Warner Bros Discovery Inc (WBD) fair value: what the stock is really worth
We calculate from audited financials what Warner Bros Discovery Inc is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 17, 2026.
How to read this chart
60‑month range $6.71 – $31.20 · fair‑value band $6.52 – $17.51 · the $27.80 price screens above the $10.00 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 17, 2026.
Warner Bros. Discovery, Inc. operates as a media and entertainment company worldwide. It operates through three segments: Streaming, Studios, and Global Linear Networks.
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Warner Bros. Discovery, Inc. operates as a media and entertainment company worldwide. It operates through three segments: Streaming, Studios, and Global Linear Networks. The Streaming segment offers streaming services, such as HBO Max and discovery+, and premium pay-TV services, including HBO and certain premium sports streaming products for mobile and connected TV devices. The Studios segment is involved in the production and release of feature films for initial exhibition in theaters, production and initial licensing of television programs to third parties and its networks/streaming services. This segment also distributes films and television programs to various third-party and internal television, streaming services, and physical and digital home entertainment markets; related consumer products and themed experience licensing; and publishes, develops, licenses, and distributes content for the interactive space in platforms, including console, handheld, mobile, and PC-based gaming for both internal and third-party game titles. The Global Linear Networks segment provides general and lifestyle entertainment networks, news networks; and hosts international media networks and global sports networks. In addition, the company offers a portfolio of content and products for television, film, streaming, interactive gaming, publishing, themed experiences, and consumer products under the Discovery Channel, HBO Max, CNN, DC Studios, TNT Sports, HBO, Food Network, TLC, TBS, Warner Bros. Motion Picture Group, Warner Bros. Television Group, Warner Bros. Games, Adult Swim, Turner Classic Movies, and other brands. Warner Bros. Discovery, Inc. was incorporated in 2008 and is headquartered in New York, New York.
Stock analysis
Warner Bros Discovery Inc (WBD) currently trades at $27.80, while our model-based Fair Value estimate is $10.00, implying the stock looks roughly 178.0% overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of $13.47 per share, and 3 of the 22 models we run sit above the $27.80 price.
Bear case: the Dividend Discount group reads lowest at $1.93, and 19 of the 22 models stay below the price. Evidence for this calculation is medium.
Scenario range: $6.52 (bear) to $17.51 (bull), the price of $27.80 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 40/100 (below-average quality), in the Communication Services sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Warner Bros Discovery Inc reported revenue of $37.3B in FY2025 versus $12.2B in FY2021, a compound +32.3%/yr. Reported net income was $727M in FY2025, compounding −7.8%/yr from FY2021.
Key figures
Market cap $70.3B · P/S ratio 1.81 · EPS (TTM) $−0.7000 · Dividend yield 0.4% · Net margin 1.9% · Return on equity −5.0% · Return on assets (EBIT) −1.8% · Operating margin 8.6%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 46 out of 100 (low confidence).
What moves the price
The share trades about 7% below its 52-week high and 205% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Communication Services peers we cover trades at −23% fair-value upside, at −64%, WBD screens richer than that median.
Fair Value models
Bear $6.52Fair Value $10.00Bull $17.51
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.76/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
−5.1%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+3.3%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+28.4%
Revenue growth 25 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+21.3%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
−30.3%
Earnings growth per share plus dividend.
Earnings per share, growth per year−30.7%
Dividend (yield on the price)0.4%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.−31% vs −16%, slowing
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.24% → 4%
Growth Forecast
A lot of optimism in the price
The price assumes less growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+20.4%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+1.9%
Yearly sales growth analysts expect, extended to five years.
News mood ⓘNews mood, the average tone of recent news (100 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Very negative
Compare Warner Bros Discovery Inc with another stock
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Entertainment · 261 stocks
Beats the industry median on 2/13 measures
Overall it trails its industry peers.
Valuation
Quality Score39 · Below median
Fair Value upside−68% · Bottom 25%
Profitability
Return on assets1% · Above median
Net margin (TTM)−5% · Below median
Operating margin (TTM)9% · Above median
Growth and dividend
Revenue growth−1% · Below median
Dividend yield (TTM)0.4% · Bottom 25%
Balance sheet
Debt / equity0.90× · Highest 25%
Valuation Multiplesvs Entertainment median · lower = cheaper
P/B1.87× · Pricier than median
P/S (TTM)1.80× · Pricier than median
P/FCF21.7× · Priciest 25%
EV/EBITDA12.5× · Pricier than median
PEG216.92× · Priciest 25%
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 21
FUTURE (revenue growth)0· sector 11
PAST (return on equity)0· sector 0
HEALTH (low debt)55· sector 98
DIVIDEND (yield)0· sector 45
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Warner Bros Discovery Inc (WBD) overvalued or undervalued?
As of Sep 17, 2026, our model estimates a fair value of $10.00 versus a price of $27.80, about −64% upside (overvalued).
What is the fair value of WBD?
Our model-based fair value for Warner Bros Discovery Inc is $10.00 (as of Sep 17, 2026), built from audited fundamentals. The current price: $27.80.
What is the quality score of WBD?
Warner Bros Discovery Inc has a Quality Score of 40/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Warner Bros Discovery Inc (WBD)?
Our model-based price target is the fair value of $10.00 (as of Sep 17, 2026) from 22 valuation models. Cautious scenario $6.52, optimistic scenario $17.51. It is a calculation from audited fundamentals, not an analyst target.
What is the Warner Bros Discovery Inc stock forecast for 2026?
Our models put fair value at $10.00, about −64% upside versus a price of $27.80 (overvalued). Cautious scenario $6.52, optimistic scenario $17.51. The calculation is refreshed regularly with new filings.
What is the revenue of Warner Bros Discovery Inc (WBD)?
Warner Bros Discovery Inc reported trailing-twelve-month revenue of about $37.2B (latest available figure, as of Sep 17, 2026).
Does Warner Bros Discovery Inc pay a dividend?
Warner Bros Discovery Inc currently shows a dividend yield of about 0.44% relative to its recent price (as of Sep 17, 2026).
What growth is priced into Warner Bros Discovery Inc (WBD)?
For today's price to be fair in a discounted-cash-flow model, Warner Bros Discovery Inc would have to grow free cash flow by +20.4 % per year for five years (discount rate 10.5 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +28.4 % per year. As of Sep 17, 2026.
What discount rate (WACC) does the fair value of WBD use?
Our models discount Warner Bros Discovery Inc at 10.5 %: a base by market capitalisation (large), damped by beta 1.55, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Warner Bros Discovery Inc that is +20.4 % per year a year over ten years, using the same discount rate (10.5 %) and the same formula as our fair value.
How much growth has Warner Bros Discovery Inc (WBD) delivered so far?
Over the past 5 years revenue at Warner Bros Discovery Inc grew +28.4 % a year. The price currently implies +20.4 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Warner Bros Discovery Inc (WBD) growing?
The median revenue growth in the sector is +2.1 % a year. That is the yardstick for the growth priced into Warner Bros Discovery Inc (+20.4 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Warner Bros Discovery Inc (WBD)?
The free-cash-flow yield on the price is 4.39 %: that much free cash flow Warner Bros Discovery Inc produces per unit of market value. When it exceeds the discount rate of our models (10.5 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Warner Bros Discovery Inc (WBD)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Warner Bros Discovery Inc it is $10.00 per share (as of Sep 17, 2026), against a price of $27.80. It is the blended result of 22 valuation models (cash flow, earnings, asset, dividend).
Is Warner Bros Discovery Inc stock overvalued or undervalued in 2026?
As of Sep 17, 2026, WBD trades above its calculated fair value: price $27.80, fair value $10.00, a gap of about −64% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of WBD?
No. The price is what the market pays today ($27.80); the fair value is what the company's own numbers justify ($10.00). For Warner Bros Discovery Inc the two are $17.80 per share apart. That gap is exactly why we show both numbers side by side.
How much is Warner Bros Discovery Inc worth?
The market values Warner Bros Discovery Inc at about $70.3B (market capitalisation, as of Sep 17, 2026). Per share that is $27.80; our models calculate a fair value of $10.00 per share.
What do the bullish and bearish scenarios say about WBD?
Our models span a range for Warner Bros Discovery Inc: cautious scenario $6.52, base $10.00, optimistic $17.51 per share (as of Sep 17, 2026, price $27.80). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the PEG ratio of WBD?
The PEG ratio of Warner Bros Discovery Inc is 216.92 (P/E divided by earnings growth, as of Sep 17, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Warner Bros Discovery Inc (WBD)?
Balance-sheet figures for Warner Bros Discovery Inc (as of Sep 17, 2026): return on equity −5.0%, debt of 0.90 per unit of equity. They feed the Quality Score of 40/100, which measures business quality independently of the share price.
How far is WBD from its 52-week high?
Warner Bros Discovery Inc trades at $27.80, about 7% below its 52-week high of $30.00 and 205% above the low of $9.11 (as of Sep 17, 2026). Distance from the high says nothing about value: that is what the fair value of $10.00 is for.
Which stocks are comparable to Warner Bros Discovery Inc?
From the same area (Communication Services) we also value Netflix, Inc, The Walt Disney Company, Live Nation Entertainment, Inc, Universal Music Group, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Warner Bros Discovery Inc stock attractive at the current price?
The data as of Sep 17, 2026: price $27.80, calculated fair value $10.00 (−64%), Quality Score 40/100, from 22 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of WBD calculated?
We run Warner Bros Discovery Inc through 22 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $10.00, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 16.1 % above its aggregate fair value. Warner Bros Discovery Inc itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Warner Bros Discovery Inc (WBD)?
The closing price on Sep 18, 2026 was $27.80. Our model-based fair value is $10.00, about −64% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Warner Bros Discovery Inc right now?
The price sits above even our optimistic bull case ($17.51). The favourable scenario is already priced in. Weak quality (40/100) and above fair value at the same time, the margin of safety is missing on both counts. The model range is unusually wide ($6.52 to $17.51). The outcome hinges heavily on assumptions, so read the point estimate with caution.
Key figures of Warner Bros Discovery Inc
How large is the market capitalisation of Warner Bros Discovery Inc (WBD)?
The market capitalisation of Warner Bros Discovery Inc is $70.3B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Warner Bros Discovery Inc (WBD)?
The price-to-sales ratio of Warner Bros Discovery Inc is 1.81 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Warner Bros Discovery Inc (WBD)?
Earnings per share at Warner Bros Discovery Inc are $−0.7000. Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Warner Bros Discovery Inc (WBD)?
The dividend yield of Warner Bros Discovery Inc is 0.4%. Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Warner Bros Discovery Inc (WBD)?
The net margin of Warner Bros Discovery Inc is 1.9% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Warner Bros Discovery Inc (WBD)?
The return on equity (ROE) of Warner Bros Discovery Inc is −5.0% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Warner Bros Discovery Inc (WBD)?
On an EBIT basis the return on assets of Warner Bros Discovery Inc is −1.8% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Warner Bros Discovery Inc (WBD)?
The operating margin of Warner Bros Discovery Inc is 8.6% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Warner Bros Discovery Inc (WBD)?
Revenue at Warner Bros Discovery Inc is growing −1.0% versus a year earlier (3y avg +3.3%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Warner Bros Discovery Inc (WBD)?
Earnings per share at Warner Bros Discovery Inc are growing +227% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Warner Bros Discovery Inc (WBD) carry?
The net debt of Warner Bros Discovery Inc is $28.0B (fiscal year 2025, ≈ 9.1 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Some data
Sep 17, 2026