Wolfe Research Downgrades Warner Bros. Discovery (NASDAQ:WBD) to Underperform

Warner Bros. Discovery (NASDAQ:WBD) was downgraded by equities researchers at Wolfe Research from a “peer perform” rating to an “underperform” rating in a report issued on Tuesday, Marketbeat.com reports. They presently have a $7.00 target price on the stock. Wolfe Research’s target price indicates a potential downside of 16.47% from the company’s current price.

Several other analysts also recently weighed in on the stock. Barrington Research decreased their price target on shares of Warner Bros. Discovery from $18.00 to $16.00 and set an “outperform” rating for the company in a research note on Monday, February 26th. Rosenblatt Securities raised shares of Warner Bros. Discovery from a “sell” rating to a “neutral” rating and boosted their price objective for the company from $7.00 to $10.00 in a report on Thursday, March 21st. Wells Fargo & Company lowered shares of Warner Bros. Discovery from an “overweight” rating to an “equal weight” rating and lowered their price target for the company from $16.00 to $12.00 in a report on Monday, January 29th. Redburn Atlantic lowered shares of Warner Bros. Discovery from a “buy” rating to a “neutral” rating and set a $11.00 target price on the stock. in a research note on Thursday, January 11th. Finally, JPMorgan Chase & Co. lowered 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. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and ten have given a buy rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $13.83.

Warner Bros. Discovery Price Performance

NASDAQ:WBD opened at $8.38 on Tuesday. Warner Bros. Discovery has a 52 week low of $8.02 and a 52 week high of $14.76. The company has a quick ratio of 0.93, a current ratio of 0.93 and a debt-to-equity ratio of 0.90. The business’s 50-day simple moving average is $8.72 and its two-hundred day simple moving average is $10.02. The stock has a market cap of $20.44 billion, a PE ratio of -6.52 and a beta of 1.51.

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

Institutional Investors Weigh In On Warner Bros. Discovery

Several large investors have recently made changes to their positions in the business. Fortis Group Advisors LLC acquired a new stake in Warner Bros. Discovery during the 3rd quarter valued at $25,000. Peoples Bank KS acquired a new stake in Warner Bros. Discovery during the 3rd quarter valued at $27,000. Pacifica Partners Inc. grew its holdings in Warner Bros. Discovery by 118.2% during the 4th quarter. Pacifica Partners Inc. now owns 2,483 shares of the company’s stock worth $27,000 after acquiring an additional 1,345 shares in the last quarter. Milestone Investment Advisors LLC acquired a new position in Warner Bros. Discovery during the 3rd quarter worth $28,000. Finally, Headinvest LLC acquired a new position in Warner Bros. Discovery during the 3rd quarter worth $28,000. Institutional investors and hedge funds 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.