$Netflix(NFLX)$ The volume is merely 2 million shares, yet it can shift the stock by over one point. Can anyone identify who the major market maker is?
Total of 8.6 billion. That is a big swing. Financial Outcome for $Netflix(NFLX)$ Despite losing the acquisition, $Netflix(NFLX)$ benefited financially from the termination of the agreement: Breakup Fee Received: Because $Warner Bros. Discovery(WBD)$ chose a superior offer from a rival, it (via $Paramount Global(PARA)$ ) was required to pay $Netflix(NFLX)$ a $2.8 billion termination fee. Potential Risk: Had the deal fallen through due to $Netflix(NFLX)$ 's failure to secure regulatory approvals,
$Netflix(NFLX)$ I see the regulatory hurdle was the reason for their departure. With profits and growth hard to come by when competing against Netflix’s distribution empire, consolidation amongst the old media will persist. For these traditional players, intellectual property is the only negotiating tool they possess, and revenue from licensing to Netflix is set to outpace their own streaming revenue.
$Netflix(NFLX)$ It's like physics. For every action, there is an equal and opposite reaction. The Warner bidding took it from 115 to 75, and walking away from the bidding will take it from 75 to 115.
$Netflix(NFLX)$ really did the right thing by not buying WB. It would have been a disaster if they had. Instead, they came out on top with 2.8 billion. They deserve an award, I think.