WBD
Warner Bros. Discovery
$26.95
▲ 2.9%Updated Today 7:15 PM ET
▲ Up 147.9% over the last 12 months
Market Cap
$66.69B
P/E
90.35x
Forward P/E (est.)
—
ROE
-4.9%
Revenue Growth
-3.0%
EPS Growth
—
Profit Margin
-4.7%
FCF Yield
25.8%
Debt / Equity
0.91x
ROIC
1.0%
Interest Coverage
0.33x
Current Ratio
0.73x
Dividend Yield
—
Implied Growth (rev. DCF)
4.2%
Rating Score
23/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what WBD's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. WBD trades near $26.95, around its 50-day average ($27.03) and 200-day average ($25.15). Price tangled in its moving averages means there is no clear trend — the stock is ranging.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 38 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. WBD's is $0.47 (~1.7% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month WBD found buyers near $25.91 (support) and sellers near $27.43 (resistance); its 52-week range is $10.27–$30.00. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 1.8× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Warner Bros. Discovery (WBD) is a large-cap company in the Broadcasting industry, part of the Communication Services sector of the S&P 500, with a market value around $66.69B.
In its latest reported year it generated about $37.30B in revenue and $727.00M in net profit.
Our model rates WBD Weak (23/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
32.3%
Revenue moved from $12.19B in 2021 to $37.30B in 2025, a 32.3% compound annual growth rate. The most recent year declined 3.0% year over year. Shrinking revenue is worth a closer look — is it cyclical or structural?
Gross Margin
45.5%
Operating Margin
2.0%
Net Margin
1.9%
ROE
-4.9%
Warner Bros. Discovery keeps about -4.7% of each sales dollar as net profit, with a 45.5% gross margin and 2.0% operating margin. Return on equity is -4.9% and return on invested capital about 1.0%. The company is currently unprofitable on a net basis.
Total Debt
$32.47B
Net Debt
$29.20B
Net Debt / EBITDA
39.57x
Debt / Equity
0.91x
Leverage: debt-to-equity is 0.9x, and operating profit covers interest about 0.3x, with a current ratio of 0.7x. That is a moderate, manageable debt load for most businesses. It carries roughly $32.47B of total debt against $3.26B of cash.
Operating CF
$4.32B
Free Cash Flow
$3.09B
FCF Margin
8.3%
In the latest year Warner Bros. Discovery produced about $4.32B of operating cash flow and $3.09B of free cash flow after capital spending. That is a free-cash-flow yield of about 25.8% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
90.35x
P/S
1.79x
P/B
1.96x
EV / EBITDA
15.09x
WBD trades at 90.4x trailing earnings, 1.8x sales, and 2.0x book value. Reverse-engineering today's price implies the market expects roughly 4.2% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How WBD stacks up against its Communication Services peers — valuation, profitability, and growth versus the sector median.
In the Communication Services sector (23 S&P 500 companies), WBD ranks #21 of 23 by our overall rating. It trades at a premium versus the sector on earnings (90.4x P/E vs. 17.4x median) with a lower return on equity (-4.9% vs. 14.9%) and slower revenue growth (-3.0% vs. 2.9%).
P/E vs sector
90.4x
median 17.4x
ROE vs sector
-4.9%
median 14.9%
Growth vs sector
-3.0%
median 2.9%
Sector rank
#21
of 23 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Communication Services companies by sub-industry and size. Sector median is across all 23 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$27.94 – $46.56
vs. $26.95 today · expected CAGR 1% – 12%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $38.41B | $39.57B | $40.75B | $41.98B | $43.24B |
| Net income | $1.15B | $1.19B | $1.22B | $1.26B | $1.30B |
| EPS | $0.46 | $0.47 | $0.49 | $0.50 | $0.52 |
| Share price (low) | $24.82 | $25.57 | $26.33 | $27.12 | $27.94 |
| Share price (high) | $41.37 | $42.61 | $43.89 | $45.21 | $46.56 |
| CAGR (low–high) | -8% / 54% | -3% / 26% | -1% / 18% | 0% / 14% | 1% / 12% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for WBD:
- Healthy free-cash-flow yield (~25.8%) funds buybacks and dividends.
- As an established S&P 500 member in Communication Services, it brings scale and a long operating history.
The case against WBD:
- Revenue growth is slow/negative (-3.0%), limiting the upside engine.
- Thin net margins (-4.7%) leave little room for error.
- Interest coverage is thin (0.3x), so debt costs bite.
- A rich 90.4x earnings multiple prices in a lot of growth.
- Our model's overall read is Weak (23/100).
Valuation risk — at 90.4x earnings, disappointing results could compress the multiple.
Growth risk — sluggish revenue (-3.0%) leaves little margin for execution missteps.
Margin risk — thin profitability (-4.7%) is vulnerable to cost or pricing pressure.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Warner Bros. Discovery is a large-cap communication services business with shrinking revenue, with modest profitability, and a heavier debt load to watch. It trades at 90.4x earnings, which our model scores Weak (23/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.