Lionsgate Studios Corp. (LION) vs Sphere Entertainment Co. (SPHR)

Lionsgate Studios Corp. and Sphere Entertainment Co. are both Entertainment companies. Lionsgate Studios Corp. and Sphere Entertainment Co. are of similar size ($3.9B and $3.8B). Sphere Entertainment Co. grew revenue faster over the last twelve months: 27.5% against 9.86%. Lionsgate Studios Corp. has the higher net margin (−4.11% vs −5.66%) and the higher return on invested capital (27.2% vs −3.93%). Across the 18 metrics below, Lionsgate Studios Corp. leads on 10 and Sphere Entertainment Co. on 8.

Valuation

Metric LION SPHR Entertainment median
P/E n/m n/m 28.64
P/S 1.29 2.90 1.38
P/B n/m 1.77 1.77
Price to free cash flow 38.20 10.96 17.74
EV/EBITDA 4.26 18.39 9.57
EV/Sales 1.80 3.07 1.76
Earnings yield (3.22%) (2.10%) (1.52%)
Free cash flow yield 2.62% 9.13% 3.70%

Profitability

Metric LION SPHR Entertainment median
Gross margin 100.00% 54.23% 45.11%
Operating margin 4.62% (11.41%) 2.30%
Net margin (4.11%) (5.66%) 0.00%
Free cash flow margin 3.37% 26.46% 4.34%
Return on equity 10.37% (3.38%) 2.40%
Return on assets (2.26%) (1.87%) 0.00%
Return on invested capital 27.20% (3.93%) 0.55%

Growth

Metric LION SPHR Entertainment median
Revenue growth (TTM) 9.86% 27.46% 6.81%
EPS growth (last fiscal year) 51.05% 113.02% 9.67%
Revenue growth, 5-year CAGR — (3.21%) 10.07%
Net income growth, 5-year CAGR — (28.74%) 0.00%

Health

Metric LION SPHR Entertainment median
Debt to equity (1.63) 0.35 0.46
Current ratio 0.44 1.22 1.06
Net debt to EBITDA 1.40 2.25 0.97

Dividend

Metric LION SPHR Entertainment median
Dividend yield — — 1.21%
Payout ratio — — 0.20

Size

Metric LION SPHR Entertainment median
Market cap 3.78b 3.91b 3.25b

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