Warner Bros. Discovery (NASDAQ:WBD) Shares Up 5.5% – Should You Buy?

Warner Bros. Discovery, Inc. (NASDAQ:WBD)’s share price shot up 5.5% during trading on Wednesday . The company traded as high as $10.04 and last traded at $10.02. 18,681,138 shares changed hands during mid-day trading, a decline of 36% from the average session volume of 29,366,012 shares. The stock had previously closed at $9.50.

Analyst Upgrades and Downgrades

A number of equities analysts recently issued reports on the company. Barclays increased their target price on Warner Bros. Discovery from $8.00 to $10.00 and gave the stock an “equal weight” rating in a report on Friday, November 8th. Morgan Stanley reduced their price objective on shares of Warner Bros. Discovery from $10.00 to $9.00 and set an “equal weight” rating for the company in a report on Monday, July 29th. Benchmark restated a “buy” rating and issued a $18.00 target price on shares of Warner Bros. Discovery in a report on Friday, September 13th. Evercore ISI cut their price target on Warner Bros. Discovery from $10.00 to $9.00 and set an “outperform” rating for the company in a research note on Thursday, August 8th. Finally, Needham & Company LLC reissued a “hold” rating on shares of Warner Bros. Discovery in a research note on Thursday, October 10th. Twelve investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company. According to data from MarketBeat, Warner Bros. Discovery currently has a consensus rating of “Hold” and an average target price of $10.55.

Warner Bros. Discovery Stock Up 0.7 %

The stock’s fifty day moving average is $8.26 and its two-hundred day moving average is $7.92. The company has a current ratio of 0.80, a quick ratio of 0.80 and a debt-to-equity ratio of 1.03. The company has a market capitalization of $25.27 billion, a PE ratio of -2.24 and a beta of 1.48.

Warner Bros. Discovery (NASDAQ:WBD) last released its earnings results on Thursday, November 7th. The company reported $0.05 earnings per share for the quarter, beating analysts’ consensus estimates of ($0.07) by $0.12. The firm had revenue of $9.62 billion for the quarter, compared to analysts’ expectations of $9.79 billion. Warner Bros. Discovery had a negative net margin of 28.34% and a negative return on equity of 27.56%. The company’s quarterly revenue was down 3.6% on a year-over-year basis. During the same period in the previous year, the company earned ($0.17) earnings per share. As a group, analysts predict that Warner Bros. Discovery, Inc. will post -4.37 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Principal Financial Group Inc. boosted its holdings in Warner Bros. Discovery by 3.1% in the 3rd quarter. Principal Financial Group Inc. now owns 2,579,571 shares of the company’s stock worth $21,281,000 after buying an additional 78,653 shares during the period. Private Management Group Inc. boosted its holdings in shares of Warner Bros. Discovery by 37.7% in the third quarter. Private Management Group Inc. now owns 6,886,143 shares of the company’s stock worth $56,811,000 after acquiring an additional 1,886,868 shares during the period. Mackenzie Financial Corp grew its position in shares of Warner Bros. Discovery by 1,216.7% in the second quarter. Mackenzie Financial Corp now owns 3,009,558 shares of the company’s stock valued at $22,391,000 after purchasing an additional 2,780,986 shares in the last quarter. International Assets Investment Management LLC raised its stake in shares of Warner Bros. Discovery by 629.4% during the 3rd quarter. International Assets Investment Management LLC now owns 189,239 shares of the company’s stock valued at $1,561,000 after purchasing an additional 163,295 shares during the period. Finally, Mirae Asset Global Investments Co. Ltd. lifted its holdings in Warner Bros. Discovery by 21.3% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 599,957 shares of the company’s stock worth $5,028,000 after purchasing an additional 105,321 shares in the last quarter. Institutional investors own 59.95% of the company’s stock.

Warner Bros. Discovery Company Profile

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.