Latest news with #TimeWarner
The Star
09-06-2025
- Business
- The Star
From Time Inc to Discovery: Warner Bros breakup puts spotlight on checkered M&A history
FILE PHOTO: The Warner Bros logo is seen during the Cannes Lions International Festival of Creativity in Cannes, France, June 22, 2022. REUTERS/Eric Gaillard/ File Photo (Reuters) -Warner Bros Discovery, home to HBO and CNN, said on Monday it would split into two companies, the latest twist in its decades-long history of high-stakes mergers and breakups. Date Event 1922 Time Inc was founded by Henry Luce and Briton Hadden to house Time magazine, a weekly news publication that made world affairs accessible to the average reader. The first issue of Time magazine was published in March 1923. 1923 Warner Bros was founded by brothers Harry, Albert, Sam and Jack Warner as a film studio in Hollywood. It revolutionized cinema with the introduction of synchronized sound in films. 1969 Kinney National Company, a conglomerate that later transitioned into media, buys Warner Bros-Seven Arts and later spins off its non-media businesses. 1972 HBO is founded by Charles Dolan with backing from Time. It was the first U.S. subscription-based cable network, offering uncut, commercial-free movies and live sports, pioneering premium cable television. 1990 Time Inc merges with Warner Communications in a $14 billion deal, hailed as a "marriage of content and distribution," creating Time Warner, then the largest media company in the world. 1996 Time Warner merges with Turner Broadcasting, gaining Cartoon Network, CNN, TNT and a vast classic film library. 2000 Time Warner merges with AOL, forming AOL Time Warner, the largest merger in history at the time, aiming to merge traditional and digital media. 2002 AOL Time Warner merger begins to unravel as AOL's value collapses with the launch of an SEC investigation, prompted by allegations of accounting irregularities and inflated revenue reports at AOL. 2003 CEO Steve Case resigns from AOL Time Warner. 2004 Time Warner sells Warner Music to a private equity group led by Edgar Bronfman Jr. for $2.6 billion. 2009 Time Warner fully spins off Time Warner Cable, which had already been partially separated in 2007, ending its role in cable distribution. 2009 Time Warner spins off AOL. 2013 Time Warner spins off Time, its magazine division, which includes Time, People, Fortune and Sports Illustrated, marking its formal exit from publishing. 2016 AT&T announces acquisition of Time Warnerfor $85 billion. 2018 AT&T completes its acquisitionof Time Warner after regulator's approval, renaming it WarnerMedia. 2021 AT&T announced it would spin off WarnerMedia and merge it with Discovery Inc to create a new standalone media company. 2022 WarnerMedia and Discovery complete their merger in a $43 billion deal. 2025 Warner Bros Discovery announces it would separate into two companies — one focusing on streaming and studios businesses, while the second will house its cable TV assets. (Reporting by Kritika Lamba and Meghana Khare in Bengaluru; Editing by Alan Barona)
CNA
09-06-2025
- Business
- CNA
From Time Inc to Discovery: Warner Bros breakup puts spotlight on checkered M&A history
Warner Bros Discovery, home to HBO and CNN, said on Monday it would split into two companies, the latest twist in its decades-long history of high-stakes mergers and breakups. Date Event 1922 Time Inc was founded by Henry Luce and Briton publication that made world affairs accessible to the average reader. The first issue of Time magazine was published in March 1923. 1923 Warner Bros was founded by brothers Harry, Albert, Sam and Jack Warner as a film studio in Hollywood. It revolutionized cinema with the introduction of synchronized sound in films. 1969 Kinney National Company, a conglomerate that later transitioned into media, buys Warner Bros-Seven Arts and later spins off its non-media businesses. 1972 HBO is founded by Charles Dolan with backing from Time. It was the first U.S. subscription-based cable network, offering uncut, commercial-free movies and live sports, pioneering premium cable television. 1990 Time Inc merges with Warner Communications in a $14 billion deal, hailed as a "marriage of content and distribution," creating Time Warner, then the largest media company in the world. 1996 Time Warner merges with Turner Broadcasting, gaining Cartoon Network, CNN, TNT and a vast classic film library. 2000 Time Warner merges with AOL, forming AOL Time Warner, the largest merger in history at the time, aiming to merge traditional and digital media. 2002 AOL Time Warner merger begins to unravel as AOL's value collapses with the launch of an SEC investigation, prompted by allegations of accounting irregularities and inflated revenue reports at AOL. 2003 CEO Steve Case resigns from AOL Time Warner. 2004 Time Warner sells Warner Music to a private equity group led by Edgar Bronfman Jr. for $2.6 billion. 2009 Time Warner fully spins off Time Warner Cable, which had already been partially separated in 2007, ending its role in cable distribution. 2009 Time Warner spins off AOL. 2013 Time Warner spins off Time, its magazine division, which includes Time, People, Fortune and Sports Illustrated, marking its formal exit from publishing. 2016 AT&T announces acquisition of Time Warner for $85 billion. 2018 AT&T completes its acquisition of Time Warner after regulator's approval, renaming it WarnerMedia. 2021 AT&T announced it would spin off WarnerMedia and merge it with Discovery Inc to create a new standalone media company. 2022 WarnerMedia and Discovery complete their merger in a $43 billion deal. 2025 Warner Bros Discovery announces it would separate into two companies — one focusing on streaming and studios businesses, while the second will house its cable TV assets.
Bloomberg
28-05-2025
- Business
- Bloomberg
YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom
By For two decades, YouTube has tried to convince advertisers that it's the future of entertainment. The pitch has always been simple enough: 'Young people don't watch cable; they watch YouTube.' It doesn't exactly require a PowerPoint presentation. But YouTube has had problems making its case. The first is that the vast majority of videos on the site aren't filmed to Scorsese-like standards. 'The biggest knock against creator content is that it's low quality, s---, crap, slop, garbage,' Doug Shapiro, a former executive at Time Warner, wrote in December. That's sort of inconsequential, he argued, since most people aren't watching random YouTube slop—they're watching the most popular slop. Which leads to YouTube's second issue: The most watched channels haven't always been hospitable to advertisers.
Yahoo
25-05-2025
- Business
- Yahoo
Where Will AT&T Stock Be in 1 Year?
AT&T's stock price has risen as the company refocused on its core telecom business. The company has maintained a generous payout since slashing the dividend in 2022. Despite a modest valuation, investors will not necessarily consider its P/E ratio as inexpensive. 10 stocks we like better than AT&T › The 2020s did not start well for AT&T (NYSE: T) stock. In the 2010s, the company veered from the wireless-focused business models of its competitors and invested heavily in non-core businesses such as DirecTV satellite TV services and Time Warner entertainment. This was a costly mistake that ended with the company selling these enterprises at a massive loss and slashing its dividend after 35 straight years of increases. However, as it pivoted exclusively into a wireless and fiber focus, investors returned to AT&T, and the stock price has almost doubled since its lows in mid-2023. The question now is whether that growth can continue over the next year. Indeed, AT&T has become a more compelling investment since selling its non-core assets. As one of the three major telcos in the U.S., it maintains a strong position in a critical industry where Verizon Communications and T-Mobile US are its only competitors. Since spinning off non-core businesses, AT&T more closely resembles its competitors. About 70% of its revenue comes from its mobility business in the U.S. Just over one-fourth of its revenue comes from wireline enterprises, with a slight majority of those customers being other businesses. Just over 3% of its revenue comes from its operations in Latin America. Admittedly, the spinoffs did not change the fact that AT&T is a mature business, making it unlikely to interest growth-oriented investors. Still, income investors will like that its $1.11-per-share annual payout has remained stable since the 2022 dividend cut. Even with a rising stock price, the dividend yield is 4%, more than triple the S&P 500 average of 1.3%. Additionally, analysts forecast free cash flow of $16 billion, down from just under $18 billion in 2024. Still, since the dividend costs the company about $8.4 billion, AT&T will likely maintain this dividend and could eventually begin to resume payout hikes. As stated before, AT&T is no longer a growth business. However, its revenue for the first quarter of 2025 was just under $31 billion, a 2.5% yearly increase. Also, since revenue in 2024 fell 0.1%, the performance may have meant a slight recovery. Costs and expenses grew faster than revenue, but thanks to a $1.4 billion increase in the rise of equity from affiliates, net income attributable to AT&T was almost $4.4 billion, a 26% increase. Looking forward, AT&T expects steady growth, with revenue expected to rise by a low-single-digit percentage. It did not offer guidance on its profit increases, though consensus estimates point to an 8% pullback in profits before turning positive by 7% in 2026. Still, such growth did not stop the company from generating over 65% in total returns over the last year. Moreover, despite that increase, AT&T stock trades at a 17 P/E ratio compared to the S&P 500 average earnings multiple of 28. Objectively, that is not a high P/E ratio. Still, with profit struggles, it is unclear whether investors would perceive that multiple as inexpensive. That adds to the uncertainty surrounding AT&T stock in the near term. Over the next year, AT&T stock may struggle to beat the performance of the S&P 500. Admittedly, the gains over the last two years are impressive, and over time, its stock should continue moving higher. It may also be an excellent buy for income-oriented investors, as a refocus on telecom has meant that its free cash flows can easily cover the dividend and, possibly, payout hikes at a later time. However, AT&T remains a mature company that grows its revenue and profits slowly. That means it could struggle to draw growth investors, particularly with its comparatively high P/E ratio. The good news for its current shareholders is that a downturn in the near future is unlikely, making the stock a hold. Nonetheless, unless you're buying for income, it likely does not pay for investors to add shares at this time. Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $639,271!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $804,688!* Now, it's worth noting Stock Advisor's total average return is 957% — a market-crushing outperformance compared to 167% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 19, 2025 Will Healy has no position in any of the stocks mentioned. The Motley Fool recommends T-Mobile US and Verizon Communications. The Motley Fool has a disclosure policy. Where Will AT&T Stock Be in 1 Year? was originally published by The Motley Fool
Globe and Mail
25-05-2025
- Business
- Globe and Mail
Where Will AT&T Stock Be in 1 Year?
The 2020s did not start well for AT&T (NYSE: T) stock. In the 2010s, the company veered from the wireless-focused business models of its competitors and invested heavily in non-core businesses such as DirecTV satellite TV services and Time Warner entertainment. This was a costly mistake that ended with the company selling these enterprises at a massive loss and slashing its dividend after 35 straight years of increases. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » However, as it pivoted exclusively into a wireless and fiber focus, investors returned to AT&T, and the stock price has almost doubled since its lows in mid-2023. The question now is whether that growth can continue over the next year. The state of AT&T today Indeed, AT&T has become a more compelling investment since selling its non-core assets. As one of the three major telcos in the U.S., it maintains a strong position in a critical industry where Verizon Communications and T-Mobile US are its only competitors. Since spinning off non-core businesses, AT&T more closely resembles its competitors. About 70% of its revenue comes from its mobility business in the U.S. Just over one-fourth of its revenue comes from wireline enterprises, with a slight majority of those customers being other businesses. Just over 3% of its revenue comes from its operations in Latin America. Admittedly, the spinoffs did not change the fact that AT&T is a mature business, making it unlikely to interest growth-oriented investors. Still, income investors will like that its $1.11-per-share annual payout has remained stable since the 2022 dividend cut. Even with a rising stock price, the dividend yield is 4%, more than triple the S&P 500 average of 1.3%. Additionally, analysts forecast free cash flow of $16 billion, down from just under $18 billion in 2024. Still, since the dividend costs the company about $8.4 billion, AT&T will likely maintain this dividend and could eventually begin to resume payout hikes. AT&T's financials As stated before, AT&T is no longer a growth business. However, its revenue for the first quarter of 2025 was just under $31 billion, a 2.5% yearly increase. Also, since revenue in 2024 fell 0.1%, the performance may have meant a slight recovery. Costs and expenses grew faster than revenue, but thanks to a $1.4 billion increase in the rise of equity from affiliates, net income attributable to AT&T was almost $4.4 billion, a 26% increase. Looking forward, AT&T expects steady growth, with revenue expected to rise by a low-single-digit percentage. It did not offer guidance on its profit increases, though consensus estimates point to an 8% pullback in profits before turning positive by 7% in 2026. Still, such growth did not stop the company from generating over 65% in total returns over the last year. Moreover, despite that increase, AT&T stock trades at a 17 P/E ratio compared to the S&P 500 average earnings multiple of 28. Objectively, that is not a high P/E ratio. Still, with profit struggles, it is unclear whether investors would perceive that multiple as inexpensive. That adds to the uncertainty surrounding AT&T stock in the near term. AT&T stock in one year Over the next year, AT&T stock may struggle to beat the performance of the S&P 500. Admittedly, the gains over the last two years are impressive, and over time, its stock should continue moving higher. It may also be an excellent buy for income-oriented investors, as a refocus on telecom has meant that its free cash flows can easily cover the dividend and, possibly, payout hikes at a later time. However, AT&T remains a mature company that grows its revenue and profits slowly. That means it could struggle to draw growth investors, particularly with its comparatively high P/E ratio. The good news for its current shareholders is that a downturn in the near future is unlikely, making the stock a hold. Nonetheless, unless you're buying for income, it likely does not pay for investors to add shares at this time. Should you invest $1,000 in AT&T right now? Before you buy stock in AT&T, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and AT&T wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $639,271!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $804,688!* Now, it's worth noting Stock Advisor 's total average return is957% — a market-crushing outperformance compared to167%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 19, 2025
