WARNING: Market Shock Imminent

Join us on September 29 at 4 p.m. ET at the Market Shock 2022 event to find out what’s coming and how to profit.

Thu, September 29 at 4:00PM ET
 
 
 
 

Why Is Warner Bros. Discovery (WBD) Stock Down 14% Today?

  • Warner Bros. Discovery (WBD) stock is falling after releasing second-quarter results.
  • Revenue came in below analyst estimates.
  • The company also plans to combine Discovery+ and HBO Max.
A close-up of the blue and yellow Warner Bros (<a class=

Source: Ingus Kruklitis / Shutterstock.com

Warner Bros. Discovery (NASDAQ:WBD) stock is slipping on Friday following the release of the entertainment company’s earnings report for the second quarter of 2022.

One of the biggest bits of news from the earnings report is the company’s revenue of $9.83 billion. That’s a big miss compared to the $11.84 billion that Wall Street was looking for. It’s also a 1% ex-FX decrease compared to the same time last year.

Another highlight from the earnings report comes from the conference call with company leaders. In that call, Warner Bros. Discovery CEO David Zaslav laid out plans for the future of the company’s streaming services.

Zaslav confirmed that Disocvery+ and HBO Max will be combined into a single streaming service. The company’s current goal has its combination taking place next summer. Until then, the two services will share content.

WBD Stock: CEO Wants to Focus on Theatrical Releases

To go along with that, Zaslav also confirmed the scrapping of Batgirl and Scoob!: Holiday Haunt. Both films were set to release on HBO Max. The CEO notes that these cancellations come as the company plans a strategic shift for DC franchises. Moving forward, he says films will focus on theatrical releases, rather than going direct to streaming.

Today’s news has WBD stock seeing heavy trading, with some 23 million shares on the move as of this writing. For comparison, the company’s daily average trading volume is closer to 20.7 million shares.

WBD stock is down 14% as of Friday morning.

There’s more recent stock market news worth checking out below!

InvestorPlace is home to all of the hottest stock news traders need to know about for Friday! Among that is why shares of Plug Power (NASDAQ:PLUG), Virgin Galactic (NYSE:SPCE) and Block (NYSE:SQ) stock are on the move. You can find out more at the following links!

More Friday Stock Market News

On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


Article printed from InvestorPlace Media, https://investorplace.com/2022/08/why-is-warner-bros-discovery-wbd-stock-down-14-today/.

©2022 InvestorPlace Media, LLC