WARNER BROS DISCOVERY INC (1WBD.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1WBD - US9344231041 - Common Stock
23.8 EUR
-1.59 (-6.24%)
1WBD gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 45 industry peers in the Entertainment industry. 1WBD has a bad profitability rating. Also its financial health evaluation is rather negative. 1WBD is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1WBD was profitable.
In the past year 1WBD had a positive cash flow from operations.
In multiple years 1WBD reported negative net income over the last 5 years.
In the past 5 years 1WBD always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.48%, 1WBD is in line with its industry, outperforming 56.86% of the companies in the same industry.
1WBD has a Return On Equity of 1.35%. This is comparable to the rest of the industry: 1WBD outperforms 58.82% of its industry peers.
1WBD has a Return On Invested Capital (1.48%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 1.35% | ||
| ROIC | 1.48% |
ROA(3y)-6.3%
ROA(5y)-2.79%
ROE(3y)-18.63%
ROE(5y)-8.08%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
1WBD has a Profit Margin (1.28%) which is comparable to the rest of the industry.
1WBD has a Operating Margin (4.61%) which is comparable to the rest of the industry.
1WBD's Operating Margin has declined in the last couple of years.
1WBD's Gross Margin of 44.92% is in line compared to the rest of the industry. 1WBD outperforms 41.18% of its industry peers.
In the last couple of years the Gross Margin of 1WBD has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.61% | ||
| PM (TTM) | 1.28% | ||
| GM | 44.92% |
OM growth 3Y-55.14%
OM growth 5Y-45.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.55%
GM growth 5Y-8.3%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1WBD is destroying value.
Compared to 1 year ago, 1WBD has more shares outstanding
1WBD has more shares outstanding than it did 5 years ago.
1WBD has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.93, we must say that 1WBD is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.93, 1WBD is in line with its industry, outperforming 41.18% of the companies in the same industry.
1WBD has a debt to FCF ratio of 8.11. This is a slightly negative value and a sign of low solvency as 1WBD would need 8.11 years to pay back of all of its debts.
1WBD has a Debt to FCF ratio (8.11) which is comparable to the rest of the industry.
1WBD has a Debt/Equity ratio of 0.93. This is a neutral value indicating 1WBD is somewhat dependend on debt financing.
1WBD has a Debt to Equity ratio of 0.93. This is comparable to the rest of the industry: 1WBD outperforms 41.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 8.11 | ||
| Altman-Z | 0.93 |
ROIC/WACC0.16
WACC8.99%
2.3 Liquidity
A Current Ratio of 1.07 indicates that 1WBD should not have too much problems paying its short term obligations.
1WBD's Current ratio of 1.07 is fine compared to the rest of the industry. 1WBD outperforms 60.78% of its industry peers.
1WBD has a Quick Ratio of 1.07. This is a normal value and indicates that 1WBD is financially healthy and should not expect problems in meeting its short term obligations.
1WBD has a better Quick ratio (1.07) than 60.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 121.84% over the past year.
Looking at the last year, 1WBD shows a decrease in Revenue. The Revenue has decreased by -4.33% in the last year.
1WBD shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 28.68% yearly.
EPS 1Y (TTM)121.84%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-220%
Revenue 1Y (TTM)-4.33%
Revenue growth 3Y47.75%
Revenue growth 5Y28.68%
Sales Q2Q%-6.01%
3.2 Future
Based on estimates for the next years, 1WBD will show a very strong growth in Earnings Per Share. The EPS will grow by 23.34% on average per year.
1WBD is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.33% yearly.
EPS Next Y139.96%
EPS Next 2Y39.8%
EPS Next 3Y19.5%
EPS Next 5Y23.34%
Revenue Next Year-5.64%
Revenue Next 2Y-3.24%
Revenue Next 3Y-1.76%
Revenue Next 5Y-0.33%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 148.75, which means the current valuation is very expensive for 1WBD.
The rest of the industry has a similar Price/Earnings ratio as 1WBD.
1WBD is valuated expensively when we compare the Price/Earnings ratio to 27.17, which is the current average of the S&P500 Index.
1WBD is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 148.75 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1WBD indicates a rather cheap valuation: 1WBD is cheaper than 80.39% of the companies listed in the same industry.
1WBD's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1WBD is cheaper than 74.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.82 | ||
| EV/EBITDA | 5.02 |
4.3 Compensation for Growth
1WBD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as 1WBD's earnings are expected to grow with 19.50% in the coming years.
PEG (NY)1.06
PEG (5Y)N/A
EPS Next 2Y39.8%
EPS Next 3Y19.5%
5. Dividend
5.1 Amount
No dividends for 1WBD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:1WBD (12/18/2025, 7:00:00 PM)
23.8
-1.59 (-6.24%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners73.54%
Inst Owner ChangeN/A
Ins Owners1.16%
Ins Owner ChangeN/A
Market Cap58.98B
Revenue(TTM)37.86B
Net Income(TTM)485.00M
Analysts76.13
Price Target24.26 (1.93%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)177.4%
Min EPS beat(2)-43.74%
Max EPS beat(2)398.54%
EPS beat(4)1
Avg EPS beat(4)-289.07%
Min EPS beat(4)-1474.18%
Max EPS beat(4)398.54%
EPS beat(8)2
Avg EPS beat(8)-156.34%
EPS beat(12)2
Avg EPS beat(12)-916.17%
EPS beat(16)4
Avg EPS beat(16)-379.97%
Revenue beat(2)0
Avg Revenue beat(2)-1.29%
Min Revenue beat(2)-2.12%
Max Revenue beat(2)-0.47%
Revenue beat(4)0
Avg Revenue beat(4)-3.14%
Min Revenue beat(4)-7.39%
Max Revenue beat(4)-0.47%
Revenue beat(8)0
Avg Revenue beat(8)-3.13%
Revenue beat(12)0
Avg Revenue beat(12)-2.79%
Revenue beat(16)1
Avg Revenue beat(16)-7.07%
PT rev (1m)42.46%
PT rev (3m)68.35%
EPS NQ rev (1m)7.09%
EPS NQ rev (3m)-7.6%
EPS NY rev (1m)12.95%
EPS NY rev (3m)19.96%
Revenue NQ rev (1m)-1.47%
Revenue NQ rev (3m)-2.56%
Revenue NY rev (1m)-0.34%
Revenue NY rev (3m)-0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 148.75 | ||
| Fwd PE | N/A | ||
| P/S | 1.84 | ||
| P/FCF | 16.82 | ||
| P/OCF | 13.29 | ||
| P/B | 1.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.02 |
EPS(TTM)0.16
EY0.67%
EPS(NY)-0.04
Fwd EYN/A
FCF(TTM)1.42
FCFY5.95%
OCF(TTM)1.79
OCFY7.52%
SpS12.96
BVpS12.33
TBVpS-12.94
PEG (NY)1.06
PEG (5Y)N/A
Graham Number6.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.48% | ||
| ROE | 1.35% | ||
| ROCE | 1.98% | ||
| ROIC | 1.48% | ||
| ROICexc | 1.56% | ||
| ROICexgc | 12.78% | ||
| OM | 4.61% | ||
| PM (TTM) | 1.28% | ||
| GM | 44.92% | ||
| FCFM | 10.92% |
ROA(3y)-6.3%
ROA(5y)-2.79%
ROE(3y)-18.63%
ROE(5y)-8.08%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-43.23%
ROICexgc growth 5Y-35.25%
ROICexc growth 3Y-54.46%
ROICexc growth 5Y-42.78%
OM growth 3Y-55.14%
OM growth 5Y-45.05%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.55%
GM growth 5Y-8.3%
F-Score8
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 8.11 | ||
| Debt/EBITDA | 1.7 | ||
| Cap/Depr | 6.11% | ||
| Cap/Sales | 2.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 26.57% | ||
| Profit Quality | 852.37% | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 1.07 | ||
| Altman-Z | 0.93 |
F-Score8
WACC8.99%
ROIC/WACC0.16
Cap/Depr(3y)4.94%
Cap/Depr(5y)6.3%
Cap/Sales(3y)2.84%
Cap/Sales(5y)3.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)121.84%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-220%
EPS Next Y139.96%
EPS Next 2Y39.8%
EPS Next 3Y19.5%
EPS Next 5Y23.34%
Revenue 1Y (TTM)-4.33%
Revenue growth 3Y47.75%
Revenue growth 5Y28.68%
Sales Q2Q%-6.01%
Revenue Next Year-5.64%
Revenue Next 2Y-3.24%
Revenue Next 3Y-1.76%
Revenue Next 5Y-0.33%
EBIT growth 1Y561.91%
EBIT growth 3Y-33.72%
EBIT growth 5Y-29.28%
EBIT Next Year198.77%
EBIT Next 3Y44.19%
EBIT Next 5Y24.29%
FCF growth 1Y-22.48%
FCF growth 3Y22.22%
FCF growth 5Y7.32%
OCF growth 1Y-22.46%
OCF growth 3Y24.31%
OCF growth 5Y9.6%
WARNER BROS DISCOVERY INC / 1WBD.MI FAQ
What is the ChartMill fundamental rating of WARNER BROS DISCOVERY INC (1WBD.MI) stock?
ChartMill assigns a fundamental rating of 3 / 10 to 1WBD.MI.
What is the valuation status of WARNER BROS DISCOVERY INC (1WBD.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to WARNER BROS DISCOVERY INC (1WBD.MI). This can be considered as Overvalued.
What is the profitability of 1WBD stock?
WARNER BROS DISCOVERY INC (1WBD.MI) has a profitability rating of 3 / 10.
What is the financial health of WARNER BROS DISCOVERY INC (1WBD.MI) stock?
The financial health rating of WARNER BROS DISCOVERY INC (1WBD.MI) is 3 / 10.