Warner Bros. Discovery (NASDAQ:WBD) Shares Gap Up - What's Next?

Shares of Warner Bros. Discovery, Inc. (NASDAQ:WBD - Get Free Report) gapped up prior to trading on Monday . The stock had previously closed at $9.82, but opened at $10.62. Warner Bros. Discovery shares last traded at $10.68, with a volume of 27,808,633 shares changing hands.

Wall Street Analysts Forecast Growth

Several analysts recently issued reports on WBD shares. Needham & Company LLC reissued a "hold" rating on shares of Warner Bros. Discovery in a research note on Friday, February 28th. Citigroup reduced their price objective on Warner Bros. Discovery from $15.00 to $14.00 and set a "buy" rating on the stock in a research report on Thursday, May 29th. Wells Fargo & Company lifted their target price on Warner Bros. Discovery from $9.00 to $10.00 and gave the company an "equal weight" rating in a report on Friday, May 9th. Benchmark reaffirmed a "buy" rating and set a $18.00 price objective on shares of Warner Bros. Discovery in a research note on Wednesday, February 26th. Finally, Raymond James reduced their price target on Warner Bros. Discovery from $14.00 to $13.00 and set an "outperform" rating on the stock in a research note on Friday, April 4th. Eleven equities research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $12.17.

Warner Bros. Discovery Stock Up 3.2%

The stock has a market capitalization of $24.89 billion, a PE ratio of -2.24, a P/E/G ratio of 8.64 and a beta of 1.51. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.03. The stock's fifty day simple moving average is $8.86 and its 200-day simple moving average is $9.94.

Warner Bros. Discovery (NASDAQ:WBD - Get Free Report) last posted its quarterly earnings results on Thursday, May 8th. The company reported ($0.18) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.12) by ($0.06). The company had revenue of $8.98 billion during the quarter, compared to analysts' expectations of $9.66 billion. Warner Bros. Discovery had a negative return on equity of 27.56% and a negative net margin of 28.34%. Warner Bros. Discovery's revenue for the quarter was down 9.8% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.40) EPS. As a group, sell-side analysts forecast that Warner Bros. Discovery, Inc. will post -4.33 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Colonial Trust Advisors raised its stake in shares of Warner Bros. Discovery by 71.8% during the fourth quarter. Colonial Trust Advisors now owns 2,383 shares of the company's stock valued at $25,000 after purchasing an additional 996 shares during the period. Deseret Mutual Benefit Administrators increased its holdings in shares of Warner Bros. Discovery by 12.0% in the fourth quarter. Deseret Mutual Benefit Administrators now owns 9,925 shares of the company's stock worth $105,000 after acquiring an additional 1,066 shares in the last quarter. Personal CFO Solutions LLC lifted its position in shares of Warner Bros. Discovery by 2.8% in the fourth quarter. Personal CFO Solutions LLC now owns 42,935 shares of the company's stock valued at $454,000 after buying an additional 1,174 shares during the last quarter. Avestar Capital LLC grew its position in Warner Bros. Discovery by 9.4% during the 4th quarter. Avestar Capital LLC now owns 14,337 shares of the company's stock worth $152,000 after acquiring an additional 1,228 shares during the last quarter. Finally, TCTC Holdings LLC boosted its position in shares of Warner Bros. Discovery by 18.1% during the 4th quarter. TCTC Holdings LLC now owns 8,156 shares of the company's stock valued at $86,000 after purchasing an additional 1,250 shares in the last quarter. Hedge funds and other institutional investors own 59.95% of the company's stock.

Warner Bros. Discovery Company Profile

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.

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