Skydance Slides 8% as Barclays Cuts Target to $7, Board Adds Kotick and Powell Jobs
SKYD is trading near its 52-week low of $7.62 (15% above the low).
Summary
Skydance shares fell another 8% on Wednesday, extending the post-merger slide as Barclays cut its price target to $7 from $8 and kept an Underweight rating. The downgrade follows the company's completion of its Warner Bros. Discovery acquisition, which loaded the combined entity with roughly $80 billion in debt. Management laid out aggressive targets—$6 billion in run-rate synergies within three years, net leverage of 3.0x by end-2029, and over $10 billion in free cash flow by 2030—but analysts remain skeptical. The company also added three directors, including Bobby Kotick and Laurene Powell Jobs, and reported strong debt tender participation with 98.83% of cash offers and 99.15% of exchange offers accepted. Settlement of the exchange offers is expected Friday.
At the time of this announcement, SKYD was trading at $8.74 on NYSE in the Technology sector, with a market capitalization of approximately $9.8B. The 52-week trading range was $7.62 to $19.22. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Benzinga.