Warner Bros. Discovery's (NASDAQ: WBD) stock price has declined more than 50% since it started trading as a stand-alone company on April 11. The new media giant, created through the merger of AT&T's WarnerMedia division with Discovery, failed to excite investors as macroeconomic headwinds throttled the growth of the broader media industry.

However, that steep sell-off reduced WBD's enterprise value to about $79 billion, or six times its estimated adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for 2023. Does that low valuation suggest it will bounce back quickly when the bear market finally ends? Let's review the bear and bull cases to decide.

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Source Fool.com