National CineMedia Inc (NCMI)vsSpotify Technology SA (SPOT)
NCMI
National CineMedia Inc
$3.39
-5.04%
COMMUNICATION SERVICES · Cap: $331.14M
SPOT
Spotify Technology SA
$443.57
+2.16%
COMMUNICATION SERVICES · Cap: $106.65B
Smart Verdict
WallStSmart Research — data-driven comparison
Spotify Technology SA generates 6967% more annual revenue ($17.19B vs $243.20M). SPOT leads profitability with a 12.9% profit margin vs -4.4%. NCMI appears more attractively valued with a PEG of 0.70. NCMI earns a higher WallStSmart Score of 64/100 (C+).
NCMI
Buy64
out of 100
Grade: C+
SPOT
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+54.7%
Fair Value
$7.44
Current Price
$3.39
$4.05 discount
Margin of Safety
-47.4%
Fair Value
$330.58
Current Price
$443.57
$112.99 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Strong operational efficiency at 27.8%
Earnings expanding 20.8% YoY
Every $100 of equity generates 32 in profit
Earnings expanding 213.9% YoY
Large-cap with strong market position
Conservative balance sheet, low leverage
Areas to Watch
Smaller company, higher risk/reward
ROE of -2.7% — below average capital efficiency
Currently unprofitable
Expensive relative to growth rate
Trading at 9.3x book value
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : NCMI
The strongest argument for NCMI centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.70 suggests the stock is reasonably priced for its growth.
Bull Case : SPOT
The strongest argument for SPOT centers on Return on Equity, EPS Growth, Market Cap.
Bear Case : NCMI
The primary concerns for NCMI are Market Cap, Return on Equity, Profit Margin.
Bear Case : SPOT
The primary concerns for SPOT are PEG Ratio, Price/Book, P/E Ratio. A P/E of 42.2x leaves little room for execution misses.
Key Dynamics to Monitor
NCMI profiles as a turnaround stock while SPOT is a value play — different risk/reward profiles.
SPOT carries more volatility with a beta of 1.70 — expect wider price swings.
NCMI is growing revenue faster at 8.0% — sustainability is the question.
SPOT generates stronger free cash flow (834M), providing more financial flexibility.
Bottom Line
NCMI scores higher overall (64/100 vs 60/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
National CineMedia Inc
COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA
National CineMedia, Inc., through its subsidiary, National CineMedia, LLC, operates a theatrical advertising network in North America. The company is headquartered in Centennial, Colorado.
Spotify Technology SA
COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA
Spotify Technology SA, provides audio streaming services worldwide. The company is headquartered in Luxembourg, Luxembourg.
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