Warner Bros. Discovery (WBD) Stock on December 2, 2025: Netflix Cash Bid, Bidding War and Analyst Forecasts

Warner Bros. Discovery, Inc. – Series A Common Stock (NASDAQ: WBD) is back at the center of Wall Street’s attention. As of December 2, 2025, the stock is trading around $24.53, up roughly 2.7% on the day on very heavy volume, after fresh reports that Netflix has submitted a mostly cash bid in the second round of an ongoing auction for the company. ^[1]

The move caps an extraordinary year in which Warner Bros. Discovery shares have more than doubled and are hovering near new 52‑week highs, fueled by a full-blown bidding war involving Netflix, Paramount Skydance and Comcast. ^[2]

Below is a detailed look at today’s news (2 December 2025), the latest on the sale process, WBD’s fundamentals, and how analysts and AI models are valuing the stock over the next 12–24 months.

WBD Stock Today: Trading Near 52‑Week Highs

Latest price (Dec 2, 2025): ~$24.53
Intraday range: $24.01 – $24.75
Intraday volume: ~46.5 million shares (well above typical levels)
Year‑to‑date performance: Shares are up roughly 120–130% in 2025 and have notched new 52‑week highs in recent sessions. ^[3]

Midday today, WBD was up more than 3% after traders reacted to reports that Netflix’s latest proposal is largely cash-based and part of a binding second round of bids, before settling slightly lower into the close. ^[4]

Analysts and market commentators continue to highlight WBD’s high volatility: one recap notes more than 20 single‑day moves greater than 5% over the past year, underscoring how sensitive the stock is to merger headlines and macro news. ^[5]

The 2025 Hollywood Bidding War: What’s Happening Now

Second-round, mostly cash offer from Netflix

According to Reuters and multiple follow‑up reports, Warner Bros. Discovery has received a second round of bids, including a mostly cash offer from Netflix, after asking suitors to submit improved proposals by a December 1 deadline. ^[6]

Key points from today’s coverage:

Netflix, Paramount Skydance and Comcast all submitted binding second‑round bids for all or part of Warner Bros. Discovery. The proposals are binding but not yet considered “final,” giving the board room to negotiate. ^[7]
Netflix’s offer is described as “mostly cash” and focused on acquiring studio and streaming assets (including Max/HBO Max and the Warner Bros. film studio), not legacy cable networks like CNN, TNT or HGTV. ^[8]
Paramount Skydance is reportedly the only bidder seeking to buy the entire company, including the cable networks. Its earlier ~$58 billion cash-and-stock offer, valuing WBD at about $23.50 per share, was unanimously rejected by the board as too low. ^[9]
Comcast’s proposal is said to focus on merging WBD’s entertainment assets with NBCUniversal, again leaving cable networks largely out of the picture. ^[10]

Reuters and other outlets report that the auction could conclude within “days or weeks,” with Warner Bros. Discovery able to move quickly into exclusive talks with a winning bidder. ^[11]

Is Paramount still the frontrunner?

A widely‑cited piece in Barron’s and other financial media suggests that Paramount Skydance still has an edge, in part because:

Its offer would take over the full company, simplifying the breakup of assets.
It is reportedly backed by Larry Ellison, whose capital and political connections could help ease regulatory concerns in Washington. ^[12]

At the same time, commentators note several complications:

A Netflix–WBD combination would raise antitrust questions in streaming, given Netflix’s scale and WBD’s premium franchises like Harry Potter, DC and HBO. ^[13]
A Comcast–WBD tie‑up would face scrutiny over concentration in cable networks and news. ^[14]

One investor-focused analysis notes that Warner Bros. shares have roughly doubled over the last three months as deal speculation intensified, and estimates that Paramount might need to offer at least $27 per share to secure board approval. ^[15]

Sale vs. spin: decision expected by year‑end

Separate reporting and background sources describe a parallel strategic process:

Earlier in 2025, Warner Bros. Discovery outlined a plan to split into two separate companies by mid‑2026:
- “Streaming & Studios” (Warner Bros. Pictures, HBO, Max and related IP).
- “Global Networks” (cable brands like CNN, HGTV, Food Network, TNT, TLC, Discovery and others). ^[16]
The sale process launched this autumn does not replace the planned split; instead, it opens the door to:
- Selling the whole company, or
- Selling only the premium studio/streaming assets, leaving Global Networks as a standalone legacy cable business. ^[17]

According to recent background reporting, CEO David Zaslav is expected to decide before the end of 2025 whether to proceed with a break‑up, sell to one of the bidders, or some hybrid of the two. ^[18]

Q3 2025 Results: Strong Studio, Positive Streaming, Weak Ads

The latest fundamentals come from third‑quarter 2025 earnings, released on November 6, 2025.

Headline numbers

Coverage from the Los Angeles Times and specialist equity research highlights the following Q3 figures: ^[19]

Revenue: ~$9.0–9.05 billion, down about 6% year‑on‑year and slightly below Wall Street estimates.
Net income:loss of ~$148 million, versus a profit of $135 million in the prior‑year quarter.
Earnings per share:–$0.06, compared with +$0.05 a year ago.
Free cash flow: around $0.7 billion, depressed by separation-related and restructuring charges.
Restructuring and separation costs: roughly $1.3 billion, a major driver of the quarterly loss.

Segment performance: streaming and studios vs. linear TV

The quarter was very much “good business, ugly P&L”:

Streaming & Studios
- Streaming turned a corner with EBITDA of about $1.3 billion, compared with a loss of $2.5 billion three years ago.
- Overall Streaming & Studios profit reached about $1 billion, up ~58% year‑on‑year on strong box office from films such as Superman, Weapons and the latest instalment of The Conjuring. ^[20]
- The Max/HBO Max platform added roughly 2.3 million subscribers in Q3, bringing total global streaming subs to about 128 million, up around 30 million in three years. ^[21]
Linear Networks & Advertising
- Advertising revenue fell about 16% year‑on‑year to roughly $1.4 billion, hit by declining audiences on legacy cable channels and pressure from cheaper ad‑supported streaming tiers. ^[22]
- Distribution revenue for the networks segment declined about 4% to $4.7 billion. ^[23]
Film & Box Office
- Studio revenue rose nearly 24% to around $3.3 billion, fueled by a powerful film slate.
- Warner Bros. was the first studio in 2025 to surpass $4 billion in global box office, despite releasing far fewer films than in 2019. ^[24]

Overall adjusted EBITDA was only modestly higher (a low single‑digit percentage increase), reflecting how restructuring charges and weak linear TV continue to offset strength in streaming and theatrical. ^[25]

Balance sheet: progress, but debt still heavy

Management and independent credit analysts highlight meaningful but incomplete progress on leverage: ^[26]

WBD reduced debt by about $1.0–1.2 billion in Q3 and ended the quarter with roughly $4.3 billion of cash.
The net leverage ratio stands near 3.3x EBITDA – better than a year ago, but still high for a media company and above levels associated with comfortable “investment‑grade” status.
Credit‑focused research from martini.ai assigns Warner Bros. Discovery a B2‑equivalent rating, with a 1‑year default probability of ~0.23% and a 5‑year credit spread near 2.9%, noticeably wider than peers like Disney or Netflix. ^[27]

This combination – improving but still elevated leverage – is one reason the board is so focused on either a strategic sale or a structural break‑up to unlock value and de‑risk the balance sheet.

The Planned 2026 Split: Two Companies, Two Risk Profiles

The proposed restructuring, first flagged publicly in mid‑2025 and elaborated in recent credit research, would separate WBD into two listed entities by around mid‑2026: ^[28]

Streaming & Studios (Growth arm)
- Houses Warner Bros. Pictures, HBO, Max, and the key IP library.
- Takes on a “lighter” debt burden, but also a $17.5 billion bridge loan and higher content investment needs.
- Strategy: grow subscribers, boost ARPU and aim for a valuation closer to high‑growth peers like Netflix. ^[29]
Global Networks (Legacy cable arm)
- Includes CNN, HGTV, Food Network, TNT, TLC and other linear and international networks.
- Expected to carry roughly $30 billion of debt, targeting 2.5–3.0x EBITDA leverage, funded by relatively stable but declining cash flows. ^[30]

A bondholder‑backed restructuring is expected to cut total company debt from around $37 billion to roughly $29.7 billion by mid‑2025, largely through an ~$18 billion buyback of existing obligations. ^[31]

If no sale occurs, this split could:

Give the growth business cleaner financials and a clearer equity story, but
Leave the cable business with heavy leverage on a shrinking revenue base.

That trade‑off is at the heart of current debates over whether a full sale to Paramount or a partial sale to Netflix or Comcast would create more value than the standalone split.

Analyst Ratings and Price Targets for WBD (as of Dec 2, 2025)

Wall Street’s 12‑month targets

Across multiple data providers tracking recent research notes, analyst price targets cluster in a relatively tight band around the current share price:

TradingView: average 12‑month target $23.54, range $14.75–$30.00. ^[32]
ValueInvesting.io: average $23.02, median $24.48, range $10.10–$31.50 based on 31 analysts, with an overall “Hold” consensus. ^[33]
StocksGuide: target price $24.48 vs. a spot price around $24.53, based on 24 estimates; about 58% Buy, 42% Hold, and no Sell ratings. ^[34]
TipRanks: average target $22.08 (about 8% downside from roughly $24), high $28, low $14.75, with a “Moderate Buy” consensus (8 buys, 10 holds, 0 sells). ^[35]
TickerNerd: median target $24.00 from 33 analysts (range $10–$30), overall rating “Buy” (7.9/10), and a roughly even split between Buy and Hold recommendations. ^[36]

Big picture:

Most mainstream analysts currently see WBD’s fair value in the low‑ to mid‑$20s, with upside cases clustered around $28–31.50 and downside cases as low as $10–15 per share.

At today’s price near $24.53, that implies:

Limited upside to the “central” 12‑month targets, but
Material upside to the more optimistic deal-driven and multi‑year scenarios.

Event‑driven takes: probability‑weighted targets

Some analysts are now explicitly baking the sale process into their targets. For example, one TD Cowen note cited by the Los Angeles Times maintained a “Hold” rating but raised its price target to $22, partially on the view that there is roughly: ^[37]

80% probability of WBD being acquired at around $25 per share, and
20% probability that no deal happens and the stock trades lower.

That kind of probability‑weighted framework is becoming more common as the auction progresses.

AI and Alternative Forecasts: Wide Dispersion, High Uncertainty

Beyond traditional Wall Street targets, several platforms now publish AI‑driven forecasts for Warner Bros. Discovery. These are not consensus views, but they illustrate how uncertain long‑term outcomes are.

Tradestie (AI model):
- Current price used: ~$24.13
- 1‑year base‑case target:$22.47 (around 7% downside)
- Bull case (30% probability): ~$28.09 (about 16% upside)
- Bear case (20% probability): ~$15.73 (roughly 35% downside)
- The model still flags an uptrend with strong accumulation, but technicals like MACD appear stretched and RSI is near overbought territory. ^[38]
StockScan (statistical projection):
- 2026 average predicted price: about $9.36, with monthly estimates ranging from around $1 to just under $18 – implying a very steep ~60% decline from today’s level, but also enormous uncertainty. ^[39]

These AI and quantitative forecasts are highly model‑dependent and often extrapolate historical volatility and macro factors in ways that can differ sharply from market pricing. Even their own disclosures stress that they are not financial advice and should be treated as one input among many. ^[40]

Key Risks and Opportunities for WBD Shareholders

Upside drivers

Takeover premium
- If a bidding war pushes offers above the previously rejected $23.50–24 range, shareholders could see additional upside, especially if a winning bid lands closer to the high‑20s or above. ^[41]
Streaming scale and box office strength
- With 128 million streaming subscribers, positive streaming EBITDA and industry‑leading box office in 2025, the Streaming & Studios assets have standalone appeal that could command a higher multiple over time. ^[42]
Debt reduction and restructuring
- If the company continues to reduce leverage toward the low‑3x area and below, either via debt paydown or a transaction, equity holders could benefit from a lower risk profile and higher valuation multiples. ^[43]

Downside risks

Deal risk and headline volatility
- The board could ultimately reject all bids, especially if regulators signal resistance, leaving investors holding a highly levered, cyclical media stock without a near‑term catalyst.
- Any negative news about antitrust pushback on Netflix, Paramount or Comcast could hit the shares sharply. ^[44]
Linear TV decline and ad weakness
- Q3’s 16% ad revenue drop and continuing declines in linear network distribution revenue show that the legacy TV business remains under pressure, which matters because that segment will likely hold a large chunk of the group’s debt in any split. ^[45]
Execution risk on the 2026 split
- If Warner Bros. follows through on the break‑up, management must allocate debt carefully, maintain covenant compliance and keep both entities investable. A misstep could lead to further credit downgrades or dilutive equity raises. ^[46]
Macro and industry risk
- A downturn in advertising, slower box office, or intensifying streaming competition could easily overshadow any near‑term bid premium. ^[47]

What Today’s Setup Means for Investors (Not Financial Advice)

Putting everything together, Warner Bros. Discovery, Inc. – Series A stock today is essentially an event‑driven trade wrapped around a leveraged media turnaround story:

The sale process and bid dynamics are setting the near‑term floor and ceiling for the share price. News of the mostly cash Netflix offer and competing proposals has pushed WBD into the mid‑$20s, roughly in line with many 12‑month analyst targets. ^[48]
Core fundamentals show a mixed but improving picture: profitable streaming and record box office, offset by a still‑loss‑making consolidated business, weak advertising and significant restructuring expenses. ^[49]
Wall Street consensus generally ranges from “Hold” to “Moderate Buy”, with most analysts seeing modest upside or modest downside from current levels, absent a substantially higher takeover bid. ^[50]

For short‑term, event‑driven traders, WBD is likely to remain highly sensitive to:

Any leaks about bid sizes or a preferred suitor,
Signals from regulators in the U.S. and abroad, and
Updates from Warner Bros. Discovery about its board’s timetable for choosing between a sale and a split. ^[51]

For longer‑term investors, the decision is more nuanced:

You’d need to be comfortable with high leverage, structural challenges in linear TV and considerable uncertainty about the final ownership and capital structure of the business.
On the other hand, you’d be gaining exposure to a deep library of global IP and franchises that are central to streaming and theatrical entertainment worldwide. ^[52]

As always, this article is for informational and educational purposes only and does not constitute investment advice. Anyone considering WBD stock should carefully review the company’s official filings, listen to recent earnings calls, and, if needed, consult a qualified financial adviser before making decisions.