Warner Bros. Discovery's Options: A Look at What the Big Money is Thinking

Investors with a lot of money to spend have taken a bullish stance on Warner Bros. Discovery WBD.

And retail traders should know.

We noticed this today when the positions showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with WBD, it often means somebody knows something is about to happen.

Today, Benzinga's options scanner spotted 11 options trades for Warner Bros. Discovery.

This isn't normal.

The overall sentiment of these big-money traders is split between 72% bullish and 18%, bearish.

Out of all of the options we uncovered, there was 1 put, for a total amount of $60,000, and 10, calls, for a total amount of $2,686,217.

What's The Price Target?

Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $7.5 to $15.0 for Warner Bros. Discovery over the recent three months.

Volume & Open Interest Trends

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Warner Bros. Discovery's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Warner Bros. Discovery's whale trades within a strike price range from $7.5 to $15.0 in the last 30 days.

Warner Bros. Discovery Call and Put Volume: 30-Day Overview

Largest Options Trades Observed:

About Warner Bros. Discovery

Warner Bros. Discovery was formed in 2022 through the combination of WarnerMedia and Discovery Communications. It operates in three global business segments: studios, networks, and direct-to-consumer. Warner Bros. Pictures is the crown jewel of the studios business, producing, distributing, and licensing movies and television shows. The networks business consists of basic cable networks, such as CNN, TNT, TBS, Discovery, HGTV, and the Food Network. Direct-to-consumer includes HBO and the firm's streaming platforms, which have now been consolidated to Max and Discovery+. Much of the DTC content is created within the firm's other two business segments. Each segment operates with a global reach, with Max available in over 60 countries.

In light of the recent options history for Warner Bros. Discovery, it's now appropriate to focus on the company itself. We aim to explore its current performance.

Current Position of Warner Bros. Discovery

• Currently trading with a volume of 17,786,793, the WBD's price is down by -2.28%, now at $7.5.
• RSI readings suggest the stock is currently is currently neutral between overbought and oversold.
• Anticipated earnings release is in 76 days.

Expert Opinions on Warner Bros. Discovery

5 market experts have recently issued ratings for this stock, with a consensus target price of $10.1.

• Maintaining their stance, an analyst from Goldman Sachs continues to hold a Neutral rating for Warner Bros. Discovery, targeting a price of $7.
• Consistent in their evaluation, an analyst from Evercore ISI Group keeps a Outperform rating on Warner Bros. Discovery with a target price of $9.
• Reflecting concerns, an analyst from Bernstein lowers its rating to Market Perform with a new price target of $8.
• An analyst from Benchmark persists with their Buy rating on Warner Bros. Discovery, maintaining a target price of $18.
• Consistent in their evaluation, an analyst from Barclays keeps a Equal-Weight rating on Warner Bros. Discovery with a target price of $8.

Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Warner Bros. Discovery with Benzinga Pro for real-time alerts.