The stock of Warner Bros. Discovery Inc. (NASDAQ:WBD) decreased by -$0.17 on Monday to finish at $13.53, down -1.24 percent. The last five days have seen an average of 15,313,620 shares of common stock traded. 17 times new highs were reached in the current year, with a gain of $4.05. The average number of shares traded over the last 20 days was 19,625,791, while the average volume over the last 50 days totaled 22,283,057.
WBD stock appreciated 9.11% since last month. On 08/03/23, the company’s shares reached a one-month low of $12.12. The stock touched a high of $16.34 on 02/27/23, after rallying from a low of $8.82 in 52 weeks. The price of WBD stock has risen by 42.72% or $4.05 this year, reaching a new high 17 times. Still, the stock price is down -17.19% from the 52-week high.
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Insider Transactions
WBD stock investors should be aware that Warner Bros. Discovery Inc. (WBD) stock had its last reported insider trading activity 8 days ago on Aug 07. On Aug 07, President, International Zeiler Gerhard acquired 38,000 shares at $14.09 each. This transaction resulted in the insider spending $535,420. On May 25, Wiedenfels Gunnar added 15,000 shares at a price of US$11.22. After the transaction, the insider now owns 738,849 shares.
Valuation Metrics
Beta for the stock is 1.50. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 0.81, the price-to-book (PB) ratio of 0.73, and the price-to-cash flow ratio of 11.03.
Financial Health
For the three months ended June 29, Warner Bros. Discovery Inc.’s quick ratio was 0.80, while its current ratio was 0.80, indicating its inability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.97, and the total debt to equity ratio is 1.04. As far as profitability goes, gross margin for the trailing twelve months is 40.60% percent. Warner Bros. Discovery Inc.’s EBITDA margin for the year ended June 29 was 14.39%, whereas its operating margin stood at -13.30% for the same period. Based on annual data, it had gross profit of $13.38 billion and revenue of $33.82 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. WBD’s return on assets (ROA) during the last 12 months has been -5.10%. There was a -5.90% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -14.30%.
Earnings Surprise
According to Warner Bros. Discovery Inc.’s quarterly financial report for the quarter that ended June 29. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $10.36 billion, while revenues rose by 5.13% to $10.7 billion. It was predicted that Warner Bros. Discovery Inc.’s quarterly earnings would be -$0.51, but it ended up being -$0.38, beating the consensus by -34.20%. EBITDA was $5.65 billion for the quarter. At the end of Warner Bros. Discovery Inc.’s most recent quarter ended June 29, its liabilities totaled 82.14 billion, while its total debt was $47.29 billion. Equity owned by shareholders amounts to $2.44 billion.
Technical Picture
Here’s a quick look at Warner Bros. Discovery Inc.’s (WBD) price momentum from a technical perspective. As of 14 August, the RSI 9-day stood at 51.58%, suggesting the stock is Neutral, with a 53.60% historical volatility rate.
The stochastic %K and %D were 63.01% and 71.97% respectively, while the average true range (ATR) was 0.59. Based on the 14-day stochastic reading of 53.41%, the RSI (14) reading is 53.36%. On the 9-day MACD Oscillator, the stock is at 0.03, and the 14-day reading is at 0.39.
Analyst Ratings
Warner Bros. Discovery Inc. (NASDAQ: WBD) was downgraded by Wolfe Research to a a Peer perform rating in its latest research report. The stock was previously rated as a an Outperform. Analysts have assigned Warner Bros. Discovery Inc. (WBD) an Overweight rating. WBD is a stock that is recommended for selling by 1 brokerage firm, while 11 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 17 others recommend it as a buy.
What is WBD’s price target for the next 12 months?
The current consensus forecast for the stock is between $10.00 and $33.00, with a median target price of $18.50. In analyzing these forecasts, the average price target given by analysts for Warner Bros. Discovery Inc. (WBD) is $19.80.
