Here's What Boosted Warner Bros. Discovery (WBD) Shares in Q3

Hotchkis & Wiley, an investment management company, released its “Hotchkis & Wiley Large Cap Disciplined Value Fund” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The S&P 500 Index recorded a return of +8.1% in the third quarter of 2025, closing the period near its all-time highs. Technology and communication services drove the broad large-cap market while small caps outperformed their large counterparts in the quarter. The fund outperformed the Russell 1000 Value Index in the quarter, returning 6.41% vs 5.33% for the index. Please review the fund’s top 5 holdings to gain insight into their key selections for 2025.

In its third-quarter 2025 investor letter, Hotchkis & Wiley Large Cap Disciplined Value Fund highlighted stocks such as Warner Bros. Discovery, Inc. (NASDAQ:WBD). Warner Bros. Discovery, Inc. (NASDAQ:WBD) is a leading media and entertainment company. The one-month return of Warner Bros. Discovery, Inc. (NASDAQ:WBD) was 31.11%, and its shares gained 144.23% of their value over the last 52 weeks. On November 6, 2025, Warner Bros. Discovery, Inc. (NASDAQ:WBD) stock closed at $22.42 per share, with a market capitalization of $55.557 billion.

Hotchkis & Wiley Large Cap Disciplined Value Fund stated the following regarding Warner Bros. Discovery, Inc. (NASDAQ:WBD) in its third quarter 2025 investor letter:

"Warner Bros. Discovery, Inc. (NASDAQ:WBD) is one of the largest TV networks and production companies in the world. WBD’s Discovery and Turner networks form one of the largest US TV businesses by hours viewed with ~20% audience share. A combination of better earnings and potential takeover bid by Paramount Skydance helped boost the WBD shares during the quarter. While there are potential synergies created by the Paramount deal, we will continue to review WBD carefully for any regulatory or structural challenges."

Warner Bros. Discovery, Inc. (NASDAQ:WBD) is not on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 67 hedge fund portfolios held Warner Bros. Discovery, Inc. (NASDAQ:WBD) at the end of the second quarter, up from 60 in the previous quarter.  While we acknowledge the potential of Warner Bros. Discovery, Inc. (NASDAQ:WBD) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Warner Bros. Discovery, Inc. (NASDAQ:WBD) and shared the list of stocks Jim Cramer discussed recently. Warner Bros. Discovery, Inc. (NASDAQ:WBD) was a top contributor to Oakmark Select Fund's performance in Q3 2025. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.