KeyCorp Issues Pessimistic Forecast for Warner Bros. Discovery (NASDAQ:WBD) Stock Price

Key Points

• KeyCorp has lowered its price target for Warner Bros. Discovery from $18.00 to $16.00, indicating a potential upside of 41.51% based on the company's current stock price.
• Warner Bros. Discovery experienced a stock decline of 4.7%, trading down to $11.31, with over 9 million shares exchanged during trading hours.
• The company reported earnings of $0.63 per share last quarter, significantly beating analysts' consensus estimates of a loss, with revenue reaching $9.81 billion.

Warner Bros. Discovery (NASDAQ:WBD - Free Report) had its target price cut by KeyCorp from $18.00 to $16.00 in a report released on Friday morning,Benzinga reports. They currently have an overweight rating on the stock.

Other equities analysts have also issued reports about the company. Bank of America increased their price objective on Warner Bros. Discovery from $14.00 to $16.00 and gave the company a "buy" rating in a report on Tuesday, July 1st. Barrington Research reissued an "outperform" rating and set a $16.00 price objective on shares of Warner Bros. Discovery in a report on Wednesday, July 30th. Wells Fargo & Company increased their price objective on Warner Bros. Discovery from $10.00 to $11.00 and gave the company an "equal weight" rating in a report on Wednesday, July 2nd. UBS Group increased their price objective on Warner Bros. Discovery from $9.00 to $10.00 and gave the company a "neutral" rating in a report on Tuesday, July 8th. Finally, Argus raised Warner Bros. Discovery to a "hold" rating in a report on Tuesday, May 27th. Twelve investment analysts have rated the stock with a hold rating, eight have issued a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Warner Bros. Discovery currently has a consensus rating of "Hold" and an average price target of $12.84.

Warner Bros. Discovery Stock Down 8.0%

WBD traded down $0.95 during midday trading on Friday, reaching $10.91. 62,146,520 shares of the company were exchanged, compared to its average volume of 78,804,240. The company has a debt-to-equity ratio of 0.92, a quick ratio of 1.04 and a current ratio of 1.04. The company's fifty day moving average price is $11.52 and its 200 day moving average price is $10.33. The company has a market cap of $26.78 billion, a price-to-earnings ratio of 36.37 and a beta of 1.57. Warner Bros. Discovery has a one year low of $6.64 and a one year high of $13.86.

Warner Bros. Discovery (NASDAQ:WBD - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.63 earnings per share for the quarter, beating 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 business had revenue of $9.81 billion during the quarter, compared to analyst estimates of $9.73 billion. During the same period in the prior year, the company earned ($4.07) earnings per share. Warner Bros. Discovery's revenue was up 1.0% compared to the same quarter last year. As a group, analysts expect that Warner Bros. Discovery will post -4.33 EPS for the current year.

Institutional Investors Weigh In On Warner Bros. Discovery

A number of hedge funds and other institutional investors have recently modified their holdings of WBD. GF Fund Management CO. LTD. purchased a new position in shares of Warner Bros. Discovery in the fourth quarter valued at about $4,914,000. Polar Asset Management Partners Inc. bought a new stake in shares of Warner Bros. Discovery in the fourth quarter worth about $3,022,000. Hi Line Capital Management LLC increased its holdings in Warner Bros. Discovery by 17.8% during the 1st quarter. Hi Line Capital Management LLC now owns 597,478 shares of the company's stock valued at $6,411,000 after purchasing an additional 90,462 shares during the period. KBC Group NV increased its holdings in Warner Bros. Discovery by 682.8% during the 1st quarter. KBC Group NV now owns 7,145,308 shares of the company's stock valued at $76,669,000 after purchasing an additional 6,232,561 shares during the period. Finally, Dupree Financial Group LLC purchased a new position in Warner Bros. Discovery during the 1st quarter valued at about $2,884,000. Institutional investors own 59.95% of the company's stock.

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.