What’s the Path for Warner Bros. Discovery After Dismal Earnings, Sunk Stock Price and Shrinking Options? | Analysis

Warner stock has sunk by 70% since its April 2022 merger with Discovery, and Wall Street is calling on the David Zaslav-led media giant to explore strategic alternatives, such as asset sales

David Zaslav
Warner Bros. Discovery CEO David Zaslav (Illustration courtesy of Getty Images/TheWrap/Chris Smith)

With Warner Bros Discovery’s stock price hovering near a 52-week low and a humiliating second quarter earnings in which the company took a $9 billion write-down on its linear assets, CEO David Zaslav needs to make a move to shift the fortunes of his listing entertainment conglomerate.

The question is: What moves are left? 

The stakes are high. Zaslav has presided over a stunning 70% decline in the company’s stock price since the April 2022 merger between WarnerMedia and Discovery. And now WBD is on the brink of losing a massive NBA deal to competitors Amazon and Comcast, which will negatively impact lucrative cable carriage deals.

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