USA Financial Formulas Takes $2.79 Million Position in Warner Bros. Discovery, Inc. $WBD

USA Financial Formulas acquired a new position in shares of Warner Bros. Discovery, Inc. (NASDAQ:WBD) in the third quarter, according to the company in its most recent disclosure with the SEC. The firm acquired 142,671 shares of the company’s stock, valued at approximately $2,786,000. Warner Bros. Discovery accounts for approximately 0.5% of USA Financial Formulas’ investment portfolio, making the stock its 16th largest position.

Several other institutional investors have also recently added to or reduced their stakes in WBD. Norges Bank acquired a new position in Warner Bros. Discovery during the second quarter worth $306,848,000. Independent Franchise Partners LLP purchased a new stake in shares of Warner Bros. Discovery in the 1st quarter valued at $140,224,000. Sound Shore Management Inc CT acquired a new position in Warner Bros. Discovery during the 2nd quarter worth about $97,951,000. Maverick Capital Ltd. purchased a new position in Warner Bros. Discovery during the 2nd quarter valued at about $77,896,000. Finally, Duquesne Family Office LLC acquired a new position in Warner Bros. Discovery in the 2nd quarter valued at about $74,916,000. Institutional investors and hedge funds own 59.95% of the company’s stock.

Key Headlines Impacting Warner Bros. Discovery

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

• Positive Sentiment: WBD’s board formally rejected Paramount Skydance’s hostile approach and urged shareholders to reject that offer in favor of the Netflix proposal, reinforcing management’s preferred path and lowering the chance of an unsolicited break-up at current terms. Read More.
• Positive Sentiment: Analysis shows a Netflix–Warner Bros. combination would be a strategic powerhouse (projected to eclipse Disney’s TV demand share), which supports the argument that the Netflix bid could create significant long‑term value for WBD shareholders. Read More.
• Positive Sentiment: Reports that activist/hedge fund Standard General has been approached about buying or investing in WBD’s cable networks (including CNN) raise the prospect of asset sales or minority investments that could unlock value outside a full sale. That potential monetization pathway is viewed favorably by investors. Read More.
• Neutral Sentiment: Harris Associates, a top-five WBD shareholder, said it would be “very open” to a revised Paramount offer if it is superior and fixes deal-term issues — this keeps the door open for a higher competing bid but also prolongs deal uncertainty. Read More.
• Neutral Sentiment: Market write-ups this week highlight the sudden entry of Paramount into the bidding contest and the sector‑wide reaction; broader market sentiment and rotation also influence WBD’s trading alongside deal news. Read More.
• Negative Sentiment: Paramount’s reported all‑cash $108 billion/$30‑per‑share approach escalates the takeover fight and could force protracted negotiations or a bidding war, increasing execution risk and near‑term volatility for the stock. Read More.
• Negative Sentiment: WBD has pressed for stronger assurances from the Ellison family trust (a personal guarantee) around Paramount’s financing, signaling the board’s doubts about deal certainty — that pushback could complicate or delay any deal and sustain share‑price swings. Read More.

Analyst Upgrades and Downgrades

WBD has been the topic of several research reports. Wells Fargo & Company increased their price target 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. Raymond James Financial upped their target price on shares of Warner Bros. Discovery from $22.00 to $25.00 and gave the stock an “outperform” rating in a research note on Friday, November 7th. Barclays set a $20.00 target price on shares of Warner Bros. Discovery in a report on Wednesday, October 8th. Sanford C. Bernstein upped their price objective on Warner Bros. Discovery from $16.00 to $23.50 in a research report on Friday, November 7th. Finally, Redburn Partners set a $28.00 price objective on Warner Bros. Discovery in a research note on Thursday, October 30th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $23.22.

Warner Bros. Discovery Trading Up 0.6%

NASDAQ WBD opened at $27.77 on Friday. Warner Bros. Discovery, Inc. has a 52 week low of $7.52 and a 52 week high of $30.00. The firm has a 50 day moving average of $23.39 and a two-hundred day moving average of $16.86. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.90. The stock has a market capitalization of $68.81 billion, a PE ratio of 146.17 and a beta of 1.60.

Warner Bros. Discovery (NASDAQ:WBD) last released its quarterly earnings data on Thursday, November 6th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.04) by ($0.02). The firm had revenue of $9.05 billion for the quarter, compared to analysts’ expectations of $9.17 billion. Warner Bros. Discovery had a return on equity of 1.34% and a net margin of 1.28%.Warner Bros. Discovery’s revenue for the quarter was down 6.0% on a year-over-year basis. During the same period last year, the firm posted $0.05 earnings per share. As a group, research analysts expect that Warner Bros. Discovery, Inc. will post -4.33 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CAO Lori C. Locke sold 4,122 shares of the business’s stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $28.92, for a total transaction of $119,208.24. Following the completion of the sale, the chief accounting officer owned 100,962 shares in the company, valued at approximately $2,919,821.04. The trade was a 3.92% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 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 sale, the chief financial officer owned 918,940 shares in the company, valued at $27,108,730. This represents a 20.91% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 489,326 shares of company stock worth $12,781,456. 1.90% of the stock is owned by corporate insiders.

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.