Donoghue Forlines LLC Purchases New Position in Warner Bros. Discovery, Inc. $WBD

Key Points

• Donoghue Forlines LLC opened a new position in Warner Bros. Discovery, buying 77,612 shares valued at about $2.24 million in the fourth quarter. Other institutions also added or expanded holdings, and roughly 59.95% of WBD is now owned by institutional investors.
• Warner Bros. Discovery’s latest quarterly results were weak, with EPS of -$1.17 versus expectations for -$0.10, while revenue came in at $8.89 billion and declined 1% year over year. The company also continues to post negative margins and return on equity.
• Insiders have been selling heavily, including CEO David Zaslav and insider Gerhard Zeiler, with total insider sales of 8.2 million shares worth about $230.7 million over the last 90 days. Analysts remain cautious overall, with a consensus rating of Hold and an average price target of $26.36.

Donoghue Forlines LLC purchased a new stake in shares of Warner Bros. Discovery, Inc. (NASDAQ:WBD - Free Report) during the 4th quarter, according to its most recent disclosure with the SEC. The fund purchased 77,612 shares of the company's stock, valued at approximately $2,237,000.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Private Advisory Group LLC bought a new stake in Warner Bros. Discovery during the 4th quarter worth approximately $3,438,000. Hauser Brothers GmbH grew its holdings in Warner Bros. Discovery by 19.8% during the 3rd quarter. Hauser Brothers GmbH now owns 2,877,000 shares of the company's stock worth $56,188,000 after acquiring an additional 476,000 shares during the last quarter. US Bancorp DE grew its holdings in Warner Bros. Discovery by 32.7% during the 3rd quarter. US Bancorp DE now owns 175,293 shares of the company's stock worth $3,423,000 after acquiring an additional 43,240 shares during the last quarter. Triad Investment Management bought a new stake in Warner Bros. Discovery during the 4th quarter worth approximately $9,383,000. Finally, Mn Services Vermogensbeheer B.V. grew its holdings in Warner Bros. Discovery by 4.3% during the 4th quarter. Mn Services Vermogensbeheer B.V. now owns 916,705 shares of the company's stock worth $26,419,000 after acquiring an additional 38,105 shares during the last quarter. 59.95% of the stock is owned by institutional investors.

Warner Bros. Discovery Stock Down 0.5%

Shares of NASDAQ WBD opened at $27.12 on Friday. The company has a market capitalization of $67.99 billion, a P/E ratio of -38.74 and a beta of 1.57. Warner Bros. Discovery, Inc. has a 52-week low of $8.82 and a 52-week high of $30.00. The company has a debt-to-equity ratio of 0.92, a quick ratio of 0.73 and a current ratio of 0.73. The company's 50 day moving average price is $27.35 and its 200-day moving average price is $26.90.

Warner Bros. Discovery (NASDAQ:WBD - Get Free Report) last issued its quarterly earnings results on Wednesday, May 6th. The company reported ($1.17) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.10) by ($1.07). The firm had revenue of $8.89 billion during the quarter, compared to analyst estimates of $8.89 billion. Warner Bros. Discovery had a negative return on equity of 4.77% and a negative net margin of 4.67%.The firm's revenue for the quarter was down 1.0% on a year-over-year basis. During the same quarter last year, the firm posted ($0.18) EPS. Equities analysts forecast that Warner Bros. Discovery, Inc. will post -0.71 earnings per share for the current year.

Insider Transactions at Warner Bros. Discovery

In related news, CEO David Zaslav sold 4,004,149 shares of the business's stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $28.26, for a total transaction of $113,157,250.74. Following the transaction, the chief executive officer owned 7,200,627 shares in the company, valued at $203,489,719.02. The trade was a 35.74% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Gerhard Zeiler sold 600,000 shares of the business's stock in a transaction on Wednesday, March 4th. The shares were sold at an average price of $28.02, for a total transaction of $16,812,000.00. Following the transaction, the insider owned 672,649 shares in the company, valued at $18,847,624.98. The trade was a 47.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 8,206,827 shares of company stock worth $230,674,025. Company insiders own 1.90% of the company's stock.

Key Stories Impacting Warner Bros. Discovery

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

• Positive Sentiment: Warner Bros. Discovery used its upfront event to highlight new ad products, real-time measurement tools, and upcoming content, which may help support its ad sales and revenue growth outlook. WBD Upfront: New Ad Solutions, Real-Time Dashboard
• Positive Sentiment: The company also announced new programming across its cable and kids networks, signaling continued investment in content that could help retain audiences and advertisers. Warner Bros. Discovery Announces Premiere Of New Shows Sampat Champat On POGO & Kian & Kiki On Cartoon Network
• Positive Sentiment: Paramount is publicly defending the merger and arguing that the combined company would have incentives to support theatrical releases, which could reassure some investors that the deal has strategic logic. Paramount Defends Warner Bros. Discovery Merger In Letter To California AG, Says Combined Companies Will Have Incentive To Boost Theatrical
• Neutral Sentiment: Warner Bros. Discovery’s upfront presentation emphasized performance marketing and ad tech improvements, but much of the coverage was more industry commentary than a clear financial catalyst. Warner Bros. Discovery’s Upfront Was All About Performance
• Neutral Sentiment: Investor attention has increased around WBD ahead of the merger debate, reflecting heightened speculation rather than a fundamental business update. Warner Bros. Discovery, Inc. (WBD) is Attracting Investor Attention: Here is What You Should Know
• Negative Sentiment: U.S. and EU lawmakers said European regulators will closely examine Paramount’s bid for WBD, raising the risk of a tougher antitrust review and a slower or blocked deal process. U.S., EU lawmakers pledge European scrutiny of Paramount's WBD deal
• Negative Sentiment: Some coverage of the upfront event portrayed it as weak or overly focused on the merger, suggesting uncertainty around the company’s standalone narrative and strategic direction. The Warner Bros. Discovery upfront felt more like a funeral

Analysts Set New Price Targets

WBD has been the topic of a number of research reports. Huber Research lowered shares of Warner Bros. Discovery from a "strong-buy" rating to a "strong sell" rating in a report on Friday, February 27th. TD Cowen boosted their target price on shares of Warner Bros. Discovery from $22.00 to $26.00 and gave the stock a "hold" rating in a report on Friday, February 27th. UBS Group boosted their target price on shares of Warner Bros. Discovery from $30.00 to $31.00 and gave the stock a "neutral" rating in a report on Thursday, May 7th. Argus reduced their target price on shares of Warner Bros. Discovery from $32.00 to $31.00 and set a "buy" rating on the stock in a report on Tuesday, March 3rd. Finally, KeyCorp reissued an "overweight" rating on shares of Warner Bros. Discovery in a report on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, thirteen have assigned a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $26.36.

Warner Bros. Discovery 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.

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