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Warner Bros. Discovery (WBD) Rises But Trails Market: What Investors Should Know

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Warner Bros. Discovery (WBD - Free Report) ended the recent trading session at $8.50, demonstrating a +0.24% swing from the preceding day's closing price. The stock's performance was behind the S&P 500's daily gain of 0.57%. Meanwhile, the Dow experienced a rise of 0.83%, and the technology-dominated Nasdaq saw an increase of 0.39%.

Coming into today, shares of the operator of cable TV channels such as TLC and Animal Planet had lost 13.73% in the past month. In that same time, the Consumer Discretionary sector gained 0.27%, while the S&P 500 gained 2.97%.

Market participants will be closely following the financial results of Warner Bros. Discovery in its upcoming release. It is anticipated that the company will report an EPS of -$0.23, marking a 227.78% fall compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $10.21 billion, indicating a 4.59% decline compared to the corresponding quarter of the prior year.

WBD's full-year Zacks Consensus Estimates are calling for earnings of -$0.34 per share and revenue of $41.47 billion. These results would represent year-over-year changes of +73.44% and +0.37%, respectively.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Warner Bros. Discovery. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 21.44% downward. Warner Bros. Discovery is holding a Zacks Rank of #3 (Hold) right now.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 211, positioning it in the bottom 17% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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