WallStSmart

Reading International Inc (RDI)vsTKO Group Holdings, Inc. (TKO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TKO Group Holdings, Inc. generates 2335% more annual revenue ($5.06B vs $207.94M). TKO leads profitability with a 4.5% profit margin vs -8.4%. TKO earns a higher WallStSmart Score of 63/100 (C+).

RDI

Avoid

28

out of 100

Grade: F

Growth: 3.3Profit: 2.0Value: 6.7Quality: 5.0
Piotroski: 4/9Altman Z: -0.21

TKO

Buy

63

out of 100

Grade: C+

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RDIUndervalued (+82.7%)

Margin of Safety

+82.7%

Fair Value

$6.43

Current Price

$1.17

$5.26 discount

UndervaluedFair: $6.43Overvalued

Intrinsic value data unavailable for TKO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RDI1 strengths · Avg: 10.0/10
Debt/EquityHealth
-14.1810/10

Conservative balance sheet, low leverage

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

Areas to Watch

RDI4 concerns · Avg: 2.3/10
Market CapQuality
$41.27M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3127.0%2/10

ROE of -3127.0% — below average capital efficiency

EPS GrowthGrowth
-29.0%2/10

Earnings declined 29.0%

Free Cash FlowQuality
$-2.98M2/10

Negative free cash flow — burning cash

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

Comparative Analysis Report

WallStSmart Research

Bull Case : RDI

The strongest argument for RDI centers on Debt/Equity. Revenue growth of 12.3% demonstrates continued momentum.

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.

Bear Case : RDI

The primary concerns for RDI are Market Cap, Return on Equity, EPS Growth.

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.

Key Dynamics to Monitor

RDI profiles as a turnaround stock while TKO is a growth play — different risk/reward profiles.

RDI carries more volatility with a beta of 0.80 — 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 28/100) and 25.9% revenue growth. RDI offers better value entry with a 82.7% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Reading International Inc

COMMUNICATION SERVICES · ENTERTAINMENT · USA

Reading International, Inc., focuses on the ownership, development and operation of real estate and entertainment in the United States, Australia and New Zealand. The company is headquartered in Culver City, California.

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.

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