Purchased Warner Bros.
Just before 10 AM this morning on the 7th of March, 2024, the Value Investment Fund purchased 300 shares of Warner Bros. Discovery, Inc. Series A stock from the Entertainment Pool of potential investments. Total investment is $2,622 including transaction fees of 25 cents per share. Purchase price was $8.49 per share.
Current book value of Warner Bros is approximately $18 per share; cash flow per share exceeds $3. Cash flow from operations is $7.5B with 2.5B shares outstanding.
The current driving forces on the depressed stock price are the two years in a row of net losses ($10.4B combined). The stock price has dropped $17 per share in two years. The actual loss sustained per share is right around $6. Thus, the market price is well below justifiable depression and the intrinsic value easily exceeds $14 per share. Thus, a good opportunity for a value investor. Act on Knowledge.