Warner Bros. Discovery, Inc. Series A common stock (NASDAQ: WBD) finished another highly charged session on Wednesday, December 10, 2025, as investors digested a rare Hollywood‑scale bidding war and a fresh, aggressive move from Paramount Skydance.
Below is a detailed look at how WBD traded after the bell, the latest takeover developments, and the key factors traders and investors should watch before the U.S. stock market opens on Thursday, December 11, 2025.
1. How WBD Traded on December 10, 2025
Closing price and session recap
According to recent historical data, Warner Bros. Discovery shares closed on December 10, 2025 at approximately $29.52, after opening near $28.98, touching an intraday high around $29.80 and a low near $28.89. Volume was elevated at roughly 89 million shares, and the stock gained about 4–4.5% on the day. [1]
In the broader context of 2025, this move is part of a much larger rally. TipRanks calculates that WBD has risen roughly 167% year‑to‑date, putting it on track for its best year on record, while trading on Wednesday around $29.12 during the regular session. [2]
Simply Wall St similarly notes that the stock is up about 4% over the past day, 15% over the past week and nearly 75% over the past three months, with total year‑to‑date gains above 160%. [3]
After‑hours action
Real‑time quotes from late Wednesday show WBD trading just under or slightly above $29.50 into the evening, leaving the stock only a modest step below Paramount’s $30 per share cash offer. [4]
The key takeaway: the equity is now essentially trading as a live merger‑arbitrage story, tightly anchored to the competing deal prices rather than to traditional earnings multiples.
2. The Netflix Deal: The Baseline for the Bidding War
The current drama starts with Netflix’s agreement to buy Warner Bros.’ studio and streaming businesses from WBD.
A widely cited deal summary shows:
- Equity value: about $72 billion
- Enterprise value: about $82.7 billion
- Implied price:$27.75 per WBD share for the post‑split Warner Bros. studio/streaming entity [5]
The structure is complex:
- WBD had already announced plans to split into two separate companies: “Streaming & Studios” (to be known as Warner Bros.) and Global Linear Networks (to be known as Discovery Global). [6]
- Netflix’s deal targets the studio, HBO/HBO Max and streaming assets, plus associated IP such as DC, Harry Potter and Game of Thrones, while WBD’s linear networks would be spun off to existing shareholders. [7]
WBD’s own investor‑relations statement confirms that its board supports the Netflix transaction, subject to shareholder and regulatory approvals, and has been preparing SEC filings including a proxy statement and registration statements for the spin‑off. [8]
For investors, this Netflix deal effectively sets a floor valuation reference around $27–28 per share for the studio and streaming operations — but that floor is now being tested by a more aggressive bidder.
3. Paramount Skydance’s $30 All‑Cash Tender Offer
On December 8, 2025, Paramount Skydance launched a hostile takeover bid for all of WBD, valued at roughly $108.4 billion, offering $30 per share in cash. [9]
Key elements of the Paramount proposal include:
- Consideration: $30.00 in cash for every WBD share, for all of WBD (not just studios/streaming). [10]
- Cash premium: Paramount argues its bid offers around $18 billion more cash to WBD shareholders compared with Netflix’s partly stock‑based proposal. [11]
- Financing package:
- Around $41 billion of new equity, backstopped by the Ellison family trust and RedBird Capital.
- Roughly $54 billion of committed debt from Bank of America, Citigroup and Apollo. [12]
- Timeline: Paramount claims it can close the deal faster and with more regulatory certainty than Netflix, pointing to early Hart‑Scott‑Rodino filings in the U.S. and engagement with European regulators. [13]
WBD’s board has already acknowledged receipt of the Paramount tender offer and, as of December 8, advised shareholders not to take any action yet, promising a formal recommendation within 10 business days via a Schedule 14D‑9 filing. [14]
On December 10, Paramount escalated further, sending a direct letter to WBD shareholders, published via PRNewswire and reported by multiple outlets (Variety, Deadline, Barron’s). [15]
In that letter, Paramount CEO David Ellison:
- Reiterates that the $30 all‑cash offer is, in his view, financially superior to Netflix’s mix of cash, stock and a stake in the Global Networks spin‑off. [16]
- Highlights that Netflix’s share price volatility and a two‑year regulatory window create significant downside and timing risk for WBD investors. [17]
- Argues that WBD shareholders can still “capture the benefits” of Paramount’s proposal by tendering their shares now, with the offer currently set to remain open through January 8, 2026. [18]
The letter is clearly designed to pressure WBD’s board and undermine support for the Netflix deal by appealing directly to shareholders who may prefer cash certainty at $30.
4. Regulatory, Legal and Political Wildcards
The takeover story is no longer just about price – regulatory and political risk are front and center, and that weighs heavily on how the market values WBD.
Consumer lawsuit against Netflix’s deal
A Reuters report, republished by The Guardian, details a consumer class‑action lawsuit filed by an HBO Max subscriber seeking to block Netflix’s proposed $72 billion acquisition of Warner Bros.’ studio and streaming businesses. [19]
The suit argues that:
- The Netflix–Warner combination could reduce competition in the U.S. subscription video‑on‑demand market.
- The deal might allow Netflix to further raise subscription prices, having already done so in a competitive market. [20]
Regulators were already expected to scrutinize the Netflix proposal; the lawsuit adds another layer of uncertainty and potential delay. Notably, WBD itself is not named as a defendant in the action. [21]
Antitrust concerns around Paramount’s bid
Reuters’ coverage of Paramount’s hostile offer highlights that regulators and lawmakers also have concerns about a Paramount–WBD combination, which would join two major television and content operators and could result in one of the largest media conglomerates in history. [22]
Some U.S. senators have warned such a deal might effectively leave “one company controlling almost everything Americans watch on TV”, raising serious antitrust and media‑plurality questions. [23]
Trump, CNN and the political dimension
Media reports from outlets like the New York Post and Investing.com note that former President Donald Trump has publicly weighed in, saying he wants CNN to end up with a “new owner” as part of any Warner Bros. Discovery deal. [24]
Reuters and other sources also detail that:
- Larry Ellison contacted Trump to argue that the Netflix deal would hurt competition. [25]
- Jared Kushner’s firm, Affinity Partners, is among the investors helping to finance Paramount’s bid. [26]
These connections make it more likely that political and national‑security arguments will surface in any regulatory review, adding another layer of uncertainty around which bidder, if any, ultimately prevails.
5. How Wall Street Is Reading WBD After December 10
Short‑term price action and sentiment
TipRanks notes that WBD’s move to around $29.12 on December 10 followed a 3.8% gain in the prior session, and characterizes the market as increasingly tilting toward Paramount’s cash certainty over Netflix’s mixed offer. [27]
Morningstar analyst Matthew Dolgin is cited as suggesting that the combination of a guaranteed $30 cash payout and perceived odds of regulatory approval could tip shareholders toward Paramount, assigning at least a “50/50” chance the company succeeds. [28]
Veteran media investor Mario Gabelli is also reported as saying it is “highly likely” he will tender his clients’ WBD shares to Paramount — a sign that some influential shareholders are publicly siding with the hostile offer. [29]
Valuation frameworks: how expensive is WBD now?
Simply Wall St’s December 10 analysis offers a useful snapshot of how fundamentals stack up against deal‑driven prices: [30]
- Recent performance:
- ~4% gain in the last day
- ~15% over the last week
- ~75% over the last three months
- 160% year‑to‑date
- Narrative fair value: about $22.47 per share, implying WBD is roughly 26% overvalued at late‑November prices around $28.26.
- DCF (discounted cash flow) fair value: around $29.15, suggesting the stock is only slightly below intrinsic value on a cash‑flow basis.
In other words, some models say the stock is priced well above fundamental value based on current earnings and growth, while others say it’s roughly fair value if you believe in a more optimistic cash‑flow trajectory and deal outcomes.
MarketBeat’s institutional‑ownership and earnings snapshot adds more context: [31]
- Q3 earnings (reported November 6):
- EPS: –$0.06, slightly worse than the –$0.04 consensus.
- Revenue: $9.05 billion, a bit below the $9.17 billion expected and down about 6% year‑on‑year.
- Leverage and valuation:
- Market cap around $70 billion.
- P/E ratio near 148x, reflecting depressed GAAP earnings rather than classic growth‑stock profitability.
- Debt‑to‑equity around 0.90, with adequate current and quick ratios of about 1.07.
- Ownership:
- Institutional and hedge‑fund ownership near 60% of outstanding shares.
That mix of weak current earnings and aggressive valuation multiples underscores that the stock is being driven more by strategic value and takeover pricing than by near‑term profitability.
Analyst calls and price targets
An analyst‑ratings roundup from Investing.com highlights how the Street is recalibrating: [32]
- Deutsche Bank has raised its WBD price target to $29.50 and maintains a Buy rating following the Netflix acquisition announcement.
- Seaport Global Securities has downgraded WBD from Buy to Neutral, noting that Paramount’s $30 per‑share offer effectively sits at their previous target price and may cap near‑term upside.
- The same report notes that Affinity Partners, Kushner’s investment vehicle, has joined Paramount’s bid, reinforcing the financial depth behind the hostile offer.
Meanwhile, a Simply Wall St narrative points out that WBD is already trading above many prior analyst targets, another hint that deal speculation rather than core fundamentals is setting the price. [33]
6. CEO Incentives and Governance Optics
Executive incentives also play into market psychology.
Equilar’s December 10 analysis estimates that CEO David Zaslav stands to see a substantial boost in lifetime compensation under either Netflix or Paramount’s scenarios, thanks to his sizable stock and option holdings: [34]
- Zaslav currently owns about 4.2 million shares, plus 6.2 million unvested shares and 20.9 million stock options with a strike price near $10.16.
- At Netflix’s $27.75 offer, Equilar estimates his equity could be worth roughly $554 million, pushing his lifetime pay toward $864 million.
- At Paramount’s $30 all‑cash offer, his equity value would rise above $616 million, lifting total lifetime pay to around $926 million.
These figures don’t prove any conflict of interest by themselves, but they do reinforce investor scrutiny of how the WBD board weighs shareholder value maximization vs. strategic preferences when comparing the two offers.
7. What to Watch Before the December 11, 2025 Market Open
As traders position for Thursday’s session, several catalysts and risk factors could influence WBD’s opening print and intraday volatility.
1. WBD Board’s Response and Schedule 14D‑9
WBD has already told investors it will file a Schedule 14D‑9 with the SEC, containing its formal recommendation on Paramount’s tender offer, within 10 business days of the offer’s commencement. [35]
Before Thursday’s open, investors will be watching for:
- Any pre‑announcement or leak of the board’s leanings.
- Additional statements from independent directors or major shareholders that either reinforce the current recommendation for Netflix or tilt toward Paramount.
Even small indications could shift expectations around whether the board ultimately accepts, counters or rejects the hostile bid.
2. Shareholder positioning and institutional flows
MarketBeat’s review of SEC filings shows multiple institutional investors – including Ossiam, GABELLI & Co., Gamco, Jump Financial and Oribel Capital – materially increasing their WBD positions earlier in 2025, with overall institutional ownership near 60%. [36]
Additional disclosures or comments from:
- Large active managers,
- Event‑driven and merger‑arbitrage funds, or
- High‑profile investors such as Mario Gabelli,
could further solidify the perceived odds of Paramount versus Netflix winning the prize – and hence shift WBD’s short‑term trading range.
European fund‑flow data, highlighted by Citywire, also suggests that several active European funds hold meaningful WBD exposure, putting extra global attention on the stock. [37]
3. Legal and regulatory signals
Near‑term headlines that could move the stock include:
- Developments in the consumer class‑action suit seeking to block Netflix’s deal. [38]
- Early regulatory noises from U.S. antitrust agencies or key lawmakers on either deal. [39]
- Any indication that regulators view the Paramount consolidation risk as more problematic than Netflix’s vertical integration – or vice versa.
Because both transactions face meaningful regulatory hurdles, any hint of favored or disfavored status can quickly re‑price WBD.
4. Trading around the $30 line
With WBD closing just under the Paramount offer price and above the Netflix implied price, the stock has effectively become a live referendum on the probability‑weighted outcome of the bidding war.
Heading into the December 11 open, watch for:
- Whether pre‑market trading pushes WBD closer to or above $30, which would suggest the market expects either a sweetened bid or a higher‑value outcome.
- A potential narrowing of arbitrage spreads if investors grow more confident that one specific bidder has the inside track.
- Increased options activity, particularly in near‑dated calls around the $30–$32 range, which would signal speculative positioning for over‑bid scenarios (even if such data isn’t fully visible intraday without specialist tools).
5. Macro backdrop and broader market tone
Finally, WBD is trading in a macro environment where Fed policy, yields and tech/communication‑services sentiment still matter. Recent reports of cooling inflation and expectations of rate cuts have generally supported risk assets, including media and streaming stocks. [40]
On Thursday, if the broader market turns risk‑off, WBD could see volatility even without new deal headlines, though the takeover narrative currently dominates its price action.
8. Bottom Line: WBD Is Now a Pure Deal‑Driven Story
After the bell on December 10, 2025, Warner Bros. Discovery sits at the crossroads of:
- A Netflix transaction at about $27.75 per share, laden with regulatory and legal complexity. [41]
- A Paramount Skydance hostile offer at $30 all cash, aggressively promoted via a direct shareholder letter and backed by a heavyweight financing syndicate. [42]
- Fundamental metrics that show weak recent earnings and a rich headline valuation, offset by powerful IP, strategic assets and a newly energized M&A market for content. [43]
For traders and longer‑term investors alike, the next phase hinges on:
- How WBD’s board responds to Paramount’s tender.
- Which bidder regulators view as more acceptable.
- Whether any third party (or sweetened bid) emerges.
References
1. www.investing.com, 2. www.tipranks.com, 3. simplywall.st, 4. www.marketscreener.com, 5. www.reuters.com, 6. en.wikipedia.org, 7. en.wikipedia.org, 8. ir.wbd.com, 9. www.reuters.com, 10. www.prnewswire.com, 11. www.reuters.com, 12. www.prnewswire.com, 13. www.prnewswire.com, 14. ir.wbd.com, 15. www.prnewswire.com, 16. www.prnewswire.com, 17. www.prnewswire.com, 18. www.prnewswire.com, 19. www.theguardian.com, 20. www.theguardian.com, 21. www.theguardian.com, 22. www.reuters.com, 23. www.reuters.com, 24. nypost.com, 25. www.reuters.com, 26. www.reuters.com, 27. www.tipranks.com, 28. www.tipranks.com, 29. www.tipranks.com, 30. simplywall.st, 31. www.marketbeat.com, 32. au.investing.com, 33. simplywall.st, 34. www.equilar.com, 35. ir.wbd.com, 36. www.marketbeat.com, 37. citywire.com, 38. www.theguardian.com, 39. www.reuters.com, 40. www.investopedia.com, 41. en.wikipedia.org, 42. www.prnewswire.com, 43. www.marketbeat.com
