WARNER BROS DISCOVERY INC (WBD) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:WBD • US9344231041

27.03 USD
-0.16 (-0.59%)
At close: Feb 4, 2026
27 USD
-0.03 (-0.11%)
After Hours: 2/4/2026, 8:00:03 PM
Fundamental Rating

3

Overall WBD gets a fundamental rating of 3 out of 10. We evaluated WBD against 80 industry peers in the Entertainment industry. While WBD is still in line with the averages on profitability rating, there are concerns on its financial health. WBD has a decent growth rate and is not valued too expensively.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

  • In the past year WBD was profitable.
  • In the past year WBD had a positive cash flow from operations.
  • In multiple years WBD reported negative net income over the last 5 years.
  • WBD had a positive operating cash flow in each of the past 5 years.
WBD Yearly Net Income VS EBIT VS OCF VS FCFWBD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B -5B -10B

1.2 Ratios

  • With a decent Return On Assets value of 0.48%, WBD is doing good in the industry, outperforming 62.50% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 1.35%, WBD is in the better half of the industry, outperforming 66.25% of the companies in the same industry.
  • With a decent Return On Invested Capital value of 1.56%, WBD is doing good in the industry, outperforming 63.75% of the companies in the same industry.
Industry RankSector Rank
ROA 0.48%
ROE 1.35%
ROIC 1.56%
ROA(3y)-6.3%
ROA(5y)-2.79%
ROE(3y)-18.63%
ROE(5y)-8.08%
ROIC(3y)N/A
ROIC(5y)N/A
WBD Yearly ROA, ROE, ROICWBD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 10 -10 -20 -30

1.3 Margins

  • WBD has a Profit Margin of 1.28%. This is in the better half of the industry: WBD outperforms 65.00% of its industry peers.
  • The Operating Margin of WBD (4.61%) is better than 66.25% of its industry peers.
  • In the last couple of years the Operating Margin of WBD has declined.
  • WBD has a Gross Margin of 44.92%. This is comparable to the rest of the industry: WBD outperforms 52.50% of its industry peers.
  • In the last couple of years the Gross Margin of WBD has declined.
Industry RankSector 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%
WBD Yearly Profit, Operating, Gross MarginsWBD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40 60

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so WBD is destroying value.
  • The number of shares outstanding for WBD has been increased compared to 1 year ago.
  • Compared to 5 years ago, WBD has more shares outstanding
  • Compared to 1 year ago, WBD has a worse debt to assets ratio.
WBD Yearly Shares OutstandingWBD Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B
WBD Yearly Total Debt VS Total AssetsWBD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 20B 40B 60B 80B 100B

2.2 Solvency

  • WBD has an Altman-Z score of 0.91. This is a bad value and indicates that WBD is not financially healthy and even has some risk of bankruptcy.
  • WBD has a Altman-Z score of 0.91. This is comparable to the rest of the industry: WBD outperforms 46.25% of its industry peers.
  • WBD has a debt to FCF ratio of 8.11. This is a slightly negative value and a sign of low solvency as WBD would need 8.11 years to pay back of all of its debts.
  • With a decent Debt to FCF ratio value of 8.11, WBD is doing good in the industry, outperforming 63.75% of the companies in the same industry.
  • WBD has a Debt/Equity ratio of 0.93. This is a neutral value indicating WBD is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.93, WBD is not doing good in the industry: 63.75% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.93
Debt/FCF 8.11
Altman-Z 0.91
ROIC/WACC0.17
WACC9.13%
WBD Yearly LT Debt VS Equity VS FCFWBD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B

2.3 Liquidity

  • WBD has a Current Ratio of 1.07. This is a normal value and indicates that WBD is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.07, WBD is in line with its industry, outperforming 48.75% of the companies in the same industry.
  • WBD has a Quick Ratio of 1.07. This is a normal value and indicates that WBD is financially healthy and should not expect problems in meeting its short term obligations.
  • WBD's Quick ratio of 1.07 is in line compared to the rest of the industry. WBD outperforms 48.75% of its industry peers.
Industry RankSector Rank
Current Ratio 1.07
Quick Ratio 1.07
WBD Yearly Current Assets VS Current LiabilitesWBD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

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, WBD shows a decrease in Revenue. The Revenue has decreased by -4.33% in the last year.
  • WBD 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

  • WBD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.34% yearly.
  • The Revenue is expected to decrease by -1.09% on average over the next years.
EPS Next Y140.67%
EPS Next 2Y42.18%
EPS Next 3Y18.4%
EPS Next 5Y23.34%
Revenue Next Year-5.67%
Revenue Next 2Y-3.21%
Revenue Next 3Y-1.76%
Revenue Next 5Y-1.09%

3.3 Evolution

  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
WBD Yearly Revenue VS EstimatesWBD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 10B 20B 30B 40B
WBD Yearly EPS VS EstimatesWBD Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 0 2 -2 -4

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 142.26, which means the current valuation is very expensive for WBD.
  • The rest of the industry has a similar Price/Earnings ratio as WBD.
  • WBD is valuated expensively when we compare the Price/Earnings ratio to 28.25, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 1378.79, WBD can be considered very expensive at the moment.
  • WBD's Price/Forward Earnings is on the same level as the industry average.
  • When comparing the Price/Forward Earnings ratio of WBD to the average of the S&P500 Index (27.50), we can say WBD is valued expensively.
Industry RankSector Rank
PE 142.26
Fwd PE 1378.79
WBD Price Earnings VS Forward Price EarningsWBD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 200 400 600 800 1K

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of WBD indicates a rather cheap valuation: WBD is cheaper than 88.75% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, WBD is valued cheaper than 90.00% of the companies in the same industry.
Industry RankSector Rank
P/FCF 16.2
EV/EBITDA 4.89
WBD Per share dataWBD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10

4.3 Compensation for Growth

  • WBD'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 WBD's earnings are expected to grow with 18.40% in the coming years.
PEG (NY)1.01
PEG (5Y)N/A
EPS Next 2Y42.18%
EPS Next 3Y18.4%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • WBD does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

WARNER BROS DISCOVERY INC

NASDAQ:WBD (2/4/2026, 8:00:03 PM)

After market: 27 -0.03 (-0.11%)

27.03

-0.16 (-0.59%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)11-06
Earnings (Next)02-20
Inst Owners73.62%
Inst Owner Change-2.02%
Ins Owners1.15%
Ins Owner Change0.56%
Market Cap66.98B
Revenue(TTM)37.86B
Net Income(TTM)485.00M
Analysts72.31
Price Target28.15 (4.14%)
Short Float %3.33%
Short Ratio1.76
Dividend
Industry RankSector 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)1.34%
PT rev (3m)41.82%
EPS NQ rev (1m)8.52%
EPS NQ rev (3m)39.22%
EPS NY rev (1m)1.8%
EPS NY rev (3m)19.72%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)-2.3%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.7%
Valuation
Industry RankSector Rank
PE 142.26
Fwd PE 1378.79
P/S 1.77
P/FCF 16.2
P/OCF 12.81
P/B 1.86
P/tB N/A
EV/EBITDA 4.89
EPS(TTM)0.19
EY0.7%
EPS(NY)0.02
Fwd EY0.07%
FCF(TTM)1.67
FCFY6.17%
OCF(TTM)2.11
OCFY7.81%
SpS15.28
BVpS14.54
TBVpS-15.25
PEG (NY)1.01
PEG (5Y)N/A
Graham Number7.88
Profitability
Industry RankSector Rank
ROA 0.48%
ROE 1.35%
ROCE 1.98%
ROIC 1.56%
ROICexc 1.64%
ROICexgc 13.46%
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 RankSector 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 0.91
F-Score8
WACC9.13%
ROIC/WACC0.17
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 Y140.67%
EPS Next 2Y42.18%
EPS Next 3Y18.4%
EPS Next 5Y23.34%
Revenue 1Y (TTM)-4.33%
Revenue growth 3Y47.75%
Revenue growth 5Y28.68%
Sales Q2Q%-6.01%
Revenue Next Year-5.67%
Revenue Next 2Y-3.21%
Revenue Next 3Y-1.76%
Revenue Next 5Y-1.09%
EBIT growth 1Y561.91%
EBIT growth 3Y-33.72%
EBIT growth 5Y-29.28%
EBIT Next Year198.82%
EBIT Next 3Y44.11%
EBIT Next 5Y25.32%
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 / WBD FAQ

What is the fundamental rating for WBD stock?

ChartMill assigns a fundamental rating of 3 / 10 to WBD.


What is the valuation status of WARNER BROS DISCOVERY INC (WBD) stock?

ChartMill assigns a valuation rating of 4 / 10 to WARNER BROS DISCOVERY INC (WBD). This can be considered as Fairly Valued.


How profitable is WARNER BROS DISCOVERY INC (WBD) stock?

WARNER BROS DISCOVERY INC (WBD) has a profitability rating of 4 / 10.


What are the PE and PB ratios of WARNER BROS DISCOVERY INC (WBD) stock?

The Price/Earnings (PE) ratio for WARNER BROS DISCOVERY INC (WBD) is 142.26 and the Price/Book (PB) ratio is 1.86.


How financially healthy is WARNER BROS DISCOVERY INC?

The financial health rating of WARNER BROS DISCOVERY INC (WBD) is 3 / 10.