WallStSmart

Alliance Entertainment Holding Corporation Class A Common Stock (AENT)vsWarner Bros Discovery Inc (WBD)

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Smart Verdict

WallStSmart Research — data-driven comparison

Warner Bros Discovery Inc generates 3256% more annual revenue ($37.21B vs $1.11B). AENT leads profitability with a 2.0% profit margin vs -4.7%. AENT earns a higher WallStSmart Score of 56/100 (C).

AENT

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 5.5Value: 5.0Quality: 6.5
Piotroski: 5/9Altman Z: 3.81

WBD

Hold

46

out of 100

Grade: D+

Growth: 5.3Profit: 3.5Value: 5.7Quality: 4.0
Piotroski: 4/9Altman Z: 0.70
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Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AENTSignificantly Overvalued (-58.7%)

Margin of Safety

-58.7%

Fair Value

$4.33

Current Price

$5.57

$1.24 premium

UndervaluedFair: $4.33Overvalued
WBDUndervalued (+58.0%)

Margin of Safety

+58.0%

Fair Value

$66.65

Current Price

$26.24

$40.41 discount

UndervaluedFair: $66.65Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AENT5 strengths · Avg: 8.4/10
Altman Z-ScoreHealth
3.8110/10

Safe zone — low bankruptcy risk

P/E RatioValuation
13.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
21.2%8/10

Revenue surging 21.2% year-over-year

EPS GrowthGrowth
24.8%8/10

Earnings expanding 24.8% YoY

WBD3 strengths · Avg: 9.0/10
EPS GrowthGrowth
226.7%10/10

Earnings expanding 226.7% YoY

Market CapQuality
$67.98B9/10

Large-cap with strong market position

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Areas to Watch

AENT3 concerns · Avg: 3.0/10
Market CapQuality
$300.75M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Operating MarginProfitability
1.4%3/10

Operating margin of 1.4%

WBD4 concerns · Avg: 2.0/10
PEG RatioValuation
216.922/10

Expensive relative to growth rate

Return on EquityProfitability
-5.3%2/10

ROE of -5.3% — below average capital efficiency

Revenue GrowthGrowth
-1.0%2/10

Revenue declined 1.0%

Free Cash FlowQuality
$-476.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AENT

The strongest argument for AENT centers on Altman Z-Score, P/E Ratio, Price/Book. Revenue growth of 21.2% demonstrates continued momentum.

Bull Case : WBD

The strongest argument for WBD centers on EPS Growth, Market Cap, Price/Book.

Bear Case : AENT

The primary concerns for AENT are Market Cap, Profit Margin, Operating Margin. Thin 2.0% margins leave little buffer for downturns.

Bear Case : WBD

The primary concerns for WBD are PEG Ratio, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

AENT profiles as a growth stock while WBD is a turnaround play — different risk/reward profiles.

WBD carries more volatility with a beta of 1.57 — expect wider price swings.

AENT is growing revenue faster at 21.2% — sustainability is the question.

AENT generates stronger free cash flow (21M), providing more financial flexibility.

Bottom Line

AENT scores higher overall (56/100 vs 46/100) and 21.2% revenue growth. WBD offers better value entry with a 58.0% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Alliance Entertainment Holding Corporation Class A Common Stock

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Alliance Entertainment Holding Corporation is a wholesaler, distributor, and e-commerce provider for the entertainment industry globally. The company is headquartered in Plantation, Florida.

Warner Bros Discovery Inc

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Warner Bros. The company is headquartered in New York, New York.

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