a major source of potential value for WBD shareholders. Democratic scrutiny of the Paramount-WBD deal
Warner Bros. Discovery Company Profile
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Get Free Report)
Warner Bros. Discovery (NASDAQ: WBD) is a global media and entertainment company formed when WarnerMedia and Discovery, Inc combined their businesses in 2022. Headquartered in New York City, the company assembles a broad portfolio of film and television production, linear and cable networks, streaming services and consumer distribution operations. Its assets span well-known studio brands, premium scripted and unscripted programming, news and factual entertainment, and licensed franchise properties.
The company's core activities include film and television production and distribution through units such as Warner Bros.
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