TKO Group Holdings, Inc. (TKO)vsWarner Bros Discovery Inc (WBD)
TKO
TKO Group Holdings, Inc.
$190.31
+0.35%
COMMUNICATION SERVICES · Cap: $35.21B
WBD
Warner Bros Discovery Inc
$28.04
-0.57%
COMMUNICATION SERVICES · Cap: $70.70B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 581% more annual revenue ($36.12B vs $5.30B). TKO leads profitability with a 4.3% profit margin vs -8.8%. TKO appears more attractively valued with a PEG of 1.44. TKO earns a higher WallStSmart Score of 59/100 (C).
TKO
Buy59
out of 100
Grade: C
WBD
Hold36
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-26.7%
Fair Value
$166.08
Current Price
$190.31
$24.23 premium
Margin of Safety
+56.0%
Fair Value
$63.56
Current Price
$28.04
$35.52 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 32.4%
18.2% revenue growth
Large-cap with strong market position
Reasonable price relative to book value
Areas to Watch
ROE of 6.8% — below average capital efficiency
4.3% margin — thin
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
ROE of -9.6% — below average capital efficiency
Revenue declined 11.2%
Earnings declined 90.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : TKO
The strongest argument for TKO centers on Operating Margin, Revenue Growth. Revenue growth of 18.2% demonstrates continued momentum. PEG of 1.44 suggests the stock is reasonably priced for its growth.
Bull Case : WBD
The strongest argument for WBD centers on Market Cap, Price/Book.
Bear Case : TKO
The primary concerns for TKO are Return on Equity, Profit Margin, Debt/Equity. A P/E of 65.3x leaves little room for execution misses. Thin 4.3% 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 18.2% — sustainability is the question.
WBD generates stronger free cash flow (572M), providing more financial flexibility.
Bottom Line
TKO scores higher overall (59/100 vs 36/100) and 18.2% revenue growth. WBD offers better value entry with a 56.0% 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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