Netflix’s War for Warner: Cash-Funded Bid Sparks Debt Concerns

Netflix stock fell about 4% as the company lined up an additional $8.2 billion in short‑term debt to fund an all‑cash bid for Warner Bros. Discovery’s assets, raising leverage and execution risk in a heated bidding war that also targets blocking Paramount Skydance (PSKY). The move prompted a pause in buybacks, but Netflix’s Q4 results beat estimates and long‑term prospects look brighter with larger content scale, potential ad revenue growth, and valuable IP. Analysts remain positive overall, with a Moderate Buy rating and upside potential around 43%.