With a market cap of $44.5 billion, Warner Bros. Discovery, Inc. (WBD) is a global media and entertainment company, delivering a diverse portfolio of content across television, film, streaming, and gaming. The company operates through three core segments: Studios; Networks; and Direct-to-Consumer (DTC), with leading brands such as HBO, Max, CNN, Discovery Channel, Warner Bros. Pictures, DC, HGTV, and Cartoon Network. 

Companies valued $10 billion or more are generally considered “large-cap” stocks, and Warner Bros. Discovery fits this criterion perfectly. With its extensive portfolio of iconic franchises and platforms, Warner Bros. Discovery reaches audiences worldwide through theatrical releases, television networks, streaming services, and digital distribution.

Shares of the New York-based company have fallen 8.7% from its 52-week high of $19.59. Warner Bros. Discovery’s shares have surged 69.3% over the past three months, outperforming the broader S&P 500 Index’s ($SPX) 10.8% gain over the same time frame.

In the longer term, WBD stock is up 69.3% on a YTD basis, outpacing SPX’s 12.6% rise. Moreover, shares of the cable TV channels operator have climbed 112.5% over the past 52 weeks, compared to the 17.9% return of the SPX over the same time frame.

Despite a few fluctuations, the stock has been trading mostly above its 50-day and 200-day moving averages since November last year.

Despite posting a surprise Q2 2025 profit of $0.63 per share, Warner Bros. Discovery shares tumbled 7.3% on Aug. 7 as revenue of $9.81 billion came in short of forecasts. Investors were also rattled by weakness in its traditional TV business, with the linear network unit posting a 12% drop in advertising revenue and a 9% overall cable TV revenue decline. Concerns over mounting debt and management’s warning that TV ad revenue will decline at an even higher rate next quarter outweighed strong studio growth of 55% and the addition of 3.4 million streaming subscribers.

In comparison, rival Live Nation Entertainment, Inc. (LYV) has lagged behind WBD stock. LYV stock has jumped 30% on a YTD basis and 63.8% over the past 52 weeks.

Despite the stock’s significant outperformance, analysts remain cautiously optimistic on WBD. It has a consensus rating of “Moderate Buy” from the 26 analysts in coverage, and the stock is trading above the mean price target of $13.80.