Entertainment giant Warner Bros. Discovery (WBD) has a bit of a new power in its corner, as CEO David Zaslav has reportedly brought in his old mentor, John Malone, to serve as an advisor. The news seemed to put some life into Warner stock, as shares were up nearly 3.5% in the closing minutes of Wednesday’s trading.
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In a recent interview, Malone detailed how he recently “…advised the WBD boss on a new contract that would maximize his potential for generating long-term wealth but also dampen down public criticism that surrounded previous pay deals by keeping the headline figure of the package skinny.” Malone noted that the new contract called for Zaslav to “…think like a shareholder.”
Malone had some other words for Warner, calling out CNN in particular. Malone noted that CNN was a “…shadow of what its founder had envisioned.” Further, Malone noted what a lot of people note these days, that CNN employees “…express their opinions too much in their news.”
The Wrestling Boost
Further, Warner’s connection to AEW is picking up steam, revealing that the original plan to bring pay-per-view events to HBO Max is now in play. The first AEW event that will be shown on HBO Max in pay-per-view will be the AEW All Out event airing on September 20. Normally, AEW All Out would run $49.99, but since it is showing on HBO Max, the price on that platform will drop to $39.99 instead.
Moreover, HBO Max will have access to the full archive of AEW live events, and both of the weekly shows—Dynamite and Collision—are currently being simulcast on HBO Max. They have been, reports note, since the start of this year and the new rights deal that followed. Reports suggest, however, that there has been some concern about where AEW will end up once the split between the streaming and the network arms is complete.
Is WBD Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on WBD stock based on 10 Buys and seven Holds assigned in the past three months, as indicated by the graphic below. After a 58.74% rally in its share price over the past year, the average WBD price target of $13.86 per share implies 16.13% upside potential.
