ScoreWhy is Warner Bros. Discovery, Inc. ?
1
Poor Management Efficiency with a low ROCE of 3.93%
- The company has been able to generate a Return on Capital Employed (avg) of 3.93% signifying low profitability per unit of total capital (equity and debt)
2
Strong Long Term Fundamental Strength with a 28.53% CAGR growth in Net Sales
3
Healthy long term growth as Net Sales has grown by an annual rate of 28.53%
4
Positive results in Jun 26
- RAW MATERIAL COST(Y) Fallen by -39.63% (YoY)
- DEBTORS TURNOVER RATIO(HY) Highest at 7 times
- NET PROFIT(Q) Highest at USD 395 MM
5
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 57.22%, its profits have risen by 84.9%
6
High Institutional Holdings at 93.85%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 12.85% over the previous quarter.
7
Market Beating performance in long term as well as near term
- Along with generating 57.22% returns in the last 1 year, the stock has outperformed S&P 500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Warner Bros. Discovery, Inc. should be less than 10%
- Overall Portfolio exposure to Cables - Electricals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Cables - Electricals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Warner Bros. Discovery, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Warner Bros. Discovery, Inc.
57.26%
9.81
28.52%
S&P 500
15.76%
1.22
13.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
28.53%
EBIT Growth (5y)
-10.53%
EBIT to Interest (avg)
1.04
Debt to EBITDA (avg)
4.86
Net Debt to Equity (avg)
0.99
Sales to Capital Employed (avg)
0.52
Tax Ratio
0.25%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
81.00%
ROCE (avg)
3.93%
ROE (avg)
4.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.87
EV to EBIT
61.81
EV to EBITDA
13.22
EV to Capital Employed
1.49
EV to Sales
2.56
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
2.40%
ROE (Latest)
-0.77%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
RAW MATERIAL COST(Y)
Fallen by -39.63% (YoY
DEBTORS TURNOVER RATIO(HY)
Highest at 7 times
NET PROFIT(Q)
Highest at USD 395 MM
-6What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 3,423 MM
INTEREST COVERAGE RATIO(Q)
Lowest at 304.47
NET SALES(Q)
Lowest at USD 8,730 MM
Here's what is working for Warner Bros. Discovery, Inc.
Net Profit
At USD 395 MM has Grown at 282.5%
over average net sales of the previous four periods of USD -216.44 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Profit
Highest at USD 395 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Debtors Turnover Ratio
Highest at 7 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Raw Material Cost
Fallen by -39.63% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Warner Bros. Discovery, Inc.
Operating Cash Flow
Lowest at USD 3,423 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Lowest at 304.47
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales
Lowest at USD 8,730 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (USD MM)
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