Q3 Earnings Outperformers: Warner Bros. Discovery (NASDAQ:WBD) And The Rest Of The Media Stocks

Let’s dig into the relative performance of Warner Bros. Discovery (NASDAQ:WBD) and its peers as we unravel the now-completed Q3 media earnings season.

The advent of the internet changed how shows, films, music, and overall information flow. As a result, many media companies now face secular headwinds as attention shifts online. Some have made concerted efforts to adapt by introducing digital subscriptions, podcasts, and streaming platforms. Time will tell if their strategies succeed and which companies will emerge as the long-term winners.

The 7 media stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 2.1%.

In light of this news, share prices of the companies have held steady as they are up 3% on average since the latest earnings results.

Weakest Q3: Warner Bros. Discovery (NASDAQ:WBD)

Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ:WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production.

Warner Bros. Discovery reported revenues of $9.05 billion, down 6% year on year. This print fell short of analysts’ expectations by 1.9%. Overall, it was a mixed quarter for the company with a solid beat of analysts’ adjusted operating income estimates but a miss of analysts’ Content revenue estimates.

Warner Bros. Discovery delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. Interestingly, the stock is up 24.7% since reporting and currently trades at $28.56.

Is now the time to buy Warner Bros. Discovery? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: fuboTV (NYSE:FUBO)

Originally launched as a soccer streaming platform, fuboTV (NYSE:FUBO) is a video streaming service specializing in live sports, news, and entertainment content.

fuboTV reported revenues of $377.2 million, down 2.3% year on year, outperforming analysts’ expectations by 4.9%. The business had a stunning quarter with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 32.5% since reporting. It currently trades at $2.55.

Is now the time to buy fuboTV? Access our full analysis of the earnings results here, it’s free for active Edge members.

Scholastic (NASDAQ:SCHL)

Creator of the legendary Scholastic Book Fair, Scholastic (NASDAQ:SCHL) is an international company specializing in children's publishing, education, and media services.

Scholastic reported revenues of $551.1 million, up 1.2% year on year, falling short of analysts’ expectations by 1%. It was a mixed quarter as it posted a beat of analysts’ EPS estimates but full-year EBITDA guidance missing analysts’ expectations.

Interestingly, the stock is up 4.7% since the results and currently trades at $30.39.

Read our full analysis of Scholastic’s results here.

Disney (NYSE:DIS)

Founded by brothers Walt and Roy, Disney (NYSE:DIS) is a multinational entertainment conglomerate, renowned for its theme parks, movies, television networks, and merchandise.

Disney reported revenues of $22.46 billion, flat year on year. This print came in 1.3% below analysts' expectations. Zooming out, it was a satisfactory quarter as it also logged a solid beat of analysts’ adjusted operating income estimates but a miss of analysts’ Entertainment revenue estimates.

The stock is down 2.2% since reporting and currently trades at $114.05.

Read our full, actionable report on Disney here, it’s free for active Edge members.

The New York Times (NYSE:NYT)

Founded in 1851, The New York Times (NYSE:NYT) is an American media organization known for its influential newspaper and expansive digital journalism platforms.

The New York Times reported revenues of $700.8 million, up 9.5% year on year. This number surpassed analysts’ expectations by 1.2%. It was a strong quarter as it also logged a beat of analysts’ EPS estimates and a decent beat of analysts’ EBITDA estimates.

The stock is up 21.4% since reporting and currently trades at $70.11.

Read our full, actionable report on The New York Times here, it’s free for active Edge members.

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