Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Warner Bros. Discovery (NASDAQ: WBD) and the best and worst performers in the consumer discretionary - media industry.

The Consumer Discretionary sector, by definition, is made up of companies selling non-essential goods and services. When economic conditions deteriorate or tastes shift, consumers can easily cut back or eliminate these purchases. For long-term investors with five-year holding periods, this creates a structural challenge: the sector is inherently hit-driven, with low switching costs and fickle customers. As a result, only a handful of companies can reliably grow demand and compound earnings over long periods, which is why our bar is high and High Quality ratings are rare. Media companies create, aggregate, and distribute content—including news, entertainment, and advertising—across television, print, digital, and out-of-home channels. Tailwinds include growing digital advertising budgets, content licensing opportunities, and global audience expansion through streaming and social platforms. Headwinds are substantial: traditional advertising revenue from print and linear TV continues its structural decline as audiences migrate to digital alternatives. Content creation costs are escalating amid intense competition for talent and intellectual property. Media fragmentation makes it difficult to build sustainable audience scale, while AI-generated content threatens to commoditize production and disrupt established business models.

The 7 consumer discretionary - media stocks we track reported a satisfactory Q3. As a group, revenues beat analysts’ consensus estimates by 40.7%.

While some consumer discretionary - media stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.3% since the latest earnings results.

Weakest Q3: Warner Bros. Discovery (NASDAQ: WBD)

Formed from the merger of WarnerMedia and Discovery, Warner Bros. Discovery (NASDAQ: WBD) is a multinational media and entertainment company, offering television networks, streaming services, and film and television production.

Warner Bros. Discovery reported revenues of $9.05 billion, down 6% year on year. This print fell short of analysts’ expectations by 1.9%. Overall, it was a mixed quarter for the company with an impressive beat of analysts’ adjusted operating income estimates but EPS in line with analysts’ estimates.

Warner Bros. Discovery delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. Interestingly, the stock is up 27.2% since reporting and currently trades at $28.95.

Is now the time to buy Warner Bros. Discovery? Access our full analysis of the earnings results here, it’s free.

Best Q3: Warner Music Group (NASDAQ: WMG)

Launching the careers of legendary artists like Frank Sinatra, Warner Music Group (NASDAQ: WMG) is a music company managing a diverse portfolio of artists, recordings, and music publishing services worldwide.

Warner Music Group reported revenues of $1.84 billion, up 10.4% year on year, outperforming analysts’ expectations by 4.1%. The business had a strong quarter with a solid beat of analysts’ EBITDA estimates and an impressive beat of analysts’ revenue estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 4.4% since reporting. It currently trades at $26.96.

Is now the time to buy Warner Music Group? Access our full analysis of the earnings results here, it’s free.

The New York Times (NYSE: NYT)

Founded in 1851, The New York Times (NYSE: NYT) is an American media organization known for its influential newspaper and expansive digital journalism platforms.

The New York Times reported revenues of $802.3 million, up 10.4% year on year, exceeding analysts’ expectations by 1.4%. Still, it was a mixed quarter as it posted a miss of analysts’ EBITDA estimates.

Interestingly, the stock is up 8% since the results and currently trades at $78.00.

Read our full analysis of The New York Times’s results here.

fuboTV (NYSE: FUBO)

Originally launched as a soccer streaming platform, fuboTV (NYSE: FUBO) is a video streaming service specializing in live sports, news, and entertainment content.

fuboTV reported revenues of $1.55 billion, up 249% year on year. This number surpassed analysts’ expectations by 279%. Aside from that, it was a satisfactory quarter as it also recorded an impressive beat of analysts’ revenue estimates but a significant miss of analysts’ EPS estimates.

fuboTV delivered the biggest analyst estimates beat and fastest revenue growth among its peers. The stock is down 48.2% since reporting and currently trades at $1.18.

Read our full, actionable report on fuboTV here, it’s free.

Disney (NYSE: DIS)

Founded by brothers Walt and Roy, Disney (NYSE: DIS) is a multinational entertainment conglomerate, renowned for its theme parks, movies, television networks, and merchandise.

Disney reported revenues of $25.98 billion, up 5.2% year on year. This print topped analysts’ expectations by 0.8%. Overall, it was a strong quarter as it also produced a solid beat of analysts’ adjusted operating income estimates and a beat of analysts’ EPS estimates.

The stock is down 6.8% since reporting and currently trades at $105.16.

Read our full, actionable report on Disney here, it’s free.

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