Yahoo Finance·2025-12-04 19:05Core Viewpoint - Netflix is reportedly the leading candidate to acquire Warner Bros. Discovery, but this potential acquisition has not positively impacted its stock price, which recently hit a seven-month low [2][8]. Group 1: Acquisition Details - Netflix is competing with Comcast and Paramount Skydance to acquire Warner Bros. Discovery, which owns HBO Max and valuable intellectual properties like Harry Potter and Game of Thrones [3][4]. - The acquisition of Warner Bros. Discovery is seen as a significant move that could reshape the media and entertainment industry, marking the end of the cable TV era [3][4]. Group 2: Market Reaction - Following the initial bids submitted on November 20, shares of Netflix and Paramount Skydance have declined approximately 6% and 9%, respectively, indicating shareholder reservations about the deal [5]. - It is common for stock prices to drop when a company makes a large acquisition offer due to the premium paid and potential investor skepticism regarding the merger [6]. Group 3: Regulatory Concerns - Antitrust concerns have been raised by White House officials regarding the potential merger of Netflix and HBO Max, suggesting it could create excessive power in the entertainment sector [7]. - The Trump administration's opposition to the deal has been reported, adding another layer of complexity to the acquisition process [7].