Warner Bros. Discovery Inc ( WBD ) stock continues to be volatile Tuesday after the company on Monday announced its intention to separate into two independent, publicly traded companies by mid-2026.
What To Know: The planned tax-free transaction will create two distinct entities. The “Streaming & Studios” company, to be led by current CEO David Zaslav, will encompass HBO, Max, Warner Bros. film and television assets and DC Studios.
The second company, “Global Networks,” will be headed by current CFO Gunnar Wiedenfels and will include assets like CNN, Discovery, TNT Sports and other international networks.
Read Also: DraftKings Stock Rises As Rival FanDuel Announces Illinois Betting Fee
This strategic move follows a year of cost-cutting and reorganization aimed at unlocking shareholder value. The company stated the split would provide sharper strategic focus, enabling the streaming unit to aggressively pursue growth while the networks division concentrates on maximizing free cash flow.
WBD Price Action: Tuesday’s trading session saw significant investor interest, with Warner Bros Discovery ( WBD ) shares closing up 5.04% to $10.01. According to data from Benzinga Pro, the session volume for WBD was 59.243 million shares during late Tuesday trading. This was above its 100-day average trading volume of 43.259 million shares.
Read Also: Small Caps Test 200-Day Average, Nasdaq 100 Eyes Record Ahead Of US-China Progress: What’s Driving Markets Tuesday?
By now, you're likely curious about how to participate in the market for Warner Bros. Discovery ( WBD ) — be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option or sell a call option at a strike price above where shares are currently trading — either way, it allows you to profit from the share price decline.
According to data from Benzinga Pro, Warner Bros Discovery ( WBD ) has a 52-week high of $12.70 and a 52-week low of $6.64.
Image: Shutterstock
