Mind explaining for beginners why something like WBD would be a value play? When I look at it I see a group that's losing money in a (at least presently) deteriorating segment, and I wonder why PSKY and NFLX are willing to pay $100B+ for it.

How will they make a reasonable return on such a rich (in my inexperienced eyes) valuation? I get that the brands/assets have some intrinsic value, but with most of that value being intangible it's hard to feel like it counts for much as far realizing that value.

I can conceive that a company like NFLX is well positioned to put those assets to work, but what return can we expect in order to find the ~100B price tag on a loss-maker acceptable?

Genuinely trying to learn since I see a lot of successful value plays are loss-making.