WallStSmart

TKO Group Holdings, Inc. (TKO)vsWestern Digital Corporation (WDC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Western Digital Corporation generates 133% more annual revenue ($11.78B vs $5.06B). WDC leads profitability with a 55.3% profit margin vs 4.5%. WDC appears more attractively valued with a PEG of 0.58. WDC earns a higher WallStSmart Score of 80/100 (A-).

TKO

Buy

63

out of 100

Grade: C+

Growth: 9.3Profit: 5.5Value: 4.3Quality: 4.0
Piotroski: 3/9Altman Z: 1.33

WDC

Exceptional Buy

80

out of 100

Grade: A-

Growth: 7.3Profit: 9.5Value: 5.7Quality: 6.5
Piotroski: 5/9Altman Z: 1.51

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TKO3 strengths · Avg: 8.7/10
EPS GrowthGrowth
63.0%10/10

Earnings expanding 63.0% YoY

Operating MarginProfitability
21.2%8/10

Strong operational efficiency at 21.2%

Revenue GrowthGrowth
25.9%8/10

Revenue surging 25.9% year-over-year

WDC6 strengths · Avg: 10.0/10
Market CapQuality
$225.26B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
67.0%10/10

Every $100 of equity generates 67 in profit

Profit MarginProfitability
55.3%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
37.0%10/10

Strong operational efficiency at 37.0%

Revenue GrowthGrowth
45.5%10/10

Revenue surging 45.5% year-over-year

EPS GrowthGrowth
482.9%10/10

Earnings expanding 482.9% YoY

Areas to Watch

TKO4 concerns · Avg: 3.0/10
Return on EquityProfitability
6.7%3/10

ROE of 6.7% — below average capital efficiency

Profit MarginProfitability
4.5%3/10

4.5% margin — thin

Debt/EquityHealth
1.473/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

WDC3 concerns · Avg: 3.3/10
P/E RatioValuation
39.1x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.514/10

Distress zone — elevated risk

Price/BookValuation
27.5x2/10

Trading at 27.5x book value

Comparative Analysis Report

WallStSmart Research

Bull 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 : WDC

The strongest argument for WDC centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 55.3% and operating margin at 37.0%. Revenue growth of 45.5% demonstrates continued momentum.

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 : WDC

The primary concerns for WDC are P/E Ratio, Altman Z-Score, Price/Book.

Key Dynamics to Monitor

WDC carries more volatility with a beta of 2.20 — expect wider price swings.

WDC is growing revenue faster at 45.5% — sustainability is the question.

WDC generates stronger free cash flow (978M), providing more financial flexibility.

Monitor ENTERTAINMENT industry trends, competitive dynamics, and regulatory changes.

Bottom Line

WDC scores higher overall (80/100 vs 63/100), backed by strong 55.3% margins and 45.5% revenue growth. Both earn "Exceptional 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.

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.

Western Digital Corporation

TECHNOLOGY · COMPUTER HARDWARE · USA

Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.

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