The Analyst Verdict: Warner Bros. Discovery In The Eyes Of 14 Experts

Warner Bros. Discovery WBD has been analyzed by 14 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Warner Bros. Discovery, presenting an average target of $12.64, a high estimate of $18.00, and a low estimate of $7.00. Observing a downward trend, the current average is 2.24% lower than the prior average price target of $12.93.

Investigating Analyst Ratings: An Elaborate Study

In examining recent analyst actions, we gain insights into how financial experts perceive Warner Bros. Discovery. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Warner Bros. Discovery. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Warner Bros. Discovery compared to the broader market.
• Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Warner Bros. Discovery's stock. This comparison reveals trends in analysts' expectations over time.

To gain a panoramic view of Warner Bros. Discovery's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Warner Bros. Discovery analyst ratings.

Discovering Warner Bros. Discovery: A Closer Look

Warner Bros. Discovery was formed in 2022 through the combination of WarnerMedia and Discovery Communications. It operates in three global business segments: studios, networks, and direct-to-consumer. Warner Bros. Pictures is the crown jewel of the studios business, producing, distributing, and licensing movies and television shows. The networks business consists of basic cable networks, such as CNN, TNT, TBS, Discovery, HGTV, and the Food Network. Direct-to-consumer includes HBO and the firm's streaming platforms, which have now been consolidated to Max and Discovery+. Much of the DTC content is created within the firm's other two business segments. Each segment operates with a global reach, with Max available in over 70 countries.

Warner Bros. Discovery's Financial Performance

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Challenges: Warner Bros. Discovery's revenue growth over 3M faced difficulties. As of 31 March, 2025, the company experienced a decline of approximately -9.83%. This indicates a decrease in top-line earnings. When compared to others in the Communication Services sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Warner Bros. Discovery's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -5.05%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Warner Bros. Discovery's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -1.33%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.44%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: With a below-average debt-to-equity ratio of 1.11, Warner Bros. Discovery adopts a prudent financial strategy, indicating a balanced approach to debt management.

How Are Analyst Ratings Determined?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.