Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Entertainment Industry Analysis

UpdatedMar 01, 2026
DataAggregated Company Financials
Companies165
  • 7D8.8%
  • 3M-7.1%
  • 1Y3.5%
  • YTD-2.1%

The Entertainment industry is up 8.8% in the last week, with Netflix up 22%. In the last 12 months, the industry was up 3.5%. Looking forward, earnings are forecast to grow by 20% annually.

Industry Valuation and Performance

Has the U.S. Entertainment Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 01 Mar 2026US$1.1tUS$288.8bUS$22.8b37x47.9x3.8x
Tue, 27 Jan 2026US$1.1tUS$283.5bUS$21.8b21.1x49x3.8x
Thu, 25 Dec 2025US$1.2tUS$281.4bUS$21.3b20.1x54.9x4.2x
Sat, 22 Nov 2025US$1.1tUS$279.0bUS$22.7b19.4x49.9x4.1x
Mon, 20 Oct 2025US$1.3tUS$274.7bUS$21.8b24.7x58.3x4.6x
Wed, 17 Sep 2025US$1.3tUS$276.9bUS$21.6b33.8x60.4x4.7x
Fri, 15 Aug 2025US$1.4tUS$295.2bUS$22.9b31x59.6x4.6x
Sun, 13 Jul 2025US$1.3tUS$288.7bUS$7.3b27.6x178.9x4.6x
Tue, 10 Jun 2025US$1.3tUS$288.4bUS$7.4b23.3x176.5x4.5x
Thu, 08 May 2025US$1.2tUS$286.6bUS$6.6b20.4x176.5x4.1x
Sat, 05 Apr 2025US$996.4bUS$282.5bUS$2.5b22.5x392.1x3.5x
Mon, 03 Mar 2025US$1.1tUS$287.3bUS$2.0b21.2x552.8x3.9x
Wed, 29 Jan 2025US$1.1tUS$286.0bUS$949.1m19x1146.6x3.8x
Fri, 27 Dec 2024US$1.1tUS$284.5bUS$16.4m20.4x64592.1x3.7x
Sun, 24 Nov 2024US$1.0tUS$284.7bUS$61.3m22.8x17038.6x3.7x
Tue, 22 Oct 2024US$957.8bUS$299.8bUS$1.7b23.8x564.5x3.2x
Thu, 19 Sep 2024US$895.4bUS$299.2bUS$1.0b19x853.5x3x
Sat, 17 Aug 2024US$866.2bUS$298.9bUS$1.1b21.4x759.5x2.9x
Mon, 15 Jul 2024US$852.4bUS$291.4bUS$7.7b14.3x111.1x2.9x
Wed, 12 Jun 2024US$854.5bUS$291.2bUS$7.8b14.5x109.8x2.9x
Fri, 10 May 2024US$835.6bUS$291.3bUS$9.5b22.2x87.6x2.9x
Sun, 07 Apr 2024US$865.0bUS$288.0bUS$9.3b19.2x93.2x3x
Tue, 05 Mar 2024US$839.4bUS$286.8bUS$9.4b15x89.5x2.9x
Thu, 01 Feb 2024US$875.8bUS$297.0bUS$8.1b19.8x108.6x2.9x
Sat, 30 Dec 2023US$837.0bUS$297.3bUS$7.1b19.8x118.5x2.8x
Mon, 27 Nov 2023US$846.1bUS$297.0bUS$6.9b20.9x123.1x2.8x
Wed, 25 Oct 2023US$741.4bUS$288.0bUS$1.5b20.9x509.2x2.6x
Fri, 22 Sep 2023US$717.5bUS$287.5bUS$1.2b20.1x583.5x2.5x
Sun, 20 Aug 2023US$735.8bUS$287.7b-US$15,290,264.0026.2x-48121.4x2.6x
Tue, 18 Jul 2023US$797.4bUS$280.3b-US$2,349,989,260.0028.9x-339.3x2.8x
Thu, 15 Jun 2023US$785.9bUS$279.7b-US$2,207,070,201.0020x-356.1x2.8x
Sat, 13 May 2023US$723.6bUS$280.6b-US$2,760,130,953.0020.6x-262.2x2.6x
Mon, 10 Apr 2023US$758.8bUS$266.9b-US$1,081,490,797.0022.4x-701.6x2.8x
Wed, 08 Mar 2023US$721.7bUS$265.7b-US$2,764,350,063.0028.1x-261.1x2.7x
Price to Earnings Ratio

-261.1x


Total Market Cap: US$721.7bTotal Earnings: -US$2,764,350,063.00Total Revenue: US$265.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Entertainment Industry Price to Earnings3Y Average -68173.3x202420252026
Current Industry PE
  • Investors are optimistic on the American Entertainment industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 47.9x which is higher than its 3-year average PE of -68kx.
  • The 3-year average PS ratio of 3.4x is lower than the industry's current PS ratio of 3.8x.
Past Earnings Growth
  • Total earnings for the Entertainment industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 2.8% per year.
  • This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Telecom industry?

US Market-0.57%
Telecom0.49%
Entertainment8.85%
Movies and Entertainment9.42%
Interactive Home Entertainment5.16%
Industry PE
  • Investors are most optimistic about the Movies and Entertainment industry even though it's trading below its 3-year average PE ratio of 51.7x.
    • Analysts are expecting annual earnings growth of 16.0%, which is higher than its past year's earnings decline of 3.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Interactive Home Entertainment industry, expecting annual earnings growth of 44% over the next 5 years.
  • This is better than its past earnings decline of 8.3% per year.
  • In contrast, the Movies and Entertainment industry is expected to see its earnings grow by 16% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
NFLX NetflixUS$96.2422.3%
+US$74.2b		-1.9%PE37x
SPOT Spotify TechnologyUS$514.945.0%
+US$5.0b		-15.3%PE40.5x
RBLX RobloxUS$68.6610.7%
+US$4.7b		7.9%PS9.9x
TTWO Take-Two Interactive SoftwareUS$211.485.9%
+US$2.2b		-0.2%PS6x
ROKU RokuUS$98.4110.5%
+US$1.4b		17.8%PE164.2x

Latest News

TKO
US$223.87
TKO Group Holdings
7D
6.0%
1Y
48.6%
NFLX
US$96.24
Netflix
7D
22.3%
1Y
-1.9%

Netflix (NFLX): The Discipline Play – Capitalizing on Content Scale and Strategic Restraint

Netflix (NFLX) has proven that in the "Streaming Wars," discipline is just as valuable as content. Following a high-volatility month, the stock surged 12.5% on Friday, February 27, 2026, closing at $95.21 after the company officially walked away from its high-stakes bidding war for Warner Bros.
SPOT
US$514.94
Spotify Technology
7D
5.0%
1Y
-15.3%

Spotify (SPOT): The Audio Super-Platform – Scaling Profitability in the "Year of Raising Ambition"

Spotify Technology (SPOT) has decisively silenced the skeptics who questioned its ability to turn massive scale into meaningful profit. Following its Q4 fiscal 2025 earnings report on February 10, 2026 , the stock experienced a powerful 12% surge , eventually stabilizing around $511.84 as of February 27.
WBD
US$28.17
Warner Bros. Discovery
7D
-2.0%
1Y
145.8%
TTWO
US$211.48
Take-Two Interactive Software
7D
5.9%
1Y
-0.2%

Take Two Interactive Software TTWO Valuation Analysis

Company Overview and Investment Thesis Take Two Interactive Software, Inc. NASDAQ: TTWO currently presents a favourable risk reward profile for portfolios allocating capital to the interactive entertainment sector.
PLTK
US$3.09
Playtika Holding
7D
-11.0%
1Y
-41.5%
IQ
US$1.60
iQIYI
7D
-12.1%
1Y
-23.1%
SEAT
US$5.96
Vivid Seats
7D
-21.5%
1Y
-92.8%
WMG
US$28.60
Warner Music Group
7D
-4.3%
1Y
-15.1%

WMG: AI Threats Will Ultimately Support Stronger Long Term Cash Generation

Analysts have slightly trimmed their price target on Warner Music Group to $37.44, reflecting a modestly higher discount rate and a small uptick in expected profit margin, while also factoring in fresh views on AI related risks and recent mixed research commentary. Analyst Commentary Recent research on Warner Music Group reflects a mix of optimism around the core business and caution around emerging risks, especially related to AI generated music.
LYV
US$162.14
Live Nation Entertainment
7D
-0.3%
1Y
13.1%

LYV: Venue Expansion And DOJ Resolution Talks Will Drive Future Upside

Analysts have raised their implied fair value estimate for Live Nation Entertainment to about $178.90 from roughly $169.71, citing higher modeled revenue growth, a richer future P/E assumption and confidence in the concert ownership and venue expansion plans, while still factoring in pressure on ticketing margins and regulatory commitments. Analyst Commentary Recent Street research on Live Nation points to a generally constructive tone, with most firms focusing on execution around concerts and venues, while still flagging regulatory and North America growth risks that could affect how the stock is valued.
DIS
US$106.04
Walt Disney
7D
0.4%
1Y
-6.8%

The happiest company on Earth, also perennially misunderstood.

When I first purchased shares in Disney, back in 2016, the narrative was all focused-on cord-cutting at ESPN. Since that time, it has shifted frequently.
MSGE
US$63.14
Madison Square Garden Entertainment
7D
-0.9%
1Y
82.9%

MSGE: Future Returns Will Rely On Scarce Premium Events And Holiday Demand

Analysts have lifted their average price target on Madison Square Garden Entertainment by several dollars to reflect recent target raises across the Street, citing factors such as record 2025 Christmas Spectacular attendance and expectations that scarcity and premiumization will continue to support the business. Analyst Commentary Recent research on Madison Square Garden Entertainment has centered on how scarcity of premium live events and strong holiday performance may influence the company’s valuation and execution.
TME
US$14.60
Tencent Music Entertainment Group
7D
-3.9%
1Y
19.8%

TME: Core Paying Users Will Support Future Recovery From Competitive Concerns

Analysts have made a small upward adjustment to their fair value estimate for Tencent Music Entertainment Group to $30.90 from $30.26, reflecting updated views on revenue growth, profit margins, and future P/E after recent research that kept a Neutral stance and highlighted steady user-paying fundamentals despite competitive noise from Bytedance's Soda Music. Analyst Commentary Recent commentary from bullish analysts has centered on how Tencent Music Entertainment Group's core business model and user-paying proposition remain intact, even as competition from Bytedance's Soda Music attracts attention.
RBLX
US$68.66
Roblox
7D
10.7%
1Y
7.9%

RBLX: Engagement Trends And Content Cycles Will Drive Earnings And Regulatory Risk

Analysts have trimmed their fair value estimate for Roblox to $67, reflecting a series of lower Street price targets as they moderate assumptions on revenue growth, long term margins and future P/E, while still acknowledging supportive engagement trends and select rating upgrades. Analyst Commentary Recent research on Roblox has leaned cautious, with many Bearish analysts cutting price targets even as some firms highlight constructive engagement trends and select upgrades.
ROKU
US$98.41
Roku
7D
10.5%
1Y
17.8%

ROKU: Neutral Platform Positioning Will Support Expanding Profitability Into 2026

The updated analyst price target for Roku has increased from $115.48 to $127.44. This change reflects recent Street research indicating stronger expected revenue growth, higher projected profit margins, and a lower assumed discount rate, supported by views on the company’s platform positioning and earnings outlook.
FWON.K
US$91.59
Formula One Group
7D
1.5%
1Y
-5.0%

FWON.K: Third Party Race Promotion And 2026 Deals Will Drive Upside

Analysts have nudged their fair value estimate for Formula One Group down from about $139 to $135. This reflects slightly higher discount rate assumptions, more cautious revenue growth expectations, and a lower future P/E multiple, partly offset by stronger projected profit margins and recent positive research that includes higher price targets and an upgrade to Outperform.