Stock Story -
Global entertainment and media company Warner Bros. Discovery (NASDAQ:WBD) will be reporting results tomorrow after market close. Here's what to expect.
Warner Bros. Discovery missed analysts' revenue expectations by 2.6% last quarter, reporting revenues of $9.96 billion, down 6.9% year on year. It was a weak quarter for the company, with a miss of analysts' earnings estimates.
Is Warner Bros. Discovery a buy or sell going into earnings? Find out by reading the original article on StockStory, it's free.
This quarter, analysts are expecting Warner Bros. Discovery's revenue to decline 2.8% year on year to $10.07 billion, improving from the 4.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.03 per share.
Heading into earnings, analysts covering the company have grown increasingly bearish with revenue estimates seeing 15 downward revisions over the last 30 days.
Looking at Warner Bros. Discovery's peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Scholastic's revenues decreased 10.1% year on year, missing analysts' expectations by 14%, and Rush Street Interactive reported revenues up 33.5%, topping estimates by 9.4%. Scholastic traded down 19.9% following the results while Rush Street Interactive was up 7.9%.
Read the full analysis of Scholastic's and Rush Street Interactive's results on StockStory.
Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices flat over the last month. Warner Bros. Discovery is up 12.4% during the same time and is heading into earnings with an average analyst price target of $11.7 (compared to the current share price of $8).
![Warner Bros. Discovery (WBD) Q2 Earnings Report Preview: What To Look For](https://d68-invdn-com.investing.com/content/picb63c5f49a6f74860f1be6cffe696ad45.jpeg)