Warner Bros. Discovery (NASDAQ:WBD) Rating Lowered to Underperform at Wolfe Research

Wolfe Research downgraded shares of Warner Bros. Discovery (NASDAQ:WBD) from a peer perform rating to an underperform rating in a research report released on Tuesday, MarketBeat reports. Wolfe Research currently has $7.00 target price on the stock.

A number of other equities analysts have also recently commented on the company. Rosenblatt Securities upgraded Warner Bros. Discovery from a sell rating to a neutral rating and raised their target price for the company from $7.00 to $10.00 in a report on Thursday, March 21st. Redburn Atlantic cut shares of Warner Bros. Discovery from a buy rating to a neutral rating and set a $11.00 price objective for the company. in a report on Thursday, January 11th. JPMorgan Chase & Co. cut their target price on shares of Warner Bros. Discovery from $13.00 to $10.00 and set a neutral rating on the stock in a research note on Monday, February 26th. Barclays decreased their price target on shares of Warner Bros. Discovery from $10.00 to $9.00 and set an equal weight rating for the company in a research report on Thursday, February 29th. Finally, Macquarie reduced their price objective on Warner Bros. Discovery from $16.00 to $14.00 and set an outperform rating on the stock in a research note on Monday, January 22nd. One investment analyst has rated the stock with a sell rating, seven have given a hold rating and ten have assigned a buy rating to the company’s stock. According to MarketBeat.com, Warner Bros. Discovery currently has a consensus rating of Moderate Buy and an average target price of $13.83.

Warner Bros. Discovery Stock Performance

Warner Bros. Discovery stock opened at $8.11 on Tuesday. The firm has a 50 day simple moving average of $8.65 and a 200-day simple moving average of $9.99. The stock has a market cap of $19.79 billion, a price-to-earnings ratio of -6.34 and a beta of 1.51. The company has a debt-to-equity ratio of 0.90, a current ratio of 0.93 and a quick ratio of 0.93. Warner Bros. Discovery has a 1-year low of $8.02 and a 1-year high of $14.76.

Warner Bros. Discovery (NASDAQ:WBD) last announced its earnings results on Friday, February 23rd. The company reported ($0.16) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.11) by ($0.05). Warner Bros. Discovery had a negative net margin of 7.57% and a negative return on equity of 3.48%. The firm had revenue of $10.28 billion during the quarter, compared to analysts’ expectations of $10.34 billion. During the same period in the previous year, the firm earned $0.42 EPS. The firm’s revenue for the quarter was down 6.6% compared to the same quarter last year. On average, analysts expect that Warner Bros. Discovery will post -0.35 EPS for the current year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of WBD. Norges Bank purchased a new position in Warner Bros. Discovery during the 4th quarter worth $198,916,000. Boston Partners grew its position in Warner Bros. Discovery by 43.0% during the third quarter. Boston Partners now owns 14,225,819 shares of the company’s stock worth $153,713,000 after buying an additional 4,275,994 shares during the period. Invesco Ltd. increased its holdings in Warner Bros. Discovery by 16.6% in the third quarter. Invesco Ltd. now owns 28,184,613 shares of the company’s stock valued at $306,085,000 after buying an additional 4,016,888 shares in the last quarter. The Manufacturers Life Insurance Company lifted its position in shares of Warner Bros. Discovery by 17.0% during the 4th quarter. The Manufacturers Life Insurance Company now owns 25,534,218 shares of the company’s stock valued at $290,579,000 after acquiring an additional 3,710,343 shares during the period. Finally, The Manufacturers Life Insurance Company lifted its position in shares of Warner Bros. Discovery by 12.1% during the 3rd quarter. The Manufacturers Life Insurance Company now owns 21,823,875 shares of the company’s stock valued at $237,007,000 after acquiring an additional 2,356,665 shares during the period. Institutional investors and hedge funds 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.