Warner Bros. Discovery: Streaming Growth And Ability To Deleverage Present Substantial Upside Potential

Sep. 07, 2022 2:35 PM ETWarner Bros. Discovery, Inc. (WBD)86 Comments
Logan Colhoun profile picture
Logan Colhoun


  • Warner Bros Discovery has fallen 48% since its spin-off + merger in April 2022.
  • 71% of WBD shares were given to AT&T shareholders, who have largely sold due to the lack of a dividend.
  • Warner Bros Discovery has an impressive collection of Intellectual Property, and has quickly built HBO Max into a top 3 streaming service.
  • The company's ability to deleverage its massive debt load offers substantial upside for WBD shareholders.

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Streaming Services by Market Share


WBD Financial Projections


WBD Q2 EBITDA Projections

Warner Bros Discovery

WBD Deleveraging Plans

Warner Bros Discovery

DCF Model for WBD


This article was written by

Logan Colhoun profile picture
I'm a current Finance major at Texas A&M. I am the founder of Undergrads Invest and the Undergrads Invest podcast. I am a value investor who looks for high-quality companies that are trading at discounted valuations. I also enjoy special situations investing, where some sort of hard catalyst is creating a market inefficiency.

Disclosure: I/we have a beneficial long position in the shares of WBD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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