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U.S. Entertainment Industry Analysis

UpdatedMay 03, 2026
DataAggregated Company Financials
Companies156
  • 7D-2.1%
  • 3M-0.3%
  • 1Y-6.7%
  • YTD-8.4%

Over the last 7 days, the Entertainment industry has dropped 2.1%, driven by a pullback from Spotify Technology of 15%. Meanwhile, Roku actually outperformed within the industry, gaining 7.3% in the last week. However, the industry is down 6.7% over the past year. As for the next few years, earnings are expected to grow by 17% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 03 May 2026US$1.0tUS$290.6bUS$25.8b29x39.5x3.5x
Tue, 31 Mar 2026US$999.9bUS$287.4bUS$23.0b34.8x43.6x3.5x
Thu, 26 Feb 2026US$1.0tUS$287.1bUS$22.5b31.8x45.2x3.5x
Sat, 24 Jan 2026US$1.1tUS$283.4bUS$21.8b21.1x50.2x3.9x
Mon, 22 Dec 2025US$1.2tUS$281.3bUS$21.3b20.5x54.5x4.1x
Wed, 19 Nov 2025US$1.2tUS$279.0bUS$22.7b21.4x52.8x4.3x
Fri, 17 Oct 2025US$1.3tUS$274.8bUS$21.8b25.8x58.8x4.7x
Sun, 14 Sep 2025US$1.3tUS$274.8bUS$21.8b35.6x59x4.7x
Tue, 12 Aug 2025US$1.3tUS$293.5bUS$22.3b30.1x59.5x4.5x
Thu, 10 Jul 2025US$1.4tUS$288.8bUS$7.3b29.3x184.4x4.7x
Sat, 07 Jun 2025US$1.3tUS$288.3bUS$7.3b22.3x179x4.6x
Mon, 05 May 2025US$1.2tUS$284.9bUS$3.3b24.8x354x4.1x
Wed, 02 Apr 2025US$1.1tUS$282.3bUS$2.5b25x416.9x3.7x
Fri, 28 Feb 2025US$1.1tUS$287.5bUS$2.4b24.5x477.4x3.9x
Sun, 26 Jan 2025US$1.1tUS$286.1bUS$954.2m20x1119.5x3.7x
Tue, 24 Dec 2024US$1.0tUS$284.5bUS$16.6m18.4x63009.1x3.7x
Thu, 21 Nov 2024US$1.0tUS$284.9bUS$182.7m21.5x5605.5x3.6x
Sat, 19 Oct 2024US$921.6bUS$300.0bUS$1.7b23.9x538.9x3.1x
Mon, 16 Sep 2024US$884.4bUS$299.1bUS$1.0b16.7x850.5x3x
Wed, 14 Aug 2024US$839.7bUS$298.0bUS$1.7b18.3x481.7x2.8x
Fri, 12 Jul 2024US$860.3bUS$291.3bUS$7.7b14.3x112.1x3x
Sun, 09 Jun 2024US$850.8bUS$291.3bUS$7.8b14.7x109.3x2.9x
Tue, 07 May 2024US$858.0bUS$290.4bUS$10.9b20.4x78.7x3x
Thu, 04 Apr 2024US$860.2bUS$288.0bUS$9.3b18.8x92.7x3x
Sat, 02 Mar 2024US$825.1bUS$292.6bUS$10.3b13.7x80.2x2.8x
Mon, 29 Jan 2024US$884.5bUS$297.0bUS$8.0b20.1x111x3x
Wed, 27 Dec 2023US$831.0bUS$297.1bUS$7.0b19.6x118.2x2.8x
Fri, 24 Nov 2023US$839.2bUS$296.8bUS$6.9b20.9x121.9x2.8x
Sun, 22 Oct 2023US$741.3bUS$287.9bUS$1.5b20.9x506.5x2.6x
Tue, 19 Sep 2023US$739.7bUS$286.4bUS$865.0m20.8x855.1x2.6x
Thu, 17 Aug 2023US$750.3bUS$287.6b-US$82,333,389.0027x-9113.3x2.6x
Sat, 15 Jul 2023US$797.2bUS$280.4b-US$2,323,755,633.0021.5x-343.1x2.8x
Mon, 12 Jun 2023US$764.6bUS$279.8b-US$2,186,936,749.0018.6x-349.6x2.7x
Wed, 10 May 2023US$744.0bUS$278.0b-US$3,191,438,831.0020.5x-233.1x2.7x
Price to Earnings Ratio

-233.1x


Total Market Cap: US$744.0bTotal Earnings: -US$3,191,438,831.00Total Revenue: US$278.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Entertainment Industry Price to Earnings3Y Average -68139.8x202420252026
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 39.5x which is higher than its 3-year average PE of -68kx.
  • The industry is trading close to its 3-year average PS ratio of 3.4x.
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 remained mostly flat. This means that the industry has become more efficient since profits are increasing while sales have been flat.

Industry Trends

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

US Market0.85%
Telecom4.03%
Entertainment-2.13%
Movies and Entertainment-1.70%
Interactive Home Entertainment-5.13%
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 68.2x.
    • Analysts are expecting annual earnings growth of 13.7%, which is lower than the prior year's growth of 45.4% per year.
Forecasted Growth
  • Analysts are most optimistic on the Interactive Home Entertainment industry, expecting annual earnings growth of 40% over the next 5 years.
  • This is better than its past earnings decline of 21% per year.
  • In contrast, the Movies and Entertainment industry is expected to see its earnings grow by 14% 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
ROKU RokuUS$123.587.3%
+US$1.2b		100.8%PE206.6x
TTWO Take-Two Interactive SoftwareUS$216.032.5%
+US$977.7m		-1.6%PS6.1x
DIS Walt DisneyUS$103.080.5%
+US$850.3m		11.4%PE14.9x
SPHR Sphere EntertainmentUS$144.7310.2%
+US$474.0m		415.8%PE153.8x
LYV Live Nation EntertainmentUS$158.251.0%
+US$374.6m		18.3%PS1.5x

Latest News

RBLX
US$45.13
Roblox
7D
-19.5%
1Y
-39.1%

RBLX: Long Term Engagement And Creator Ecosystem Will Support Future Upside

Roblox's analyst price target has been reset lower, with the fair value estimate moving from about $104 to $80 as analysts temper their revenue growth, profit margin and future P/E assumptions following a broad wave of target cuts and downgrades across the Street. Analyst Commentary Recent research has turned more cautious on Roblox, with multiple firms cutting price targets and several issuing downgrades as they reset expectations for bookings growth, profitability and execution against rising competitive and content risks.
DIS
US$103.08
Walt Disney
7D
0.5%
1Y
11.4%

DIS: New Leadership And ESPN Retention Will Support Future Earnings Repricing

Analysts now see Walt Disney's fair value edging to $128.25 per share, a modest trim of about $0.17, as they refresh assumptions around the discount rate, revenue growth, profit margin, and future P/E following a series of recent price target reductions and one upgrade on the stock. Analyst Commentary Recent research on Walt Disney clusters around valuation reset rather than a wholesale change in the story.
LION
US$12.65
Lionsgate Studios
7D
10.7%
1Y
61.0%
SPHR
US$144.73
Sphere Entertainment
7D
10.2%
1Y
415.8%

SPHR: Future Venue Expansion And Content Durability Will Drive Returns

Sphere Entertainment's analyst price target has been raised by several firms in recent weeks, with changes such as Morgan Stanley's $30 increase to $135. This move has been supported by analysts highlighting stronger Wizard of Oz performance, improved profitability at the Las Vegas venue, and growing confidence in adding more Sphere locations over time.
TME
US$9.10
Tencent Music Entertainment Group
7D
-2.6%
1Y
-36.4%

TME: Upcoming Dividend And Results Will Test Monetization Resilience Against Competition

The analyst price target for Tencent Music Entertainment Group has been trimmed, with the updated fair value estimate moving to $17.59 from $17.98. Analysts are factoring in slightly lower assumptions for revenue growth and profit margins alongside heightened competitive pressure, partly offset by expectations for a higher future P/E.
ROKU
US$123.58
Roku
7D
7.3%
1Y
100.8%

Roku: Undeniable Cash Flow Growth As Roku Platform Scales

May 01
NFLX
US$92.06
Netflix
7D
-0.4%
1Y
-20.4%

NFLX: Future Returns Will Hinge On Price Hikes And Warner Deal Fallout

Analysts have nudged the fair value estimate for Netflix higher to $90.80 from $85.52. This reflects a mix of slightly adjusted long term growth, margin and discount rate assumptions, alongside a wide range of recent Street price target tweaks and rating changes following the latest earnings and the Warner Bros.
SPOT
US$441.51
Spotify Technology
7D
-14.8%
1Y
-31.4%

SPOT: Future Margin Expansion Will Rely On Recurring Price Hikes

Analysts trimmed Spotify Technology's fair value estimate slightly to $786.63. This reflects lower price targets across several firms, balanced by views that improved profit margins and an updated future P/E assumption still support the long-term case.
WMG
US$27.98
Warner Music Group
7D
-3.3%
1Y
-7.5%

WMG: AI Catalog Risk Will Ultimately Support Future Content Economics

Analysts have made a modest upward tweak to the Warner Music Group price target, with a roughly $0.06 adjustment reflecting slightly refined assumptions around fair value, discount rate, revenue growth, profit margin, and future P/E, while also weighing mixed recent target changes and the rising debate about AI related risks to major music labels. Analyst Commentary Recent Street research on Warner Music Group reflects a mixed backdrop, with modest price target moves and a growing focus on how AI could influence long term economics for major labels.
FWON.K
US$87.94
Formula One Group
7D
-0.7%
1Y
-3.8%

FWON.K: Durable Race Promotion Model Will Support Future Cash Flow Resilience

Analysts have kept the $135.00 fair value estimate for Formula One Group steady, while modestly adjusting underlying assumptions such as discount rate, revenue growth, profit margin, and future P/E to reflect a mix of recent price target trims and fresh bullish views on the business model. Analyst Commentary Recent Street research on Formula One Group reflects a mix of trimmed price targets and fresh optimism around the business model, with several bullish analysts highlighting long term visibility and potential for execution on new opportunities.
TTWO
US$216.03
Take-Two Interactive Software
7D
2.5%
1Y
-1.6%

TTWO: Upcoming GTA Guidance And Online Engagement Will Drive Future Repricing

Analysts have nudged the fair value estimate for Take-Two Interactive Software up by $5 to $305, reflecting updated views on discount rates, margins, and future P/E following recent recalibrations to price targets related to the expected GTA 6 guidance and the GTA Online opportunity. Analyst Commentary Recent Street research around Take-Two Interactive Software has centered on expectations for upcoming guidance, the impact of the next Grand Theft Auto release, and the earnings power of GTA Online.
LYV
US$158.25
Live Nation Entertainment
7D
1.0%
1Y
18.3%

LYV: DOJ Settlement And Venue Expansion Will Support Future Upside

Analysts made a small trim to the fair value estimate for Live Nation Entertainment to $183.22 per share. This reflects slightly more cautious assumptions on growth and margins, even as recent research highlights comfort with a higher P/E multiple supported by easing regulatory overhang and continued enthusiasm for the concerts and venue expansion story.
WBD
US$26.97
Warner Bros. Discovery
7D
-0.4%
1Y
215.8%

Latest SEC filing provides more reasons for confidence in Paramount-WBD deal

On the heels of receiving signed equity commitments of nearly $24 billion from three gulf state sovereign wealth funds, Paramount (NASDAQ: PSKY) has taken another step toward profitability regarding its acquisition of Warner Bros. Discovery (WBD) with the announcement of reduced debt commitments.
EA
US$202.09
Electronic Arts
7D
-0.3%
1Y
33.7%

EA: Debt Package And Cost Realignment Will Shape Future Risk Reward

Analysts have slightly adjusted their price target for Electronic Arts. This reflects a refined view on the discount rate, revenue growth, profit margin, and future P/E assumptions, resulting in a modestly updated valuation in dollar terms for the stock.
STUB
US$7.63
StubHub Holdings
7D
6.7%
1Y
n/a
MANU
US$18.54
Manchester United
7D
8.6%
1Y
31.8%