WallStSmart

Warner Bros Discovery Inc (WBD)vsWPP PLC ADR (WPP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Warner Bros Discovery Inc generates 175% more annual revenue ($37.30B vs $13.55B). WBD leads profitability with a 1.9% profit margin vs -1.6%. WPP appears more attractively valued with a PEG of 4.23. WBD earns a higher WallStSmart Score of 51/100 (C-).

WBD

Buy

51

out of 100

Grade: C-

Growth: 5.3Profit: 4.5Value: 5.7Quality: 4.3
Piotroski: 4/9Altman Z: 0.59

WPP

Avoid

32

out of 100

Grade: F

Growth: 2.0Profit: 3.0Value: 5.7Quality: 2.5
Piotroski: 3/9Altman Z: 0.73
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

WBDUndervalued (+60.6%)

Margin of Safety

+60.6%

Fair Value

$71.08

Current Price

$27.11

$43.97 discount

UndervaluedFair: $71.08Overvalued
WPPUndervalued (+75.6%)

Margin of Safety

+75.6%

Fair Value

$75.12

Current Price

$18.97

$56.15 discount

UndervaluedFair: $75.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

WBD3 strengths · Avg: 9.0/10
EPS GrowthGrowth
226.7%10/10

Earnings expanding 226.7% YoY

Market CapQuality
$67.99B9/10

Large-cap with strong market position

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

WPP1 strengths · Avg: 8.0/10
Free Cash FlowQuality
$1.71B8/10

Generating 1.7B in free cash flow

Areas to Watch

WBD4 concerns · Avg: 2.5/10
Return on EquityProfitability
2.1%3/10

ROE of 2.1% — below average capital efficiency

Profit MarginProfitability
1.9%3/10

1.9% margin — thin

PEG RatioValuation
216.922/10

Expensive relative to growth rate

Revenue GrowthGrowth
-5.7%2/10

Revenue declined 5.7%

WPP4 concerns · Avg: 2.5/10
Operating MarginProfitability
2.2%3/10

Operating margin of 2.2%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
4.232/10

Expensive relative to growth rate

Return on EquityProfitability
-5.3%2/10

ROE of -5.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : WBD

The strongest argument for WBD centers on EPS Growth, Market Cap, Price/Book.

Bull Case : WPP

The strongest argument for WPP centers on Free Cash Flow.

Bear Case : WBD

The primary concerns for WBD are Return on Equity, Profit Margin, PEG Ratio. Thin 1.9% margins leave little buffer for downturns.

Bear Case : WPP

The primary concerns for WPP are Operating Margin, Piotroski F-Score, PEG Ratio. Debt-to-equity of 2.13 is elevated, increasing financial risk.

Key Dynamics to Monitor

WBD profiles as a value stock while WPP is a turnaround play — different risk/reward profiles.

WBD carries more volatility with a beta of 1.57 — expect wider price swings.

WBD is growing revenue faster at -5.7% — sustainability is the question.

WPP generates stronger free cash flow (1.7B), providing more financial flexibility.

Bottom Line

WBD scores higher overall (51/100 vs 32/100). WPP offers better value entry with a 75.6% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Warner Bros Discovery Inc

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Warner Bros. The company is headquartered in New York, New York.

WPP PLC ADR

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

WPP plc, a creative transformation company, provides communications, expertise, trade and technology services in North America, the UK, Western Continental Europe, Asia Pacific, Latin America, Africa, the Middle East, and Central and Eastern Europe. The company is headquartered in London, the United Kingdom.

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