Leisure & Entertainment Industry Report
Market Cap: $399.6B
Stocks: 60
Median P/E: 16.1x
Median ROIC: 5.2%
Data sourced from SEC EDGAR filings. Report refreshed weekly.
Part of the Consumer Cyclical sector.
Performance Dashboard
| Period | Sector (MCW) | Sector (Median) |
|---|---|---|
| 1 Day | +0.6% | 0.0% |
| 1 Week | -0.3% | +1.1% |
| 1 Month | — | — |
| 3 Months | — | — |
| 6 Months | — | — |
| YTD | +0.8% | +1.0% |
| 1 Year | +13.1% | +2.0% |
| 3 Years | +49.9% | -2.3% |
| 5 Years | -0.7% | -12.3% |
Today's Breadth: 20 advancing · 20 declining · 6 flat
Valuation Summary
| Metric | Median | P25 | P75 | vs 5Y Avg |
|---|---|---|---|---|
| P/E | 16.1x | 1.7x | 34.2x | -22% |
| P/B | 1.6x | 0.5x | 4.0x | -13% |
| P/S | 1.1x | 0.6x | 2.2x | — |
| P/FCF | 11.9x | 7.2x | 26.2x | — |
| EV/EBITDA | 12.4x | 8.5x | 18.6x | — |
| EV/EBIT | 16.5x | 11.1x | 22.1x | — |
Earnings Yield
4.5%
FCF Yield
4.5%
Below Fair Value
57% of stocks
Profitability Profile
Margins
| Metric | Median | 5Y Avg | P25 | P75 |
|---|---|---|---|---|
| Gross Margin | 46.7% | 44.2% | 34.7% | 61.7% |
| Operating Margin | 7.9% | — | -1.7% | 16.0% |
| Net Margin | 2.9% | 0.5% | -4.8% | 7.4% |
| FCF Margin | 8.3% | — | -3.3% | 12.7% |
Returns on Capital
| Metric | Median | 5Y Avg | P25 | P75 |
|---|---|---|---|---|
| ROE | 4.1% | — | -11.5% | 13.7% |
| ROA | 0.8% | — | -5.5% | 5.8% |
| ROIC | 5.2% | 3.0% | -3.5% | 12.6% |
Growth Metrics
| Metric | 1Y | 3Y CAGR | 5Y CAGR |
|---|---|---|---|
| Revenue | +7.3% | +7.6% | +8.4% |
| EPS | +26.0% | +0.1% | +14.6% |
| Free Cash Flow | +25.5% | -0.0% | +9.8% |
All values represent sector median growth rates.
Balance Sheet Health
Debt / Equity
0.6x
Net Debt / EBITDA
1.7x
Interest Coverage
3.1x
Current Ratio
1.0x
Altman Z-Score
Safe (>3): 11 (20%)
Gray (1.8–3): 12 (22%)
Distress (<1.8): 31 (57%)
Piotroski F-Score
Strong (7–9): 14 (23%)
Moderate (4–6): 36 (60%)
Weak (0–3): 10 (17%)
Top Companies
| Symbol | #▲ | Mkt Cap | P/E | EV/EBITDA | ROIC | Net Mgn | Rev Gr. | Div Yld | YTD | Qual. |
|---|---|---|---|---|---|---|---|---|---|---|
| DIS | 1 | $183.2B | 16.2x | 10.4x | 12.2% | 13.1% | +3.4% | 0.5% | +0.9% | 4/9 |
| LYV | 2 | $38.9B | — | 17.2x | — | 2.0% | +8.8% | — | -2.8% | 3/9 |
| DKNG | 3 | $19.9B | — | 116.9x | 0.3% | 0.1% | +27.0% | — | +9.3% | 1/9 |
| WMG | 4 | $17.4B | 47.6x | 19.1x | 12.7% | 5.4% | +4.4% | 2.2% | -3.1% | 4/9 |
| TKO | 5 | $16.9B | 96.2x | 33.6x | 11.3% | 4.1% | -3.0% | 1.0% | -2.0% | 4/9 |
| EVOK-L | 6 | $13.5B | -1.4x | — | — | -10.9% | +5.1% | — | — | 3/9 |
| LLYVK | 7 | $9.2B | — | — | -5.8% | -22.8% | +12.2% | — | — | 0/9 |
| PLNT | 8 | $9.1B | 41.6x | 15.9x | 18.4% | 16.6% | +12.1% | — | +0.6% | 3/9 |
| LLYVA | 9 | $9.0B | — | — | -5.8% | -22.8% | +12.2% | — | — | 0/9 |
| MSGS | 10 | $8.0B | — | 279.3x | 1.1% | -2.2% | +1.2% | 3.4% | +2.0% | 1/9 |
| LTH | 11 | $6.3B | 16.1x | 9.2x | 8.7% | 12.5% | +14.3% | — | +1.3% | 3/9 |
| GOLF | 12 | $5.9B | 26.7x | 16.7x | 14.3% | 7.4% | +4.1% | 1.1% | +1.5% | 5/9 |
| SPHR | 13 | $5.8B | 126.3x | 42.4x | 1.2% | 2.7% | +18.8% | — | +1.3% | 1/9 |
| SGHC | 14 | $5.5B | 26.9x | 9.8x | 34.3% | 6.7% | +18.2% | 1.5% | -1.9% | 3/9 |
| RSI | 15 | $5.0B | 62.9x | — | 77.4% | 2.9% | +22.8% | — | -1.4% | 2/9 |
| MTN | 16 | $4.8B | 20.4x | 2.4x | 11.4% | 9.4% | +2.7% | 5.8% | +3.3% | 5/9 |
| GVC-VI | 17 | $3.9B | -11.3x | — | -3.9% | -8.9% | +9.4% | 1.2% | — | 2/9 |
| BATRA | 18 | $3.1B | — | 55.6x | -2.2% | -3.2% | +10.5% | — | +1.6% | 0/9 |
| YETI | 19 | $3.0B | 22.9x | 13.7x | — | 8.8% | +2.1% | — | +2.9% | 5/9 |
| MSGE | 20 | $3.0B | 52.6x | 14.0x | 8.4% | 4.0% | -1.7% | — | +2.3% | 1/9 |
Industry Composition
| Industry | Stocks | Market Cap | % | |
|---|---|---|---|---|
| Services-Miscellaneous Amusement & Recreation | 20 | $237.6B | 59.5% | |
| Services-Amusement & Recreation Services | 17 | $106.8B | 26.7% | |
| Gambling, Resorts & Casinos | 5 | $19.2B | 4.8% | |
| Services-Membership Sports & Recreation Clubs | 3 | $18.0B | 4.5% | |
| Sporting & Athletic Goods, Nec | 10 | $16.9B | 4.2% | |
| Leisure | 5 | $1.2B | 0.3% |
Quality Distribution
0
1
2
3
4
5
6
7
8
9
Quality Score (0-9)
High Quality (7+)
2%
Median Piotroski F
6/9
Profitable Years
4 of 10
Dividends & Shareholder Returns
Paying Dividends
38%
Median Div Yield
2.0%
Median Buyback Yield
0.1%
Shareholder Yield
1.4%
Payout Ratio
30.2%
Div Growth (3Y)
21.8%
Div Growth (5Y)
9.8%
Strengths & Weaknesses
Strengths
- +[Valuation]Attractive valuations: current median P/E of 16.1x is 21.9% below the 5-year average, presenting potential value opportunity.
Weaknesses
- −[Financial Health]57.4% of companies fall in the Altman Z-Score distress zone (<1.8), indicating elevated bankruptcy risk within the sector.
- −[Leverage]Tight interest coverage at 3.1x, leaving limited cushion for debt servicing if earnings decline.
- −[Profitability]Below-average capital returns with a median ROIC of 5.2%, suggesting limited pricing power or capital-intensive operations.
- −[Profitability]Razor-thin net margins at a median of 2.9%, leaving little room for execution error or economic downturn.