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Warner Bros. Discovery (WBD) Exceeds Market Returns: Some Facts to Consider

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Warner Bros. Discovery (WBD - Free Report) closed the latest trading day at $8.56, indicating a +0.82% change from the previous session's end. The stock exceeded the S&P 500, which registered a gain of 0.13% for the day. Meanwhile, the Dow experienced a rise of 0.55%, and the technology-dominated Nasdaq saw a decrease of 0.52%.

Shares of the operator of cable TV channels such as TLC and Animal Planet witnessed a gain of 14.57% over the previous month, beating the performance of the Consumer Discretionary sector with its gain of 9.35% and the S&P 500's gain of 3.67%.

The investment community will be closely monitoring the performance of Warner Bros. Discovery in its forthcoming earnings report. The company is scheduled to release its earnings on November 7, 2024. In that report, analysts expect Warner Bros. Discovery to post earnings of $0.07 per share. This would mark year-over-year growth of 141.18%. Meanwhile, the latest consensus estimate predicts the revenue to be $9.99 billion, indicating a 0.1% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates are projecting earnings of -$4.17 per share and revenue of $40.43 billion, which would represent changes of -225.78% and -2.16%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Warner Bros. Discovery. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 moved 15.37% lower. At present, Warner Bros. Discovery boasts a Zacks Rank of #3 (Hold).

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 189, this industry ranks in the bottom 26% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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