Invenomic Capital Management LP Acquires New Holdings in Warner Bros. Discovery, Inc. $WBD

Key Points

• Invenomic Capital Management LP acquired 3,254,123 shares of Warner Bros. Discovery, valued at approximately $34.9 million, making it the institutional investor's 12th largest holding.
• Several analysts have recently updated their price targets for Warner Bros. Discovery, with Bank of America increasing its target to $16.00 and Wells Fargo raising it to $13.00, reflecting a generally positive outlook.
• Warner Bros. Discovery reported an EPS of $0.63 in its latest earnings, significantly surpassing analysts' expectations and marking a year-over-year revenue increase of 1.0%.

Invenomic Capital Management LP purchased a new stake in Warner Bros. Discovery, Inc. (NASDAQ:WBD - Free Report) in the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund purchased 3,254,123 shares of the company's stock, valued at approximately $34,917,000. Warner Bros. Discovery comprises 1.8% of Invenomic Capital Management LP's holdings, making the stock its 12th biggest holding. Invenomic Capital Management LP owned about 0.13% of Warner Bros. Discovery at the end of the most recent quarter.

A number of other institutional investors have also made changes to their positions in WBD. Brighton Jones LLC raised its holdings in shares of Warner Bros. Discovery by 304.9% in the fourth quarter. Brighton Jones LLC now owns 68,950 shares of the company's stock valued at $729,000 after buying an additional 51,920 shares during the last quarter. AXA S.A. raised its holdings in shares of Warner Bros. Discovery by 78.0% in the fourth quarter. AXA S.A. now owns 387,712 shares of the company's stock valued at $4,098,000 after buying an additional 169,924 shares during the last quarter. Ameriprise Financial Inc. raised its holdings in shares of Warner Bros. Discovery by 4.0% in the fourth quarter. Ameriprise Financial Inc. now owns 1,140,842 shares of the company's stock valued at $12,061,000 after buying an additional 43,682 shares during the last quarter. Captrust Financial Advisors raised its holdings in shares of Warner Bros. Discovery by 1.5% in the fourth quarter. Captrust Financial Advisors now owns 132,426 shares of the company's stock valued at $1,400,000 after buying an additional 1,950 shares during the last quarter. Finally, Brevan Howard Capital Management LP acquired a new stake in Warner Bros. Discovery in the fourth quarter worth about $1,191,000. 59.95% of the stock is owned by institutional investors.

Warner Bros. Discovery Trading Up 2.9%

Shares of Warner Bros. Discovery stock traded up $0.34 during trading on Friday, hitting $12.11. 63,862,263 shares of the company were exchanged, compared to its average volume of 45,715,632. The firm has a market capitalization of $29.98 billion, a P/E ratio of 40.37, a price-to-earnings-growth ratio of 1.61 and a beta of 1.59. Warner Bros. Discovery, Inc. has a 1-year low of $6.78 and a 1-year high of $13.86. The firm's fifty day moving average price is $12.07 and its 200 day moving average price is $10.53. The company has a debt-to-equity ratio of 0.92, a current ratio of 1.04 and a quick ratio of 1.04.

Warner Bros. Discovery (NASDAQ:WBD - Get Free Report) last posted its earnings results on Thursday, August 7th. The company reported $0.63 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.16) by $0.79. Warner Bros. Discovery had a return on equity of 2.14% and a net margin of 2.00%.The company had revenue of $9.81 billion during the quarter, compared to analyst estimates of $9.73 billion. During the same period in the previous year, the company earned ($4.07) EPS. The company's revenue for the quarter was up 1.0% compared to the same quarter last year. As a group, sell-side analysts expect that Warner Bros. Discovery, Inc. will post -4.33 earnings per share for the current fiscal year.

Insider Activity

In other Warner Bros. Discovery news, Director Anton J. Levy acquired 250,000 shares of the firm's stock in a transaction that occurred on Monday, August 11th. The stock was acquired at an average cost of $10.90 per share, for a total transaction of $2,725,000.00. Following the transaction, the director owned 874,000 shares of the company's stock, valued at $9,526,600. This trade represents a 40.06% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 1.80% of the company's stock.

Wall Street Analyst Weigh In

Several analysts have weighed in on the company. Wells Fargo & Company boosted their price objective on Warner Bros. Discovery from $11.00 to $13.00 and gave the stock an "equal weight" rating in a report on Friday, August 8th. Huber Research raised Warner Bros. Discovery from a "strong sell" rating to a "strong-buy" rating in a report on Monday, June 9th. Raymond James Financial dropped their price objective on Warner Bros. Discovery from $14.00 to $13.00 and set an "outperform" rating for the company in a report on Friday, August 8th. Argus raised Warner Bros. Discovery to a "hold" rating in a report on Tuesday, May 27th. Finally, Bank of America boosted their price objective on Warner Bros. Discovery from $14.00 to $16.00 and gave the stock a "buy" rating in a report on Tuesday, July 1st. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $13.14.

About Warner Bros. Discovery

Warner Bros. Discovery, Inc operates as a media and entertainment company worldwide. It operates through three segments: Studios, Network, and DTC. The Studios segment produces and releases feature films for initial exhibition in theaters; produces and licenses television programs to its networks and third parties and direct-to-consumer services; distributes films and television programs to various third parties and internal television; and offers streaming services and distribution through the home entertainment market, themed experience licensing, and interactive gaming.