Warner Bros. Discovery (NASDAQ:WBD) Downgraded by Deutsche Bank Aktiengesellschaft to “Hold”

Deutsche Bank Aktiengesellschaft cut shares of Warner Bros. Discovery (NASDAQ:WBD) from a buy rating to a hold rating in a research report sent to investors on Friday morning,MarketScreener reports. The brokerage currently has $31.00 target price on the stock, up from their prior target price of $29.50.

A number of other analysts also recently issued reports on WBD. Sanford C. Bernstein lifted their price objective on shares of Warner Bros. Discovery from $23.50 to $27.75 and gave the company a “market perform” rating in a report on Tuesday. Arete Research reaffirmed a “neutral” rating and issued a $31.25 price objective on shares of Warner Bros. Discovery in a report on Friday. Weiss Ratings upgraded Warner Bros. Discovery from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday. Raymond James Financial reissued an “underperform” rating on shares of Warner Bros. Discovery in a report on Friday. Finally, Argus raised their price target on shares of Warner Bros. Discovery from $28.00 to $32.00 and gave the company a “buy” rating in a research note on Tuesday, January 27th. One equities research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, sixteen have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $25.39.

Warner Bros. Discovery Stock Performance

Shares of WBD traded down $0.63 during trading hours on Friday, reaching $28.17. 68,723,539 shares of the company traded hands, compared to its average volume of 22,171,924. The stock has a market cap of $69.80 billion, a P/E ratio of 97.14 and a beta of 1.64. Warner Bros. Discovery has a 1-year low of $7.52 and a 1-year high of $30.00. The stock’s fifty day moving average is $28.37 and its 200 day moving average is $22.66. The company has a debt-to-equity ratio of 0.90, a quick ratio of 1.07 and a current ratio of 1.07.

Warner Bros. Discovery (NASDAQ:WBD) last released its quarterly earnings results on Thursday, February 26th. The company reported ($0.10) EPS for the quarter, missing analysts’ consensus estimates of $0.09 by ($0.19). The business had revenue of $9.46 billion for the quarter, compared to the consensus estimate of $9.33 billion. Warner Bros. Discovery had a return on equity of 1.99% and a net margin of 1.95%.The firm’s revenue was down 5.7% on a year-over-year basis. During the same quarter last year, the company earned ($0.20) earnings per share. Equities research analysts anticipate that Warner Bros. Discovery will post -4.33 earnings per share for the current fiscal year.

Insider Buying and Selling at Warner Bros. Discovery

In related news, CFO Gunnar Wiedenfels sold 242,994 shares of the stock in a transaction dated 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 of the company’s stock, valued at approximately $27,108,730. This represents a 20.91% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO Lori C. Locke sold 4,122 shares of the business’s stock in a transaction that occurred on Wednesday, December 10th. The stock was sold at an average price of $28.92, for a total transaction of $119,208.24. Following the completion of the transaction, the chief accounting officer directly owned 100,962 shares of the company’s stock, valued at approximately $2,919,821.04. This represents a 3.92% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 257,116 shares of company stock worth $7,546,331. Company insiders own 1.90% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Swiss RE Ltd. purchased a new stake in Warner Bros. Discovery during the 4th quarter valued at about $26,000. Fideuram Asset Management Ireland dac acquired a new stake in Warner Bros. Discovery during the 4th quarter worth $29,000. MV Capital Management Inc. acquired a new stake in shares of Warner Bros. Discovery in the 4th quarter valued at approximately $30,000. Rakuten Securities Inc. raised its holdings in Warner Bros. Discovery by 81.5% during the fourth quarter. Rakuten Securities Inc. now owns 1,160 shares of the company’s stock worth $33,000 after purchasing an additional 521 shares during the last quarter. Finally, TOWER TRUST & INVESTMENT Co raised its stake in Warner Bros. Discovery by 4,730.8% in the 4th quarter. TOWER TRUST & INVESTMENT Co now owns 1,256 shares of the company’s stock valued at $36,000 after purchasing an additional 1,230 shares during the last quarter. 59.95% of the stock is currently owned by institutional investors.

Warner Bros. Discovery News Roundup

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

• Positive Sentiment: Paramount’s acquisition agreement announced — a $31-per-share cash deal values WBD at roughly $110 billion and is now a formal merger agreement, creating a clear path to a cash exit for shareholders. PR Newswire
• Positive Sentiment: Netflix exits the bidding — Netflix declined to raise its offer after Paramount’s $31 bid was declared superior, reducing takeover uncertainty and making a Paramount close more likely. Reuters
• Positive Sentiment: EU approval expected to be manageable — sources tell Reuters the deal is likely to clear EU antitrust scrutiny with only minor divestments if required, lowering one regulatory hurdle. Reuters
• Neutral Sentiment: Analyst reactions mixed — several firms updated ratings/targets (TD Cowen raised its PT to $26 but kept a hold; Deutsche Bank moved to hold with a $31 PT), reflecting divided views on deal certainty and standalone fundamentals. MarketScreener (TD Cowen) MarketScreener (Deutsche Bank)
• Negative Sentiment: Q4 results disappointed — WBD posted a loss per share and revenue declined ~6% year/year, missing EPS expectations and underscoring legacy TV/studio weakness despite streaming growth. That weak print amplifies uncertainty around valuation and growth prospects. WBD press release / earnings
• Negative Sentiment: Employee and synergy risk — CNBC reports WBD staff fear layoffs if Paramount pursues roughly $6B of cost synergies; job cuts and integration execution could create operational disruption and headline risk. CNBC
• Negative Sentiment: Political/regulatory friction remains — California and other political actors could still slow the deal; state-level opposition and broader antitrust scrutiny remain possible roadblocks. Reuters
• Negative Sentiment: Options and sentiment signal volatility — today saw an unusually large spike in put option volume, indicating elevated hedging/speculative bearish positioning even as a cash deal price anchors the stock.

Warner Bros. Discovery Company 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.