TKO Group Holdings, Inc. (TKO)vsWarner Bros Discovery Inc (WBD)
TKO
TKO Group Holdings, Inc.
$203.49
+0.49%
COMMUNICATION SERVICES · Cap: $39.07B
WBD
Warner Bros Discovery Inc
$26.24
-2.81%
COMMUNICATION SERVICES · Cap: $67.98B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 635% more annual revenue ($37.21B vs $5.06B). TKO leads profitability with a 4.5% profit margin vs -4.7%. TKO appears more attractively valued with a PEG of 1.43. TKO earns a higher WallStSmart Score of 63/100 (C+).
TKO
Buy63
out of 100
Grade: C+
WBD
Hold46
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for TKO.
Margin of Safety
+58.0%
Fair Value
$66.65
Current Price
$26.24
$40.41 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 63.0% YoY
Strong operational efficiency at 21.2%
Revenue surging 25.9% year-over-year
Earnings expanding 226.7% YoY
Large-cap with strong market position
Reasonable price relative to book value
Areas to Watch
ROE of 6.7% — below average capital efficiency
4.5% margin — thin
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
ROE of -5.3% — below average capital efficiency
Revenue declined 1.0%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : TKO
The strongest argument for TKO centers on EPS Growth, Operating Margin, Revenue Growth. Revenue growth of 25.9% demonstrates continued momentum. PEG of 1.43 suggests the stock is reasonably priced for its growth.
Bull Case : WBD
The strongest argument for WBD centers on EPS Growth, Market Cap, Price/Book.
Bear Case : TKO
The primary concerns for TKO are Return on Equity, Profit Margin, Debt/Equity. A P/E of 75.7x leaves little room for execution misses. Thin 4.5% 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
TKO 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.
TKO is growing revenue faster at 25.9% — sustainability is the question.
TKO generates stronger free cash flow (675M), providing more financial flexibility.
Bottom Line
TKO scores higher overall (63/100 vs 46/100) and 25.9% 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.
TKO Group Holdings, Inc.
COMMUNICATION SERVICES · ENTERTAINMENT · USA
TKO Group Holdings, Inc. is a sports and entertainment company. The company is headquartered in New York, New York.
Warner Bros Discovery Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Warner Bros. The company is headquartered in New York, New York.
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