Latest news with #WarnerMedia
Bloomberg
5 hours ago
- Business
- Bloomberg
Zaslav Reverses Course on Merger That Lost $40 Billion in Value
Just three years after arguing that the best way to boost the value of Warner Media and Discovery Inc. was to combine their assets, Chief Executive Officer David Zaslav is now saying that the real key to unlocking their potential worth is to split them apart. The stock has declined about 60% since that merger was completed in April 2022, wiping out some $40 billion from the company's market value.
Yahoo
5 days ago
- Entertainment
- Yahoo
Russell Simmons Sues HBO for $20 Million Over ‘On the Record' Documentary
Russell Simmons is suing HBO and the filmmakers behind the 'On the Record' documentary for $20 million, alleging they defamed him and ignored evidence that supported his version of events. The documentary, by Amy Ziering and Kirby Dick, centered on sexual assault and misconduct allegations against the hip-hop mogul from numerous women. It was distributed by HBO Max in 2020. More from Variety Elijah Wood, Moses Ingram, Lauren Holt, Josh Brener Join Rachel Sennott's HBO Comedy Series 'Mountainhead' Stars Ramy Youssef and Cory Michael Smith Unpack Their Twisted Tech Bromance and Comparisons to Musk, Zuckerberg and 'Succession' Everything We Know About HBO's 'Harry Potter' Series Simmons' lawyer, Imran Ansari, filed a summons in civil court in Manhattan on Tuesday, alleging that the filmmakers 'disregard and/or suppressed' information provided by Simmons' representatives. 'Despite voluminous support for Mr. Simmons in the form of credible information, persuasive evidence, witness statements, and calls for further investigation by notable members of the media, politics, and the civil rights movement, the defendants simply disregarded it, and released, and continue to re-release globally, a film that tremendously disparaged and damaged Mr. Simmons with salacious and defamatory accusations that he vehemently denies,' Ansari and co-counsel Carla DiMare said in a written statement. The statute of limitations for defamation actions in New York is one year from the date of first publication. To prevail, Simmons will have to show that HBO is liable for more recent 'republication' in international markets. The film debuted at the Sundance Film Festival in January 2020, and was initially intended for Apple TV+ as part of Oprah Winfrey's deal with the streamer. However, Winfrey withdrew from the project, and the film ended up at HBO Max. According to the filing, Simmons' representatives lobbied HBO leaders at the time, including Casey Bloys and WarnerMedia CEO John Stankey, to no avail. 'Defendants were requested to review this evidence and information by multiple luminaries in media and politics, including but not limited to, civil rights leaders and members of Congress, and other high-profile black leaders; and board members within the Defendant corporation(s) itself,' the filing states. The filing seeks 'immediate removal' of the documentary from HBO's platforms, as well as at least $20 million in damages. Simmons has faced several sexual misconduct lawsuits, including from some of those who appeared in the documentary. In November 2023, he reached a confidential settlement with Sil Lai Abrams, who was among those interviewed, for $1,265,000, according to a court filing last year. In all, more than 20 women have accused him of sexual assault. Ansari is a partner at Aidala, Bertuna & Kamins, the New York law firm currently representing Harvey Weinstein in his criminal retrial. Best of Variety What's Coming to Netflix in June 2025 New Movies Out Now in Theaters: What to See This Week 'Harry Potter' TV Show Cast Guide: Who's Who in Hogwarts?
Forbes
15-05-2025
- Entertainment
- Forbes
The Internet Is Roasting The Rebranding Of ‘HBO Max'
HBO Max is back. (Photo Illustration by Soumyabrata Roy/NurPhoto via Getty Images) NurPhoto via Getty Images For decades, HBO carefully cultivated a brand known for bold, innovative storytelling, single-handedly ushering in the era of prestige television with The Sopranos, Six Feet Under, and The Wire. Hence, viewers were surprised when the streamer HBO Max dropped 'HBO' from its title and reverted to simply 'Max' in 2023, in the wake of the merger between WarnerMedia and Discovery, creating WBD. The intent of the name change was to highlight that the streaming service had a library that extended beyond HBO, and included content from Warner Bros. and Discovery. Now, WBD is bringing back the 'HBO Max' title, having seemingly resolved its identity crisis. Turns out, tossing aside a title indelibly associated with the best television shows ever made wasn't a particularly savvy decision. In a press release attempting to explain the logic behind the backtracking, WBD said that 'consumers are saying they want better content' and 'WBD has clearly distinguished itself through its quality and distinct stories, and no brand has done that better and more consistently over 50+ years than HBO.' Of course, the internet had plenty to say about the return of HBO Max—one commentator even described the backtracking as 'detransitioning.' Many were horrified imagining the money, time and effort that had gone into the re-rebranding. One wrote, 'It makes me wanna die thinking how many meetings were held about this one decision.' Some made comparisons to Elon Musk changing the name of Twitter to the generic 'X,' and expressed hope that the old name would return. Others simply had fun mocking the back-and-forth branding. This isn't the first rebrand for HBO Max—like a rebellious-but-indecisive teenager, the company has cycled through many different names, and some of the memes referencing the shifts were fairly elaborate. Even the official X (Twitter) account of HBO Max joined the meme-making, using stills from iconic HBO series for some self-aware humor. HBO fans also took the opportunity to vent their frustrations with David Zaslav, the CEO of Warner Bros. Discovery, who has made many wildly unpopular decisions, to the point where his name has become notorious online. Among other controversies, Zaslav has made merciless budget cuts to Turner Classic Movies, scrapped completed films like Batgirl and Coyote vs. Acme for tax breaks, and removed the original, iconic Looney Tunes shorts from HBO Max. The indecisive flickering between different logos and titles adds to the sense of chaos emanating from WBD—luckily for viewers, there's still an incredible streaming library on HBO Max (even without classic Looney Tunes). Perhaps WBD will eventually go full circle, drop the 'Max' and return to calling it HBO.
Yahoo
08-05-2025
- Business
- Yahoo
Warner Bros. Discovery (NASDAQ:WBD) Misses Q1 Sales Targets, But Stock Soars 7.2%
Global entertainment and media company Warner Bros. Discovery (NASDAQ:WBD) missed Wall Street's revenue expectations in Q1 CY2025, with sales falling 9.8% year on year to $8.98 billion. Its GAAP loss of $0.18 per share was 39% below analysts' consensus estimates. Is now the time to buy Warner Bros. Discovery? Find out in our full research report. Revenue: $8.98 billion vs analyst estimates of $9.56 billion (9.8% year-on-year decline, 6% miss) EPS (GAAP): -$0.18 vs analyst expectations of -$0.13 (39% miss) Adjusted EBITDA: $2.11 billion vs analyst estimates of $2.08 billion (23.4% margin, 1.1% beat) Operating Margin: -0.4%, up from -2.7% in the same quarter last year Free Cash Flow Margin: 3.4%, similar to the same quarter last year Market Capitalization: $21.18 billion 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. A company's long-term sales performance is one signal of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Thankfully, Warner Bros. Discovery's 28.1% annualized revenue growth over the last five years was exceptional. Its growth beat the average consumer discretionary company and shows its offerings resonate with customers. We at StockStory place the most emphasis on long-term growth, but within consumer discretionary, a stretched historical view may miss a company riding a successful new product or trend. Warner Bros. Discovery's recent performance marks a sharp pivot from its five-year trend as its revenue has shown annualized declines of 4.9% over the last two years. We can better understand the company's revenue dynamics by analyzing its three most important segments: Distribution, Advertising, and Content, which are 54.4%, 22.1%, and 20.8% of revenue. Over the last two years, Warner Bros. Discovery's revenues in all three segments declined. Its Distribution revenue (licensing fees) averaged year-on-year decreases of 1.7% while its Advertising (marketing services) and Content (films, streaming, games) revenues averaged drops of 8.8% and 8.1%. This quarter, Warner Bros. Discovery missed Wall Street's estimates and reported a rather uninspiring 9.8% year-on-year revenue decline, generating $8.98 billion of revenue. Looking ahead, sell-side analysts expect revenue to remain flat over the next 12 months. Although this projection implies its newer products and services will catalyze better top-line performance, it is still below the sector average. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) stock benefiting from the rise of AI. Click here to access our free report one of our favorites growth stories. Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It's also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes. Warner Bros. Discovery's operating margin has been trending down over the last 12 months and averaged negative 14% over the last two years. Unprofitable, high-growth companies warrant extra scrutiny, especially if their margins fall because they're spending loads of money to stay relevant, an unsustainable practice. This quarter, Warner Bros. Discovery generated a negative 0.4% operating margin. The company's consistent lack of profits raise a flag. We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. Sadly for Warner Bros. Discovery, its EPS declined by 28.5% annually over the last five years while its revenue grew by 28.1%. This tells us the company became less profitable on a per-share basis as it expanded. In Q1, Warner Bros. Discovery reported EPS at negative $0.18, up from negative $0.40 in the same quarter last year. Despite growing year on year, this print missed analysts' estimates. Over the next 12 months, Wall Street is optimistic. Analysts forecast Warner Bros. Discovery's full-year EPS of negative $4.40 will reach break even. We struggled to find many positives in these results. Its revenue missed significantly and its EPS fell short of Wall Street's estimates. A bright spot was its EBITDA outperformance, but overall, this was a softer quarter. The stock surprisingly traded up 4.2% to $8.95 immediately after reporting. So do we think Warner Bros. Discovery is an attractive buy at the current price? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
07-04-2025
- Business
- Yahoo
Stock Market Crash: The Best Dividend Stocks to Buy Right Now
"I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful." -- Warren Buffett Brutal stock market sell-offs can create lucrative opportunities for investors with clear minds and steady hearts. Dividend stocks can be particularly attractive investments in bear markets, as the passive income they produce can help to offset share price declines. The cash you receive can also make it easier to wait for an eventual rebound -- and give you more dry powder to invest when stocks go on sale. To aid your search for these wealth builders, here are two rock-solid dividend stocks for your consideration. Following a slate of asset sales, AT&T (NYSE: T) is leaner, meaner, and better positioned to deliver dependable dividends to its shareholders than it's been in decades. Investors are beginning to take notice. The telecom titan is drastically outperforming the broad market S&P 500 index so far in 2025, a trend that's likely to continue. CEO John Stankey has refocused AT&T on its core wireless and broadband businesses. The company wisely chose to divest its WarnerMedia and DirecTV assets in recent years. Those sales enabled AT&T to pay down debt and expand its 5G and fiber internet networks. These investments, combined with the popularity of telecom giant's bundled wireless and internet offerings, are enabling AT&T to compete and win within the massive U.S. telecom industry. The wireless leader gained 1.7 million postpaid phone customers in 2024. These are people who pay monthly bills and are typically the most profitable clients for telecoms. AT&T also added 1 million fiber customers, marking the seventh straight year that it gained at least 1 million high-speed internet accounts. AT&T plans to grow its fiber network to over 50 million locations by the end of the decade, up from 28.9 million as of Dec. 31. Management expects this key segment to enjoy robust gains in the coming years, with revenue in the company's consumer fiber broadband division rising by "mid-teens" percentages in 2025. All told, AT&T forecasts free cash flow of more than $16 billion in 2025. The company has promised to deliver much of the cash it generates to its shareholders. Over the next three years, AT&T's investors are set to receive over $20 billion in projected dividend payments. This stalwart stock yields a solid 3.9% today. Buy shares now, and you'll likely be buying alongside AT&T. In December, the communications colossus announced plans to repurchase as much as $10 billion worth of its stock by the end of 2026. If you'd like to add another passive income-producing stock to your diversified investment portfolio, consider Kinder Morgan (NYSE: KMI). The energy transporter is set to play a vital role in the artificial intelligence (AI) boom, while delivering hefty cash payouts to its investors along the way. Kinder Morgan oversees the largest natural gas transmission network in the U.S. Its roughly 66,000 miles of pipeline span from coast to coast and ship about 40% of the gas produced in the country. These pipelines also produce reliable profits. Kinder Morgan's customers pay fees to reserve capacity in its energy distribution network. Kinder Morgan collects additional fees based on the volume of gas and other fuels that pass through its pipes. These fee-based contracts help to insulate its business from commodity price swings, thereby reducing the risks for investors. Kinder Morgan is set to benefit from three powerful trends: U.S. liquefied natural gas (LNG) exports are projected to double by the end of the decade, driven by surging international demand for affordable and dependable power sources. Natural gas demand is also expected to rise within the U.S. industrial sector, fueled by the reshoring trend and higher power usage among domestic manufacturers. The artificial intelligence (AI) boom could drive data center power demand higher by a whopping 160% by 2030, according to Goldman Sachs, and much of this energy will likely be supplied by gas-fired power plants. Investors can thus safely expect Kinder Morgan to extend its eight-year streak of dividend increases well into the future. With a projected cash payout of $1.17 per share in 2025, this rock-solid energy provider's stock is currently offering you an attractive forward yield of 4.2%. Before you buy stock in Kinder Morgan, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Kinder Morgan wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $461,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $578,035!* Now, it's worth noting Stock Advisor's total average return is 730% — a market-crushing outperformance compared to 147% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of April 5, 2025 Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Goldman Sachs Group and Kinder Morgan. The Motley Fool has a disclosure policy. Stock Market Crash: The Best Dividend Stocks to Buy Right Now was originally published by The Motley Fool Sign in to access your portfolio
