Global entertainment and media company Warner Bros. Discovery (NASDAQ: WBD) will be announcing earnings results this Thursday morning. Here’s what to look for.
Warner Bros. Discovery missed analysts’ revenue expectations last quarter, reporting revenues of $9.05 billion, down 6% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ adjusted operating income estimates but EPS in line with analysts’ estimates.
Is Warner Bros. Discovery a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Warner Bros. Discovery’s revenue to decline 6.4% year on year, a further deceleration from the 2.5% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.
Looking at Warner Bros. Discovery’s peers in the consumer discretionary - media segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Warner Music Group delivered year-on-year revenue growth of 10.4%, beating analysts’ expectations by 4.1%, and News Corp reported revenues up 5.5%, topping estimates by 3%. Warner Music Group traded up 3.1% following the results while News Corp was down 7.1%.
Read our full analysis of Warner Music Group’s results here and News Corp’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the consumer discretionary - media stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 2.3% on average over the last month. Warner Bros. Discovery is up 2.4% during the same time and is heading into earnings with an average analyst price target of $29.21 (compared to the current share price of $28.92).
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