WARNER BROS DISCOVERY INC (J5A.DE) Stock Fundamental Analysis
Europe - FRA:J5A - US9344231041 - Common Stock
15.05 EUR
-1.18 (-7.26%)
We assign a fundamental rating of 3 out of 10 to J5A. J5A was compared to 46 industry peers in the Entertainment industry. Both the profitability and financial health of J5A have multiple concerns. J5A is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year J5A was profitable.
J5A had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: J5A reported negative net income in multiple years.
In the past 5 years J5A always reported a positive cash flow from operatings.
1.2 Ratios
J5A has a Return On Assets of 0.75%. This is comparable to the rest of the industry: J5A outperforms 50.00% of its industry peers.
With a Return On Equity value of 2.13%, J5A perfoms like the industry average, outperforming 56.52% of the companies in the same industry.
The Return On Invested Capital of J5A (1.12%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 2.13% | ||
| ROIC | 1.12% |
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
The Profit Margin of J5A (2.00%) is comparable to the rest of the industry.
J5A's Operating Margin of 3.65% is in line compared to the rest of the industry. J5A outperforms 56.52% of its industry peers.
J5A's Operating Margin has declined in the last couple of years.
J5A has a Gross Margin of 44.43%. This is in the lower half of the industry: J5A underperforms 60.87% of its industry peers.
J5A's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.65% | ||
| PM (TTM) | 2% | ||
| GM | 44.43% |
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 J5A is destroying value.
Compared to 1 year ago, J5A has more shares outstanding
The number of shares outstanding for J5A has been increased compared to 5 years ago.
Compared to 1 year ago, J5A has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.71, we must say that J5A is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.71, J5A perfoms like the industry average, outperforming 45.65% of the companies in the same industry.
The Debt to FCF ratio of J5A is 8.52, which is on the high side as it means it would take J5A, 8.52 years of fcf income to pay off all of its debts.
J5A's Debt to FCF ratio of 8.52 is in line compared to the rest of the industry. J5A outperforms 50.00% of its industry peers.
J5A has a Debt/Equity ratio of 0.95. This is a neutral value indicating J5A is somewhat dependend on debt financing.
J5A has a Debt to Equity ratio (0.95) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 8.52 | ||
| Altman-Z | 0.71 |
ROIC/WACC0.16
WACC6.9%
2.3 Liquidity
A Current Ratio of 1.04 indicates that J5A should not have too much problems paying its short term obligations.
J5A's Current ratio of 1.04 is fine compared to the rest of the industry. J5A outperforms 65.22% of its industry peers.
A Quick Ratio of 1.04 indicates that J5A should not have too much problems paying its short term obligations.
J5A has a Quick ratio of 1.04. This is in the better half of the industry: J5A outperforms 65.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
J5A shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 127.52%, which is quite impressive.
J5A shows a decrease in Revenue. In the last year, the revenue decreased by -3.74%.
The Revenue has been growing by 28.68% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)127.52%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%275%
Revenue 1Y (TTM)-3.74%
Revenue growth 3Y47.75%
Revenue growth 5Y28.68%
Sales Q2Q%1.02%
3.2 Future
J5A is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.44% yearly.
Based on estimates for the next years, J5A will show a decrease in Revenue. The Revenue will decrease by -0.12% on average per year.
EPS Next Y137.44%
EPS Next 2Y36.95%
EPS Next 3Y22.88%
EPS Next 5Y23.44%
Revenue Next Year-5.41%
Revenue Next 2Y-2.53%
Revenue Next 3Y-1.27%
Revenue Next 5Y-0.12%
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
Based on the Price/Earnings ratio of 60.20, the valuation of J5A can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of J5A is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.20, J5A is valued quite expensively.
J5A is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.2 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, J5A is valued a bit cheaper than the industry average as 76.09% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of J5A indicates a rather cheap valuation: J5A is cheaper than 82.61% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.78 | ||
| EV/EBITDA | 3.77 |
4.3 Compensation for Growth
J5A's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
J5A's earnings are expected to grow with 22.88% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.44
PEG (5Y)N/A
EPS Next 2Y36.95%
EPS Next 3Y22.88%
5. Dividend
5.1 Amount
J5A does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:J5A (9/16/2025, 7:00:00 PM)
15.05
-1.18 (-7.26%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners70.78%
Inst Owner ChangeN/A
Ins Owners1.16%
Ins Owner ChangeN/A
Market Cap37.26B
Analysts74.84
Price Target14.39 (-4.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)180.82%
Min EPS beat(2)-36.9%
Max EPS beat(2)398.54%
EPS beat(4)2
Avg EPS beat(4)-238.7%
Min EPS beat(4)-1474.18%
Max EPS beat(4)398.54%
EPS beat(8)2
Avg EPS beat(8)-447.78%
EPS beat(12)2
Avg EPS beat(12)-941.6%
EPS beat(16)4
Avg EPS beat(16)-379.83%
Revenue beat(2)0
Avg Revenue beat(2)-3.93%
Min Revenue beat(2)-7.39%
Max Revenue beat(2)-0.47%
Revenue beat(4)0
Avg Revenue beat(4)-3.3%
Min Revenue beat(4)-7.39%
Max Revenue beat(4)-0.47%
Revenue beat(8)0
Avg Revenue beat(8)-2.99%
Revenue beat(12)0
Avg Revenue beat(12)-3.13%
Revenue beat(16)1
Avg Revenue beat(16)-6.98%
PT rev (1m)15.47%
PT rev (3m)19.58%
EPS NQ rev (1m)-289.1%
EPS NQ rev (3m)-6040.71%
EPS NY rev (1m)229.22%
EPS NY rev (3m)199.8%
Revenue NQ rev (1m)-1.02%
Revenue NQ rev (3m)-2.04%
Revenue NY rev (1m)-1.51%
Revenue NY rev (3m)-1.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.2 | ||
| Fwd PE | N/A | ||
| P/S | 1.14 | ||
| P/FCF | 10.78 | ||
| P/OCF | 8.6 | ||
| P/B | 1.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.77 |
EPS(TTM)0.25
EY1.66%
EPS(NY)-0.1
Fwd EYN/A
FCF(TTM)1.4
FCFY9.27%
OCF(TTM)1.75
OCFY11.63%
SpS13.2
BVpS12.38
TBVpS-13.26
PEG (NY)0.44
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 2.13% | ||
| ROCE | 1.58% | ||
| ROIC | 1.12% | ||
| ROICexc | 1.18% | ||
| ROICexgc | 10.83% | ||
| OM | 3.65% | ||
| PM (TTM) | 2% | ||
| GM | 44.43% | ||
| FCFM | 10.57% |
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
ROICexcg growth 3Y-43.23%
ROICexcg 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 | 0.95 | ||
| Debt/FCF | 8.52 | ||
| Debt/EBITDA | 1.69 | ||
| Cap/Depr | 5.44% | ||
| Cap/Sales | 2.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 24.98% | ||
| Profit Quality | 529.3% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 0.71 |
F-Score8
WACC6.9%
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)127.52%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%275%
EPS Next Y137.44%
EPS Next 2Y36.95%
EPS Next 3Y22.88%
EPS Next 5Y23.44%
Revenue 1Y (TTM)-3.74%
Revenue growth 3Y47.75%
Revenue growth 5Y28.68%
Sales Q2Q%1.02%
Revenue Next Year-5.41%
Revenue Next 2Y-2.53%
Revenue Next 3Y-1.27%
Revenue Next 5Y-0.12%
EBIT growth 1Y692.83%
EBIT growth 3Y-33.72%
EBIT growth 5Y-29.28%
EBIT Next Year200.91%
EBIT Next 3Y44.98%
EBIT Next 5Y24.17%
FCF growth 1Y31.89%
FCF growth 3Y22.22%
FCF growth 5Y7.32%
OCF growth 1Y17.11%
OCF growth 3Y24.31%
OCF growth 5Y9.6%