Warner Bros. Discovery (NASDAQ:WBD) Cut to “Hold” at Deutsche Bank Aktiengesellschaft

Warner Bros. Discovery (NASDAQ:WBD) was downgraded by analysts at Deutsche Bank Aktiengesellschaft from a “buy” rating to a “hold” rating in a report released on Friday,MarketScreener reports. They presently have a $31.00 target price on the stock, up from their prior target price of $29.50. Deutsche Bank Aktiengesellschaft’s price target would suggest a potential upside of 9.23% from the stock’s previous close.

A number of other research analysts have also recently issued reports on WBD. Weiss Ratings raised shares of Warner Bros. Discovery from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday. Guggenheim cut Warner Bros. Discovery from a “buy” rating to a “neutral” rating and lifted their price objective for the stock from $25.00 to $30.00 in a research report on Wednesday, January 14th. Wells Fargo & Company raised their target price on shares of Warner Bros. Discovery from $21.00 to $25.00 and gave the stock an “equal weight” rating in a research report on Friday, November 7th. Argus upped their target price on Warner Bros. Discovery from $28.00 to $32.00 and gave the company a “buy” rating in a research note on Tuesday, January 27th. Finally, Morgan Stanley set a $29.00 price objective on Warner Bros. Discovery in a report on Thursday, December 18th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, sixteen have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $25.39.

Warner Bros. Discovery Stock Performance

NASDAQ:WBD opened at $28.38 on Friday. The company has a debt-to-equity ratio of 0.90, a current ratio of 1.07 and a quick ratio of 1.07. Warner Bros. Discovery has a 12 month low of $7.52 and a 12 month high of $30.00. The business’s fifty day moving average price is $28.36 and its 200 day moving average price is $22.53. The firm has a market capitalization of $70.33 billion, a PE ratio of 149.38 and a beta of 1.64.

Warner Bros. Discovery (NASDAQ:WBD) last released its earnings results on Thursday, February 26th. The company reported ($0.10) EPS for the quarter, missing the consensus estimate of $0.09 by ($0.19). The firm had revenue of $9.46 billion during the quarter, compared to analyst estimates of $9.33 billion. Warner Bros. Discovery had a return on equity of 1.34% and a net margin of 1.28%.The firm’s revenue was down 5.7% on a year-over-year basis. During the same quarter last year, the business posted ($0.20) EPS. On average, sell-side analysts anticipate that Warner Bros. Discovery will post -4.33 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CAO Lori C. Locke sold 5,000 shares of the business’s stock in a transaction that occurred on Monday, December 8th. The stock was sold at an average price of $27.62, for a total value of $138,100.00. Following the completion of the sale, the chief accounting officer directly owned 110,084 shares in the company, valued at approximately $3,040,520.08. The trade was a 4.34% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Gunnar Wiedenfels sold 242,994 shares of Warner Bros. Discovery stock in a transaction on Wednesday, December 10th. The stock was sold at an average price of $29.50, for a total transaction of $7,168,323.00. Following the completion of the transaction, the chief financial officer directly owned 918,940 shares of the company’s stock, valued at approximately $27,108,730. This represents a 20.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 257,116 shares of company stock worth $7,546,331. 1.90% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Warner Bros. Discovery

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Swiss RE Ltd. bought a new stake in shares of Warner Bros. Discovery during the 4th quarter worth about $26,000. Fideuram Asset Management Ireland dac bought a new position in Warner Bros. Discovery during the 4th quarter valued at $29,000. MV Capital Management Inc. bought a new stake in shares of Warner Bros. Discovery in the 4th quarter worth $30,000. Rakuten Securities Inc. lifted its holdings in Warner Bros. Discovery by 81.5% in the 4th quarter. Rakuten Securities Inc. now owns 1,160 shares of the company’s stock valued at $33,000 after acquiring an additional 521 shares during the last quarter. Finally, TOWER TRUST & INVESTMENT Co lifted its stake in Warner Bros. Discovery by 4,730.8% during the fourth quarter. TOWER TRUST & INVESTMENT Co now owns 1,256 shares of the company’s stock valued at $36,000 after purchasing an additional 1,230 shares during the last quarter. 59.95% of the stock is currently owned by institutional investors.

More Warner Bros. Discovery News

Here are the key news stories impacting Warner Bros. Discovery this week:

• Positive Sentiment: WBD’s board says Paramount Skydance’s revised $31-per-share, all-cash proposal could be a “Company Superior Proposal,” increasing the probability of a $31 cash deal for shareholders; Paramount’s backers (notably Larry Ellison) pledged additional equity to shore up financing, reducing deal execution risk. PR Newswire: Paramount comments on WBD board determination
• Neutral Sentiment: Arete Research reaffirmed a “neutral” rating and set a $31.25 price target (about an 8.5% premium to current levels), signaling some upside tied to deal outcomes but not a buy recommendation absent clarity on the final bidder.
• Neutral Sentiment: Benchmark Co. reiterated a “hold” rating — another sign analysts see transaction risk and operational headwinds keeping conviction neutral until deal/regulatory path clears.
• Negative Sentiment: Warner Bros. Discovery missed Q4 EPS expectations (loss of $0.10 vs. consensus ~ $0.09) and reported ~6% revenue decline year-over-year, driven by legacy TV and studio weakness despite streaming subscriber growth — fundamentals that cap upside if a bidding war cools. MarketBeat: WBD earnings report
• Negative Sentiment: Raymond James reaffirmed an “underperform” rating, reflecting continued skepticism from some sell-side analysts about WBD’s growth trajectory and margin profile absent a favorable deal outcome.
• Negative Sentiment: News that Netflix has stepped back from raising its offer (and market commentary that Netflix may withdraw) reduces the chance of an escalating auction; while that helps Netflix’s stock, it raises downside risk for WBD shareholders if Paramount’s $31 turns out to be the final and only path — or if regulators/conditions alter the deal calculus. Reuters: Netflix declines to raise offer

Warner Bros. Discovery Company Profile

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.