Jim Cramer - Mad Money
Warner Bros. Discovery
WBD-Q
WATCH
Aug 01, 2025
It reports Thursday. The new CEO has been reorganizing the company and paying down debt. The stock has been climbing as we get more facts about the impending break-up and the balance sheet improves.
Tanked last year, saddled with $50 billion in debt, but is rallying this year. AT&T shareholders didn't want to own WBD. Was down over 60% last year, but the 4th-best stock this year.
#4 performer in Q1, up 59%. Had an up and down 2022 after last year's merger. The stock has been over-hated and he loves their content. But their debt is too high.
They report Friday. They have a challenging balance sheet. He wants to hear about cord-cutting and advertising (leaving TV and going into the internet?). The CEO can make things happen, given his experience.
Their recent quarter saw revenues and adjusted EBITDA beat, but still didn't match high market expectations due to Barbie's success. Problem is, they can't pay down their debt as fast as they planned--$43 billion in net debt. Huge.
It reports Thursday. The new CEO has been reorganizing the company and paying down debt. The stock has been climbing as we get more facts about the impending break-up and the balance sheet improves.