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Newly created entertainment giant Warner Bros. Discovery (NASDAQ:WBD) has had a rocky road since WBD stock debuted on April 11.
Part of the reason has been the general attitude towards growth stocks during this market downturn. Yet, their last news has not been encouraging too. For example, the loss of Liz Huszarik, who was serving as executive vice president and chief research officer for Warner Bros. Discovery, will hurt the company. However, WBD stock remains a buy on its high-quality content library and strategic partnerships.
Huszarik developed a central structure of data analysts that included Warner Bros. Films, HBO Max, the Warner Checks Television Group, and Cartoon Network Studios with WB Animation League, TBS, and Wizarding World.
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She has also managed FanLab, the studio’s in-house consumer testing center. The executive had a long and successful career, having worked at the company since 1991.
Huszarik’s departure follows the departures of many senior WB figures. However, it’s important to concentrate on the positives.
WBD offers many resources like channels, with 200,000 hours of programming available. There are various ways the content is released, such as free-to-air and pay-television, plus an authenticated app. Plus, the company is always looking for new ways to grow.
For example, BT Sports has agreed to create a joint venture with Warner Brothers and Discovery. Their rights will be held mainly to the highest tiers of soccer, including the Premier League, UEFA Champions League, and Olympics.
Therefore, keep these pros in mind if you think of selling the stock.
| Ticker | Company | Current Price |
| Warner Bros. Discovery, Inc. | $17.50 |
An Excellent Play in the Streaming Industry
Warner Bros. Discovery is a new streaming service that should be hard to beat in the upcoming streaming wars and makes for an affordable investment opportunity.
Warner Bros. Discovery’s cost savings could be offset by debt in the wake of a merger. However, the content library is so rich and deep that you cannot ignore this company. The company is uniquely positioned as the world’s leading streaming platform and is committed to creating, producing, and distributing high-quality programming for consumers worldwide.
The Warner-Discovery merger has provided an abundance of opportunities in the entertainment industry. This will allow Warner to concentrate on their DTC revenue, while Discovery will focus on fundamental improvements. With a strong FCF and solid fundamentals, the future looks bright after this merger.