Analyzing Ratios: Warner Bros. Discovery Inc (WBD)’s Financial Story Unveiled

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The price of Warner Bros. Discovery Inc (NASDAQ: WBD) closed at $8.25 in the last session, down -1.55% from day before closing price of $8.38. In other words, the price has decreased by -$1.55 from its previous closing price. On the day, 23.88 million shares were traded. WBD stock price reached its highest trading level at $8.392 during the session, while it also had its lowest trading level at $8.09.

Ratios:

We take a closer look at WBD’s different ratios to gain a better understanding of the stock. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 5.54 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 3.00. For the most recent quarter (mrq), Quick Ratio is recorded 0.76 and its Current Ratio is at 0.76. In the meantime, Its Debt-to-Equity ratio is 1.19 whereas as Long-Term Debt/Eq ratio is at 1.09.

Upgrades & Downgrades

In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for the company, Bernstein on August 13, 2024, Downgraded its rating to Mkt Perform and sets its target price to $8 from $10 previously.

On July 25, 2024, Macquarie Downgraded its rating to Neutral which previously was Outperform but kept the price unchanged to $9.

Evercore ISI reiterated its Outperform rating for the stock on July 16, 2024, while the target price for the stock was revised from $12 to $10.

Insider Transactions:

An investor can also benefit from insider trades by learning what management is thinking about the future direction of stock prices. A recent insider transaction in this stock occurred on May 13 ’24 when Zeiler Gerhard bought 100,000 shares for $8.30 per share. The transaction valued at 830,000 led to the insider holds 908,130 shares of the business.

ADVANCE/NEWHOUSE PROGRAMMING P sold 10,000,000 shares of WBD for $124,900,000 on Dec 14 ’23. The Director now owns 184,023,290 shares after completing the transaction at $12.49 per share. On Dec 14 ’23, another insider, Newhouse Steven O, who serves as the Director of the company, bought 10,000,000 shares for $12.49 each. As a result, the insider paid 124,900,000 and bolstered with 14,158,459 shares of the company.

Valuation Measures:

Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, WBD now has a Market Capitalization of 20559411200 and an Enterprise Value of 58579243008. For the stock, the TTM Price-to-Sale (P/S) ratio is 0.51 while its Price-to-Book (P/B) ratio in mrq is 0.59. Its current Enterprise Value per Revenue stands at 1.467 whereas that against EBITDA is 7.905.

Stock Price History:

Over the past 52 weeks, WBD has reached a high of $12.70, while it has fallen to a 52-week low of $6.64. The 50-Day Moving Average of the stock is 4.60%, while the 200-Day Moving Average is calculated to be -5.02%.

Shares Statistics:

According to the various share statistics, WBD traded on average about 32.81M shares per day over the past 3-months and 28143200 shares per day over the past 10 days. A total of 2.44B shares are outstanding, with a floating share count of 2.22B. Insiders hold about 9.52% of the company’s shares, while institutions hold 61.59% stake in the company. Shares short for WBD as of 1726185600 were 101754040 with a Short Ratio of 3.10, compared to 1723680000 on 138803385. Therefore, it implies a Short% of Shares Outstanding of 101754040 and a Short% of Float of 4.67.

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