Shares of Warner Bros. Discovery jumped by nearly 15% over the past week as investors reacted to Netflix’s proposed $83 billion takeover of its film and television studios. Trading volume spiked to its highest level since the merger of Discovery and WarnerMedia last year, with daily volumes averaging 40 million shares versus a three-month average of 28 million. Despite these gains, 10 of 14 analysts covering the stock maintain a “hold” or “sell” rating, arguing that the share price now sits close to the implied takeover valuation and offers limited room for further appreciation without a competing bid or renegotiated terms.

In the latest trading session, Warner Bros. Discovery shares retreated by 1.19% on average market volume, underperforming the broader media sector, which gained 0.8%. Investors cited profit-taking following the recent acquisition-driven rally and lingering concerns over integration costs tied to the Discovery-WarnerMedia merger. Options data show put open interest rising by 22% over the past three sessions, suggesting some downside hedging by institutional investors.