Warner Bros. Discovery (WBD) Stock Analysis
This is a peer-relative look at Warner Bros. Discovery (WBD): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Media & Entertainment peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | WBD |
|---|---|
| Name | Warner Bros. Discovery, Inc. |
| Country/Region | United States |
| GICS Sector | Communication Services |
| GICS Industry Group | Media & Entertainment |
| GICS Industry | Entertainment |
| GICS Sub-Industry | Movies & Entertainment |
| Market Capitalization | 77.30 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | July 8, 2005 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Total Return (1Y) | 59.34% | -3.46% |
| Total Return (3Y, Annualized) | 38.83% | 11.18% |
| Total Return (5Y, Annualized) | 4.14% | -6.70% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 27.73% | 45.03% |
| Beta (5Y) | 1.55 | 0.99 |
| Max Drawdown (5Y) | -78.48% | -73.14% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 1.98 | -0.18 |
| Sortino Ratio (1Y) | 4.02 | -0.31 |
Profitability
ROE (TTM)
Warner Bros. Discovery (WBD) has negative ROE of -8.79%. That can come from trailing losses or negative book equity, so it is a warning state rather than a clean capital-efficiency measure.
WBD
Media & Entertainment industry group
-8.79%
Group distribution
- Max
- 45.82%
- Q3
- 16.48%
- Median
- 6.89%
- Q1
- -3.55%
- WBD
- -8.79%
- Min
- -26.31%
Largest peers
- NFLX
- 49.54%
- GOOGL
- 48.68%
- GOOG
- 48.68%
- SPOT
- 44.48%
- META
- 29.85%
- DIS
- 8.01%
- WBD
- -8.79%
Net Margin (TTM)
Warner Bros. Discovery (WBD) has negative net margin of -8.77%. The trailing period ended in a net loss, so the bottom-line conversion read is a warning rather than a profitability strength.
WBD
Media & Entertainment industry group
-8.77%
Group distribution
- Max
- 29.84%
- Q3
- 10.43%
- Median
- 4.53%
- Q1
- -3.40%
- WBD
- -8.77%
- Min
- -17.61%
Largest peers
- GOOGL
- 54.77%
- GOOG
- 54.77%
- META
- 29.84%
- NFLX
- 28.22%
- SPOT
- 18.43%
- DIS
- 8.70%
- WBD
- -8.77%
Operating Margin (TTM)
Warner Bros. Discovery (WBD) turns 5.11% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.
WBD
Media & Entertainment industry group
5.11%
Group distribution
- Max
- 40.16%
- Q3
- 18.59%
- Median
- 10.04%
- WBD
- 5.11%
- Q1
- 0.82%
- Min
- -19.55%
Largest peers
- META
- 34.83%
- GOOGL
- 34.03%
- GOOG
- 34.03%
- NFLX
- 33.38%
- DIS
- 19.30%
- SPOT
- 13.71%
- WBD
- 5.11%
Profitability Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| ROE (TTM) | -8.79% | 6.89% |
| ROA (TTM) | 1.71% | 2.75% |
| Net Margin (TTM) | -8.77% | 4.53% |
| Operating Margin (TTM) | 5.11% | 10.04% |
| Gross Margin (TTM) | 47.81% | 53.85% |
Growth
Revenue Growth
Warner Bros. Discovery (WBD) grew revenue -5.15%, in the lower peer quartile. The top line is expanding more slowly than at most peers, which can reflect softer demand, lost share, or weaker pricing.
EPS Growth
No usable EPS growth is available for Warner Bros. Discovery (WBD) this period, so the earnings-momentum read is skipped.
Growth Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | -5.15% | 5.07% |
| Revenue Growth (3Y CAGR) | 3.32% | 4.91% |
| EPS Growth (YoY) | -- | 5.94% |
| EPS Growth (3Y CAGR) | -- | 24.28% |
Financial Strength
Current Ratio (MRQ)
Warner Bros. Discovery (WBD) has current ratio of 0.78, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.
WBD
Media & Entertainment industry group
0.78
Group distribution
- Max
- 4.50
- Q3
- 2.38
- Median
- 1.45
- Q1
- 0.86
- WBD
- 0.78
- Min
- 0.23
Largest peers
- GOOGL
- 2.72
- GOOG
- 2.72
- META
- 2.23
- SPOT
- 2.11
- NFLX
- 1.14
- WBD
- 0.78
- DIS
- 0.71
Debt / Equity (MRQ)
Warner Bros. Discovery (WBD) has debt-to-equity ratio of 0.94, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
WBD
Media & Entertainment industry group
0.94
Group distribution
- Max
- 2.66
- Q3
- 1.44
- WBD
- 0.94
- Median
- 0.51
- Q1
- 0.17
- Min
- 0.00
Largest peers
- WBD
- 0.94
- NFLX
- 0.55
- META
- 0.43
- DIS
- 0.39
- GOOGL
- 0.19
- GOOG
- 0.19
- SPOT
- 0.06
Financial Strength Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 0.78 | 1.45 |
| Debt / Equity (MRQ) | 0.94 | 0.51 |
| Net Debt / EBITDA | 3.67 | 1.74 |
Dividends
Dividend Yield (TTM)
Warner Bros. Discovery (WBD) pays no dividend, leaving dividend yield at 0.00% this period. Shareholders may still receive value through reinvestment or buybacks, but there is no dividend income to compare here.
WBD
Media & Entertainment industry group
0.00%
Group distribution
- Max
- 1.44%
- Q3
- 0.59%
- WBD
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- DIS
- 1.44%
- META
- 0.28%
- GOOG
- 0.24%
- GOOGL
- 0.24%
- WBD
- 0.00%
- NFLX
- 0.00%
- SPOT
- 0.00%
Dividend Payout Ratio (TTM)
Warner Bros. Discovery (WBD) paid no earnings out as dividends this period, leaving payout ratio at 0.00%. There is no dividend payout to size against earnings.
WBD
Media & Entertainment industry group
0.00%
Group distribution
- Max
- 43.37%
- Q3
- 19.42%
- WBD
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- DIS
- 30.93%
- META
- 7.91%
- GOOGL
- 4.26%
- GOOG
- 4.26%
- WBD
- 0.00%
- NFLX
- 0.00%
- SPOT
- 0.00%
Dividend Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
No usable P/E ratio is available for Warner Bros. Discovery (WBD) this period, so the trailing-earnings valuation read is skipped.
WBD
Media & Entertainment industry group
--
Group distribution
- Max
- 74.43
- Q3
- 38.11
- Median
- 19.42
- Q1
- 9.89
- Min
- 1.72
- WBD
- --
Largest peers
- SPOT
- 28.32
- META
- 27.93
- NFLX
- 23.13
- DIS
- 21.49
- GOOGL
- 17.83
- GOOG
- 17.61
- WBD
- --
P/S Ratio (TTM)
Warner Bros. Discovery (WBD) trades at 2.14 on P/S ratio, roughly in the peer group’s normal range. The market is not making a strong cheap-or-rich statement about its revenue base.
WBD
Media & Entertainment industry group
2.14
Group distribution
- Max
- 7.12
- Q3
- 3.58
- WBD
- 2.14
- Median
- 1.42
- Q1
- 0.53
- Min
- 0.00
Largest peers
- GOOGL
- 9.63
- GOOG
- 9.53
- META
- 8.22
- NFLX
- 6.21
- SPOT
- 5.69
- WBD
- 2.14
- DIS
- 1.81
P/B Ratio (MRQ)
Warner Bros. Discovery (WBD) trades at 2.35 on P/B ratio, roughly in line with the industry’s normal price-to-book range. Its balance sheet is not being priced at a clear discount or premium versus peers.
WBD
Media & Entertainment industry group
2.35
Group distribution
- Max
- 10.85
- Q3
- 4.96
- WBD
- 2.35
- Median
- 1.90
- Q1
- 0.73
- Min
- -3.62
Largest peers
- SPOT
- 10.52
- NFLX
- 9.97
- META
- 7.18
- GOOGL
- 6.90
- GOOG
- 6.83
- WBD
- 2.35
- DIS
- 1.63
Valuation Metrics
| Metric | Current stock: WBD | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | -- | 19.42 |
| P/S Ratio (TTM) | 2.14 | 1.42 |
| P/B Ratio (MRQ) | 2.35 | 1.90 |
| Free Cash Flow Yield (TTM) | 20.92% | 6.67% |