Netflix Inc. (NASDAQ:NFLX) is among the best stocks you’ll want to buy sooner.

On Friday, December 5, Netflix Inc. (NASDAQ:NFLX) announced the acquisition of Warner Bros. Discovery (NASDAQ:WBD) in a cash and stock deal. The enterprise value (EV) of the deal is about $82.7 billion and the equity value is $72 billion, substantially higher than Paramount’s initial offer of $60 billion, which WBD had rejected. The EV includes $10.7 billion in debt from Warner Bros.

Under the deal, Netflix Inc. (NASDAQ: NFLX ) will pay shareholders of Warner Bros. $23.25 in cash and $4.50 in Netflix common stock, making the value per share $27.75 for WBD’s equity. Of the total equity value, cash represents 84%, or $60.3 billion, and the company plans to finance that portion with $10.3 billion in cash on hand and $50 billion in acquisition debt. $11.7 billion in stock to be paid.

The transaction is expected to close within 12-18 months, and prior to the deal closing, Warner Bros. complete the spin-off of its network division, which includes cable channels such as TNT, CNN and TBS.

Management expects the deal to provide “at least $2 billion to $3 billion” in annual cost savings by the third year and accretive to GAAP EPS in the second full year.

Earlier on Dec. 3, Reuters reported that Netflix may be looking to push the idea of ​​cutting costs by combining its streaming services with HBO Max to bolster its case for acquiring Warner Bros. Discovery.

While neither company has confirmed or commented on the development, Reuters cited sources close to the negotiations that, by proposing lower costs, Netflix Inc. (NASDAQ:NFLX) is trying to ease regulatory concerns that combining two of the biggest streaming services will hurt competition and raise prices.

While the bidding war intensified in recent weeks, analysts remained bullish on Netflix Inc. (NASDAQ:NFLX), with more than two-thirds of analysts covering it with a buy rating or equivalent. At the time of writing, the latest rating update was from Rosenblatt Securities analyst Barton Crockett, who reaffirmed a Buy rating on Netflix on November 28. He also slightly revised his price target to $152, down from $153.

Netflix Inc. (NASDAQ: NFLX) is a global streaming entertainment platform that delivers on-demand media content to more than 190 countries through a subscription-based model.

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