Traders Snap Up Warner Bros. Options, Avoiding Long-Term Wagers

Options on Warner Bros. Discovery Inc. shares had the second-busiest day ever after the fight to take over the media conglomerate heated up on Monday. In a telling sign, however, traders avoided long-term wagers on the company’s fate.

Paramount Skydance Corp. made a hostile takeover bid of $30 a share in cash for Warner Bros. on Monday. That comes days after the studio owner agreed to a deal with Netflix Inc. for $27.75 in cash and stock.

But in a sign that options traders lacked conviction around who will win out as the battle over Hollywood’s future intensifies, just a ...