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Morgan Stanley Eyes Warner Bros. (WBD) Upside as 2026 Media Outlook Favors Premium Content and AI Protection
Yahoo Finance· 2025-12-25 08:08
Group 1 - Warner Bros. Discovery, Inc. is currently viewed as a strong investment opportunity, with Morgan Stanley raising its price target from $15 to $29, reflecting a positive outlook for the media and entertainment sector through 2026 [1] - The company achieved a historic performance in its film division, surpassing $4 billion in box office revenue for the year, leading the industry domestically and globally, and is on track to exceed $2.4 billion in EBITDA for 2025 [2] - Warner Bros. expects its streaming division to contribute over $1.3 billion in EBITDA this year, a significant recovery from a $2.5 billion loss three years ago, with a target of 150 million subscribers by the end of next year [3] Group 2 - The company operates through three segments: Studios, Network, and Direct-to-Consumer (DTC), indicating a diversified business model within the media and entertainment industry [4]