$WBD

Research Alert: CFRA Maintains Hold Rating On Shares Of Warner Bros. Discovery, Inc.

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Our $30 target price uses a forward TEV/EBITDA of 11.8x our 2026 EBITDA estimate as a going concern. Due to merger costs in Q1 2026, we lower our 2026 estimate to a loss per share of -$1.00 from prior -$0.06 and reduce 2027's by $0.05 to $0.05. Our revenue projections are $37.0B in 2026 and $38.0B in 2027. Netflix declined to raise its offer for WBD, and WBD's Board of Directors determined that PSKY's offer was a "superior proposal." Thus, WBD will be moving forward with getting the necessary approvals from regulators after shareholder approvals. We think the path to getting antitrust approvals from the DoJ and the EU provides deal risk due to a lengthy approval process, but one that we think is more doable than NFLX acquiring WBD. So, PSKY's approved acquisition of WBD could either transform PSKY into a media powerhouse or burden it with unsustainable leverage and integration challenges. The timeline to close before October 1 and obtain the necessary regulatory approvals remains uncertain, in our view.

UBS Adjusts Price Target on Warner Bros. Discovery to $31 From $30, Maintains Neutral Rating

Warner Bros. Discovery (WBD) has an average rating of hold and mean price target of $30.09, according to analysts polled by FactSet.Price: $27.14, Change: $-0.06, Percent Change: -0.24%

Stocks Rise Pre-Bell as Traders Monitor Developments on Potential US-Iran Peace Deal

US equity markets were moving higher before the opening bell Thursday as investors monitor the latest developments over a potential peace deal between the US and Iran.The S&P 500 and the Dow Jones Industrial Average were up 0.1% each, while the Nasdaq was slightly in the green in premarket activity. The indexes finished Wednesday trading higher, with the S&P 500 and the Nasdaq recording their highest close ever and biggest one-day percentage gains since April 8.President Donald Trump told reporters on Wednesday that the US has had "very good talks" with Iran over the past 24 hours, but said there's no deadline on when he expects Tehran to respond to a US proposal to end the war, according to CNN.American and Iranian officials are closing in on a one-page memorandum of understanding to end the war and establish a framework for nuclear negotiations, Axios reported Wednesday, citing sources.In a separate social media post on Wednesday, Trump said US operations against Iran will be "at an end" if Tehran agrees to US demands. "If they don't agree, the bombing starts, and it will be, sadly, at a much higher level and intensity than it was before," Trump said.Iran is expected to give mediators its response to the proposal on Thursday, a regional source told CNN.West Texas Intermediate crude oil dropped 2.2% to $93.03 a barrel before the open, while Brent decreased 2.1% to $99.14."A deal announcement would move futures further immediately, in fact even the potential of a deal is already triggering a decline in oil prices," Rystad Energy Chief Oil Analyst Paola Rodriguez-Masiu said in remarks emailed to. The physical market's recovery won't be as quick as the futures market predicts, Rodriguez-Masiu said, pointing to a six-to-eight-week lag between the strait reopening and oil flows normalizing.Treasury yields were down in premarket action, with the two-year rate retreating 2.3 basis points to 3.85% and the 10-year rate off 2 basis points to 4.33%.Shares of DoorDash (DASH) jumped 10% pre-bell after the food delivery company reported first-quarter earnings ahead of Wall Street's estimates. Warner Bros. Discovery (WBD) nudged 0.5% lower, while Snap (SNAP) fell 10% following their latest quarterly results.McDonald's (MCD), Sempra (SRE), Vistra (VST), Datadog (DDOG), Becton Dickinson (BDX), Tapestry (TPR) and US Foods (USFD) report their latest financial results before the bell, among others. Gilead Sciences (GILD), McKesson (MCK), Cloudflare (NET), Airbnb (ABNB), Monster Beverage (MNST) and CoreWeave (CRWV) are scheduled to announce their earnings after the markets close.Employers in the US announced 83,387 layoffs last month, up 38% from March, Challenger, Gray & Christmas said Thursday.Thursday's economic calendar also has the weekly jobless claims bulletin at 8:30 am.On Wednesday, ADP data showed that employment in the US private sector grew at its fastest pace in more than a year in April. The government's nonfarm payrolls report is out on Friday.Federal Reserve Bank of Minneapolis President Neel Kashkari is slated to speak at 1 pm, while Cleveland Fed President Beth Hammack speaks at 2:05 pm. New York Fed President John Williams' remarks are due at 3:30 pm.Gold increased 1% to $4,740 per troy ounce, while bitcoin declined 0.7% to $80,844.

Research Alert: Warner Bros. Discovery, Inc. Reports Mixed Results In Q1 2026

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:WBD reported Q1 2026 mixed results with revenues declining 1% to $8.0B and a $2.9B net loss vs. a $453M gain in the prior year, primarily due to a $2.8B Netflix termination fee related to Paramount Skydance's pending acquisition. Excluding one-time charges, adjusted EBITDA remained resilient at $2.2B (flat ex-FX) despite NBA programming absence impacting advertising revenues by 7%. We believe the underlying business shows encouraging streaming momentum with segment revenues up 7% ex-FX to $2.9B and 29% adjusted EBITDA growth, driven by successful HBO Max international launches in the U.K., Ireland, Germany, and Italy. The Paramount Skydance acquisition is expected to close in Q3 2026. We expect continued streaming subscriber growth to offset linear network declines, though free cash flow turned negative at -$476M from +$302M due to higher content investment and transaction costs. The company maintains financial flexibility with 3.4x net leverage and $3.3B in cash as it navigates the pending acquisition.

Equity Markets Rise Intraday, Oil Plunges Amid US-Iran Peace Deal Optimism

US benchmark equity indexes were higher intraday, while oil prices tumbled as investors reacted to reports saying that Washington and Tehran are nearing a potential agreement to end the war.The Nasdaq Composite was up 1.6% at 25,726 after midday Wednesday, while the S&P 500 advanced 1.1% to 7,339.3. Both indexes were on track for back-to-back record-high closings. The Dow Jones Industrial Average rose 1% to 49,792.1.Among sectors, industrials was outperforming with a 2.2% gain, while energy saw the steepest drop of 4.1%.West Texas Intermediate crude was down 6.6% at $95.57 per barrel, while Brent slumped 7% to $102.20.The US is nearing a deal with Iran on a one-page memorandum of understanding to end their conflict in the Middle East and establish a framework for more detailed nuclear negotiations, Axios reported Wednesday, citing two US officials and two other sources familiar with the matter.The two countries are moving closer to an agreement on a short memorandum to end the war, CNN also reported, citing a regional source familiar with the negotiations."Traders in the US woke up to see some real excitement in the markets today caused by the (Axios) news," Macquarie said in a note. "The good news, for now, is that the same sources that leaked the existence of a deal to Axios said this was the closest the parties had been to an agreement since the war began."US President Donald Trump issued a fresh warning to Iran, saying the "bombing starts" again if a deal is not reached."Assuming Iran agrees to give what has been agreed to, which is, perhaps, a big assumption, the already legendary Epic Fury will be at an end, and the highly effective blockade will allow the Hormuz Strait to be open to all, including Iran," Trump said in a social media post.Iran said it is still reviewing the latest US proposal, according to news reports.US Treasury yields were lower intraday, with the 10-year rate down 7.4 basis points at 4.36% and the two-year rate falling 7.2 basis points to 3.88%.In company news, Advanced Micro Devices (AMD) shares surged nearly 17%, among the best performers on the S&P 500. Late Tuesday, the chipmaker reported stronger-than-expected first-quarter results as demand for artificial intelligence infrastructure pushed data center revenue higher year over year.Walt Disney's (DIS) fiscal second-quarter results came in ahead of market estimates Wednesday amid revenue gains across all business operations, while the media and entertainment giant reiterated its expectations for growth to accelerate in the second half. Disney's shares climbed 6.5%, the top performer on the Dow.Nvidia (NVDA) followed Disney on the Dow, up 4.5%. Specialty glass maker Corning (GLW) will boost its optical connectivity manufacturing capacity under a multiyear partnership with chipmaking giant to support AI factory buildouts. Corning shares jumped 14%.Arista Networks (ANET) shares tumbled 16%, among the worst S&P 500 performers. Late Tuesday, the cloud networking company issued a second-quarter revenue outlook slightly below market estimates.Arm (ARM), Applovin (APP), DoorDash (DASH) and Warner Bros. Discovery (WBD) are expected to report after the closing bell Wednesday, along with others.In economic news, employment in the US private sector grew at its fastest pace in more than a year in April, ADP (ADP) data showed."The uptick in private payroll gains from the ADP employment report not only suggests a stable labor market, but one that was potentially warming despite the outbreak of the war in Iran," Oxford Economics said in a note. "If this signal is echoed in the official measure on Friday, the unemployment rate is likely to fall given the low break-even rate, which we estimate is near zero."Data from the Bureau of Labor Statistics are expected to show Friday that the US economy added 65,000 nonfarm jobs last month, which would represent a fall from a 178,000 increase reported for March, according to a Bloomberg-compiled survey. The unemployment rate is seen unchanged at 4.3%.Gold rose 2.8% to $4,695.90 per troy ounce, while silver climbed 5.3% to $77.48 per ounce.

Stocks Rise Pre-Bell, Oil Prices Fall After Report Says US, Iran Nearing Peace Agreement

The main US stock measures were pointing higher in Wednesday's premarket activity, while oil prices declined after a media report said the US and Iran are nearing a potential agreement to end their conflict.The S&P 500 and the Dow Jones Industrial Average rose 0.7% each before the opening bell, while the Nasdaq advanced 1.2%. The indexes finished the previous trading session in the green, with the S&P 500 and the Nasdaq closing with new highs.Washington is nearing an agreement with Tehran on a one-page memorandum of understanding to end their conflict in the Middle East and establish a framework for more detailed nuclear negotiations, Axios reported Wednesday, citing two US officials and two other sources familiar with the matter.In a social media post on Tuesday, President Donald Trump said the US is temporarily pausing "Project Freedom," its effort to guide neutral ships locked up in the Strait of Hormuz out of the crucial waterway. Trump noted that the US blockade on Iranian ports will remain in effect.US Defense Secretary Pete Hegseth reportedly said Tuesday that the ceasefire agreement with Iran remained intact despite recently renewed tensions in the Gulf region.West Texas Intermediate crude oil dropped 9.3% to $92.88 a barrel in premarket action, while Brent fell 8.3% to $100.77.Treasury yields slipped before the open, with the two-year rate retreating 7.3 basis points to 3.87% and the 10-year rate off 6.8 basis points to 4.35%.Walt Disney (DIS), Uber Technologies (UBER), CVS Health (CVS), Marriott International (MAR), Johnson Controls International (JCI), Restaurant Brands International (QSR), Kraft Heinz (KHC) and Performance Food Group (PFGC) are some of the major companies scheduled to report their latest financial results before the bell, among others.Arm Holdings (ARM), Applovin (APP), DoorDash (DASH) and Warner Bros. Discovery (WBD) post earnings after the markets close.Shares of Advanced Micro Devices (AMD) jumped 18% pre-bell after the chipmaker reported stronger-than-expected first-quarter results. Novo Nordisk's (NVO) US-listed stock climbed 7.5% as the Danish pharmaceutical giant issued an improved full-year sales outlook. Arista Networks (ANET) declined 8.1% after it issued a downbeat second-quarter revenue outlook.Wednesday's economic calendar has the weekly mortgage applications bulletin at 7 am ET, followed by the ADP Employment report for April at 8:15 am. The weekly EIA domestic petroleum inventories report is out at 10:30 am.Federal Reserve Bank of St. Louis President Alberto Musalem is slated to speak at 9:30 am, while Chicago Fed President Austan Goolsbee speaks at 1 pm.Gold increased 3.1% to $4,710 per troy ounce, while bitcoin moved up 0.8% to $82,210.

Sector Update: Consumer Stocks Mixed Late Afternoon

Consumer stocks were mixed late Thursday afternoon with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.8% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) falling 1.1%.In corporate news, Comcast (CMCSA) reported higher-than-expected Q1 results as the company benefited from the Milan Cortina Winter Olympics and Super Bowl LX. The shares rose 7.9%.Tesla (TSLA) shares fell 3.7% after the company issued higher-than-expected 2026 capital-expenditure guidance.Warner Bros. Discovery (WBD) shareholders approved the buyout by Paramount Skydance (PSKY). Warner shares fell 1.4%, and Paramount fell 5.2%.Vail Resorts (MTN) reported that skier visits from the start of the season through April 19 fell 15% from the same period a year earlier. The shares dropped 5.5%.

Sector Update: Consumer Stocks Mixed Thursday Afternoon

Consumer stocks were mixed Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) rising 1.5% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) shedding 0.6%.In corporate news, Tesla (TSLA) shares fell 3.7% after it issued higher-than-expected 2026 capital expenditure guidance. TechCrunch reported the company is planning to spend $25 billion this year, compared with $8.5 billion in 2025.Warner Bros. Discovery (WBD) said Thursday its shareholders voted to approve the adoption of the merger agreement with Paramount Skydance (PSKY). Warner shares were down 0.8%, and Paramount fell 5.8%.Vail Resorts (MTN) reported Thursday that skier visits from the start of the ski season through April 19 were down 14.9%, compared with the same period a year ago. Shares fell 5.8%.

Top Midday Stories: Tesla Shares Fall Despite Q1 Beats; ServiceNow Says Iran War Weighed on Q1 Subscription Revenue

All three major US stock indexes were down slightly in late-morning trading Thursday, as investors continued to monitor developments in the Strait of Hormuz.In company news, Tesla (TSLA) reported Q1 adjusted EPS late Wednesday of $0.41, up from $0.27 a year ago and above the FactSet consensus analyst estimate of $0.36. First-quarter revenue was $22.39 billion, up from $19.34 billion a year ago and above the FactSet consensus of $22.1 billion. The company said it intends to use Intel's (INTC) upcoming 14A process to make chips at its Terafab advanced AI project in Austin, Texas, Reuters reported late Wednesday, citing Tesla CEO Elon Musk. Chief Financial Officer Vaibhav Taneja said late Wednesday that Tesla has delayed the rollout of its most advanced driver-assistance features in China due to regulatory issues. Lastly, the firm is creating 1,000 new jobs at its Gruenheide gigafactory in Germany by the end of June to raise weekly production by roughly 20% from Q3, Reuters reported Thursday, citing a company spokesperson. Tesla shares were about 1.8% lower.ServiceNow (NOW) reported Q1 non-GAAP earnings late Wednesday of $0.97 per diluted share, up from $0.81 a year earlier and matching the FactSet consensus estimate. First-quarter revenue was $3.77 billion, up from $3.09 billion a year ago and above the FactSet consensus of $3.75 billion. ServiceNow said Q1 subscription revenue growth saw about a "75 basis point headwind from delayed closings of several large on-premise deals in the Middle East, due to the ongoing conflict in the region." For Q2, the company said it expects subscription revenue of $3.815 billion to $3.820 billion, above the FactSet consensus of $3.751 billion. For full-year 2026, it expects subscription revenue of $15.74 billion to $15.78 billion, above the FactSet consensus of $15.55 billion. ServiceNow shares were down 17.2%.Thermo Fisher Scientific (TMO) reported fiscal Q1 adjusted earnings Thursday of $5.44 per share, up from $5.15 a year earlier and above the FactSet consensus of $5.25. Fiscal Q1 revenue was $11.01 billion, up from $10.36 billion a year ago and above the FactSet consensus of $10.86 billion. Thermo Fisher shares were down 10.4%.Warner Bros. Discovery (WBD) said Thursday its shareholders voted to approve the adoption of the merger agreement with Paramount Skydance (PSKY). The deal is expected to close in Q3, the company said. Warner Bros. shares were down 0.4%, while Paramount shares were down 5.4%.Texas Instruments (TXN) reported Q1 earnings late Wednesday of $1.68 per diluted share, up from $1.28 a year earlier and above the FactSet consensus of $1.36. First-quarter revenue was $4.83 billion, up from $.07 billion a year ago and above the FactSet consensus of $4.53 billion. For Q2, the company said it expects EPS of $1.77 to $2.05 on revenue of $5 billion to $5.40 billion. Analysts polled by FactSet expect $1.57 and $4.86 billion, respectively. Texas Instrument shares were up 18.5%.Avis Budget Group (CAR) has seen its stock fall by over 62% in just two days after rising nearly 600% since late March, Bloomberg reported Thursday, citing data from S3 Partners. Avis short sellers pocketed $2.8 billion during Wednesday's rout, countering the $2.7 billion they lost the prior three days, the report said, citing S3 Partners. Avis shares were down 47.1%.Price: $378.26, Change: $-9.25, Percent Change: -2.39%

Warner Bros. Discovery Shareholders Approve Sale to Paramount Skydance

Warner Bros. Discovery (WBD) said Thursday its shareholders voted to approve the adoption of the merger agreement with Paramount Skydance (PSKY).The deal is expected to close in Q3, Warner Bros. said.Price: $27.34, Change: $+0.01, Percent Change: +0.02%

Correction: --Warner Bros. Discovery Shareholders Approve $110 Billion Sale to Paramount Skydance, Bloomberg Reports

Warner Bros. Discovery Shareholders Approve $110 Billion Sale to Paramount-Skydance, Bloomberg Reports

Warner Bros. Discovery Shareholders Approve $110 Billion Sale to Paramount-Skydance, Bloomberg Reports

Wedbush Lifts 2026 Box Office Outlook Following Strong First-Quarter Performance, Wedbush Says

Wedbush Securities on Monday raised the North American box office forecast for 2026, citing strong first-quarter growth and summer releases.The brokerage expects box office proceeds to rise 13% annually to $9.8 billion this year, up from 10% previously projected. First-quarter collections grew 25% year over year to $1.8 billion.CinemaCon, a trade show for the motion picture theater industry, was conducted in Las Vegas last week. The event showed strong studio slates and a focus on lengthening theatrical windows, Wedbush said."All of the studios came out this year with more confidence than last year," Wedbush analysts, including Alicia Reese, said.The deal between Warner Bros. Discovery (WBD) and Paramount Skydance (PSKY) dominated the event, with Paramount Chief Executive David Ellison promising a 45-day exclusive theatrical window upon deal completion and an output increase to 30 titles per year, Reese said.Theater operators have been demanding a 45-day minimum, Reuters reported last week. Movies staying in theaters longer drives more favorable economics across theatrical and streaming, according to the Wedbush note.Comcast's (CMCSA) Universal said it planned to extend the exclusive theatrical window to 45 days by 2027, compared with its current 17-day window that is seen moving to 35 days in 2026, Reese said.The summer slate, especially in the third quarter, "is shaping up very nicely," Reese said.Last week, B. Riley Securities raised its 2026 box office projections to $9.55 billion from $9.40 following a better-than-expected first quarter.Wedbush upgraded its 2027 box office growth estimate to 5% from 4%, at $10.2 billion.However, if the combined Paramount-Warner Bros. company cuts theatrical output, there could be some downside risk to the 2027 estimate, Reese said."That said, our current estimate does not anticipate that the combined studio reaching the company's stated goal of 30 total titles," Reese said.

Nasdaq, S&P 500 Hit New Peaks as Iran Reopens Hormuz

The Nasdaq Composite and the S&P 500 notched new peaks on Friday after Iran announced a temporary reopening of the Strait of Hormuz, sending oil prices tumbling.The Nasdaq rose 1.5% to 24,468.5, while the S&P 500 added 1.2% to 7,126.1, notching record-high closing levels for the third straight day. The Nasdaq extended its advance to a 13th consecutive session, its longest winning streak since 1992, according to CNBC.The Dow Jones Industrial Average jumped 1.8% to 49,447.9.Barring energy and utilities, all sectors were in the green, led by consumer discretionary's 2% jump.The Nasdaq and the S&P 500 saw their biggest weekly gains since May last year, rising 6.8% and 4.5%, respectively, this week. The Dow advanced 3.2% this week, the most since June.West Texas Intermediate crude oil sank 11% to $84.68 a barrel in Friday late-afternoon trade, while Brent lost 8.7% to $90.71."In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire," Iranian Foreign Minister Seyed Abbas Araghchi said Friday in a post on the X platform.Vessels must move through a "coordinated route" announced by Iran's Ports and Maritime Organization, Araghchi said.On Thursday, US President Donald Trump said Lebanon and Israel agreed to a 10-day ceasefire that seeks to pause hostilities between Israel and Iran-backed Hezbollah in Lebanon. That was a key sticking point in peace negotiations between the US and Iran."Araghchi's statement represents a significant and unexpected diplomatic opening," Artem Abramov, deputy head of analysis at Rystad Energy, said in a note e-mailed to. "The Strait of Hormuz has been the single most consequential variable in global oil markets since the conflict escalated, and any credible signal that the chokepoint may reopen, even temporarily, is a market-moving development of the first order."Trump welcomed the reopening of the strait, though he said the US naval blockade of Iran's ports will continue until "our transaction with Iran is 100% complete.""The news that Iran will allow traffic to resume through the Strait of Hormuz could be an important turning point and the catalyst for upgrades to our economic forecasts, but not immediately," Oxford Economics said in a note. "The development increases the risk that a more lasting deal could be brokered, reducing the likelihood of extreme downside scenarios crystalizing."Shares of cruise line operators and airlines jumped, with Royal Caribbean Cruises (RCL) up 7.3%, the best performer on the S&P 500, followed United Airlines (UAL) and Carnival (CCL). Southwest Airlines (LUV) rose 5.1%.US Treasury yields were lower, with the 10-year rate down seven basis points at 4.25% and the two-year rate dropping 7.4 basis point to 3.71%.In company news, Netflix (NFLX) shares tumbled 9.7%, the third-worst performer on the S&P 500.The streaming giant late Thursday posted first-quarter revenue above Wall Street's estimates. However, the company disappointed investors by maintaining its margin outlook even though its cost base apparently would have benefited from its decision to walk away from a deal to acquire Warner Bros. Discovery (WBD), MoffettNathanson said in a note Friday.Gold was last up 1.3% at $4,871.10 per troy ounce, while silver gained 3.4% to $81.40 per ounce.

Equities Rally Intraday, Oil Plunges After Iran Declares Hormuz Strait Open

US benchmark equity indexes advanced intraday, while oil prices slumped after Iran declared the Strait of Hormuz "completely open" following a ceasefire deal between Lebanon and Israel.The Dow Jones Industrial Average was up 1.9% at 49,507.9 after midday Friday. The Nasdaq Composite jumped 1.4% to 24,447.8, while the S&P 500 rose 1.2% to 7,126.6. The two indexes notched their second consecutive record-high closes in the previous session.Barring energy and utilities, all sectors were in the green intraday Friday, led by consumer discretionary's 2.7% jump.West Texas Intermediate crude oil sank 11% to $84.20 a barrel, while Brent lost 9% to $90.44."In line with the ceasefire in Lebanon, the passage for all commercial vessels through Strait of Hormuz is declared completely open for the remaining period of ceasefire," Iranian Foreign Minister Seyed Abbas Araghchi said Friday in a post on the X platform.Vessels must move through a "coordinated route" announced by Iran's Ports and Maritime Organization, Araghchi said.On Thursday, US President Donald Trump said Lebanon and Israel agreed to a 10-day ceasefire that seeks to pause hostilities between Israel and Iran-backed Hezbollah in Lebanon. That was a key sticking point in peace negotiations between the US and Iran.Trump welcomed the reopening of the strait, though he said on Truth Social that the US naval blockade of Iran's ports will continue until "our transaction with Iran is 100% complete.""The news that Iran will allow traffic to resume through the Strait of Hormuz could be an important turning point and the catalyst for upgrades to our economic forecasts, but not immediately," Oxford Economics said in a note. "The development increases the risk that a more lasting deal could be brokered, reducing the likelihood of extreme downside scenarios crystalizing."A quarter-long closure of the strait will likely push US inflation higher by 0.6 percentage point this year, researchers at the Federal Reserve Bank of Dallas said in an article Friday.Shares of cruise line operators and airlines surged intraday, with Royal Caribbean Cruises (RCL) up 8.2%, the best performer on the S&P 500, followed by Carnival's (CCL) 7.8% gain. United Airlines (UAL) jumped 7.6%, while Southwest Airlines (LUV) climbed 6.5%, among the top gainers on the index.US Treasury yields were lower intraday, with the 10-year rate down 6.3 basis points at 4.25% and the two-year rate dropping 7.8 basis point to 3.69%.In company news, Netflix (NFLX) shares were down 10% intraday, the second-worst performer on the S&P 500.The streaming giant late Thursday posted first-quarter revenue above Wall Street's estimates. However, the company disappointed investors by maintaining its margin outlook even though its cost base apparently would have benefited from its decision to walk away from a deal to acquire Warner Bros. Discovery (WBD), MoffettNathanson said in a note Friday.Gold was up 1.5% at $4,881.40 per troy ounce, while silver gained 3.8% to $81.71 per ounce.

B. Riley Upgrades 2026 Box Office Outlook Following First-Quarter Beat

US box office revenue this year is set to come in higher than previously projected following a better-than-expected first quarter, B. Riley Securities said Friday.The industry raked in box office proceeds of about $1.74 billion in the first three months of the year, jumping 22% year over year and ahead of the brokerage's $1.59 billion view. The performance reflected a 14% increase in January, a "flattish" February and "healthy" gains in March, which benefited from the commercial success of the Amazon (AMZN) MGM-distributed film "Project Hail Mary," B. Riley said.Paramount Skydance's (PSKY) "Scream 7," Walt Disney's (DIS) "Hoppers" and Warner Bros. Discovery's (WBD) "Wuthering Heights" also contributed to the first-quarter outperformance, B. Riley analyst Drew Crum said in a note to clients.The brokerage now estimates domestic box office collections of $9.55 billion for 2026, up from its previous expectations of $9.40 billion, with the outperformance in the first quarter "serving as the key driver to this upward adjustment."The first-quarter domestic box office provided "some needed confidence following a shaky (second half of 2025), while this momentum has continued into early (second quarter)," Crum said.B. Riley reiterated its US box office revenue estimate of $2.70 billion for the current three-month period, reflecting an annual increase of 1%. For the third and fourth quarters, the brokerage is expecting proceeds of $2.70 billion and $2.40 billion, respectively."Improving box office trends could lead to quarterly beats, upward revisions to estimates, and hence multiple expansion," Crum said. "General optimism for the 2026-2027 slate, further progress on windowing, and encouraging developments regarding labor negotiations for Hollywood guilds, may help sentiment too."The brokerage raised its price targets on the stocks of AMC Entertainment (AMC) to $2 from $1.50 and on Cinemark (CNK) to $34 from $30, with neutral ratings. It continues to have a buy rating on Imax (IMAX) shares.Price: $1.90, Change: $+0.29, Percent Change: +17.70%

Netflix Investors Disappointed With Unchanged Margin Outlook, MoffettNathanson Says as Shares Plunge

Netflix (NFLX) disappointed investors by maintaining its margin outlook even though its cost base apparently would have benefited from its decision to walk away from a deal to acquire Warner Bros. Discovery (WBD), MoffettNathanson said in a report on Friday.The streaming giant late Thursday posted first-quarter revenue above Wall Street's estimates. It maintained the full-year revenue guidance at $50.7 billion to $51.7 billion and an operating margin outlook at 31.5%.The FactSet-polled consensus is for $51.33 billion in 2026 sales.Netflix in February abandoned its plan to acquire Warner Bros., handing it over to Paramount Skydance (PSKY). Last quarter, the company pointed to $275 million in M&A expenses this year, which most saw as fully attributable to the then-pending Warner Bros. deal, MoffettNathanson Senior Research Analyst Robert Fishman wrote.However, after incorporating the acquisition of AI filmmaking technology company InterPositive and the pull forward of Warner Bros. deal costs, total M&A expenses remained largely unchanged, Fishman said. Netflix Chief Financial Officer Spencer Neumann made similar remarks on an earnings call Thursday.Netflix acquired InterPositive in March.Some on Wall Street, including UBS Securities, were pricing in an upgrade to the revenue outlook due to earlier-than-expected price increases. But the unchanged margin guidance came as a "bigger surprise" than Netflix reiterating its revenue guidance, Fishman said.The stock plunged nearly 10% in Friday trade.The company announced pricing changes for all its US plans in March, including a new $8.99 monthly subscription for the ad-supported standard tier.MoffettNathanson said Netflix's long-term trajectory remains intact."Sure, the absence of a raise to 2026 guidance likely caught some ahead of their skis on near-term margin expectations; yet, the M&A costs in the 2026 expense base only create an easier comp for next year," Fishman wrote.Price: $97.90, Change: $-9.90, Percent Change: -9.18%

Warner Bros. Discovery, JioHotstar Bring HBO Max to India

Warner Bros. Discovery (WBD) and JioHotstar said Wednesday they have expanded their partnership to make JioHotstar the exclusive home for HBO Max in India.The HBO Max hub on JioHotstar features content from HBO, Max Originals, Warner Bros. Pictures, Warner Bros. Television and DC Studios, the companies said.Price: $27.29, Change: $-0.09, Percent Change: -0.31%

Eastman Kodak Says VERITA 200D Film Available Across Multiple Formats

Eastman Kodak (KODK) said Monday that VERITA 200D 5206/7206, a new color negative motion picture film stock, is available in 65 millimeter, 35mm and 16mm formats.The company said the film was developed in collaboration with writer, director and producer Sam Levinson and cinematographer Marcell Rev to achieve a distinct visual aesthetic for the third season of Warner Bros. Discovery (WBD) HBO's drama series Euphoria.Kodak said the stock has also been selectively trade-tested by cinematographers worldwide over several years before its commercial release.Price: $11.85, Change: $-0.24, Percent Change: -1.99%