Warner Bros met with Paramount to discuss a potential deal
Warner Bros Discovery Inc (NASDAQ:WBD) stock is sliding today, after news that the company met with fellow entertainment name Paramount (PARA) to discuss a potential deal. WBD is down 4% at $11.18 at last glance.
The $11 level, which provided a ceiling of pressure through November, appears to be moving in as support. The stock's 80-day moving average also appears to have captured today's pullback. Since the start of the year, the equity is up 17.9%.
Options traders are eyeing the equity amid the news. So far today, 20,000 calls and 29,000 puts have been exchanged, which is three times the volume typically seen at this point. The weekly 12/22 12.50-strike put is the most popular, with new positions being opened there.