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U.S. Entertainment Industry Analysis

UpdatedJun 23, 2026
DataAggregated Company Financials
Companies154
  • 7D-2.7%
  • 3M-5.6%
  • 1Y-24.3%
  • YTD-14.1%

Over the last 7 days, the Entertainment industry has dropped 2.7%, driven by a pullback from Netflix of 7.4%. On the other hand Take-Two Interactive Software is actually up 11%. However, the industry is down 24% over the past year. Looking forward, earnings are forecast to grow by 22% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 24 Jun 2026US$961.6bUS$293.0bUS$24.8b23x38.8x3.3x
Fri, 22 May 2026US$1.0tUS$293.1bUS$21.1b30.1x47.9x3.5x
Sun, 19 Apr 2026US$1.1tUS$289.9bUS$25.4b34.1x42.6x3.7x
Tue, 17 Mar 2026US$1.0tUS$287.2bUS$22.9b35.2x45.9x3.7x
Thu, 12 Feb 2026US$1.0tUS$285.9bUS$21.6b30x47.3x3.6x
Sat, 10 Jan 2026US$1.1tUS$281.2bUS$21.3b17.9x53.2x4x
Mon, 08 Dec 2025US$1.2tUS$281.1bUS$21.3b22.2x55.1x4.2x
Wed, 05 Nov 2025US$1.2tUS$276.8bUS$22.5b24.8x54.1x4.4x
Fri, 03 Oct 2025US$1.3tUS$274.8bUS$21.8b30.1x58.7x4.7x
Sun, 31 Aug 2025US$1.4tUS$293.9bUS$23.0b39.3x59.6x4.7x
Tue, 29 Jul 2025US$1.3tUS$290.1bUS$8.3b28.4x160x4.6x
Thu, 26 Jun 2025US$1.4tUS$288.7bUS$7.5b24.1x182.1x4.7x
Sat, 24 May 2025US$1.2tUS$288.3bUS$7.3b20.9x169.9x4.3x
Mon, 21 Apr 2025US$1.0tUS$284.4bUS$3.1b20.9x328.2x3.6x
Wed, 19 Mar 2025US$1.1tUS$289.6bUS$2.5b26x439.6x3.7x
Fri, 14 Feb 2025US$1.2tUS$288.0bUS$2.2b26.4x521.6x4x
Sun, 12 Jan 2025US$996.9bUS$284.2b-US$4,302,223.1119x-231716.7x3.5x
Tue, 10 Dec 2024US$1.1tUS$284.8bUS$74.9m17.9x14489.1x3.8x
Thu, 07 Nov 2024US$904.7bUS$281.9b-US$1,452,267,852.9523.7x-622.9x3.2x
Sat, 05 Oct 2024US$937.7bUS$299.1bUS$1.1b22.9x885.7x3.1x
Mon, 02 Sep 2024US$889.6bUS$299.2bUS$1.1b18.9x810.4x3x
Wed, 31 Jul 2024US$832.0bUS$292.8bUS$8.8b21.9x94.1x2.8x
Fri, 28 Jun 2024US$873.0bUS$291.1bUS$7.8b14.4x112.3x3x
Sun, 26 May 2024US$851.0bUS$291.4bUS$7.8b16.9x109.2x2.9x
Tue, 23 Apr 2024US$802.4bUS$288.7bUS$10.3b18.6x77.6x2.8x
Thu, 21 Mar 2024US$842.1bUS$288.2bUS$9.2b16.4x91x2.9x
Sat, 17 Feb 2024US$828.0bUS$284.7bUS$7.9b18.7x104.3x2.9x
Mon, 15 Jan 2024US$830.5bUS$296.9bUS$7.0b19.1x118.1x2.8x
Wed, 13 Dec 2023US$832.1bUS$296.6bUS$7.1b18.1x117.9x2.8x
Fri, 10 Nov 2023US$785.0bUS$293.4bUS$3.7b20.5x214.2x2.7x
Sun, 08 Oct 2023US$739.5bUS$287.4bUS$1.2b19.7x618.2x2.6x
Tue, 05 Sep 2023US$753.4bUS$286.6bUS$876.2m20.6x859.8x2.6x
Thu, 03 Aug 2023US$777.8bUS$282.5b-US$1,960,305,950.0027.5x-396.8x2.8x
Sat, 01 Jul 2023US$776.7bUS$279.5b-US$2,342,517,785.0021.3x-331.6x2.8x
Price to Earnings Ratio

-331.6x


Total Market Cap: US$776.7bTotal Earnings: -US$2,342,517,785.00Total Revenue: US$279.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Entertainment Industry Price to Earnings3Y Average -68122.9x202420252026
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 38.8x which is higher than its 3-year average PE of -68kx.
  • The industry is trading close to its 3-year average PS ratio of 3.5x.
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 Market-1.82%
Telecom-9.36%
Entertainment-2.71%
Interactive Home Entertainment4.22%
Movies and Entertainment-3.75%
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 76.6x.
    • Analysts are expecting annual earnings growth of 20.9%, which is higher than its past year's earnings growth of 16.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Interactive Home Entertainment industry, expecting annual earnings growth of 29% over the next 5 years.
  • This is better than its past earnings decline of 3.1% per year.
  • In contrast, the Movies and Entertainment industry is expected to see its earnings grow by 21% 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
DIS Walt DisneyUS$103.532.2%
+US$3.9b		-12.7%PE16x
TTWO Take-Two Interactive SoftwareUS$242.645.5%
+US$2.4b		-0.2%PS6.8x
WBD Warner Bros. DiscoveryUS$26.881.1%
+US$701.9m		146.6%PS1.8x
PLTK Playtika HoldingUS$3.9517.9%
+US$228.2m		-17.0%PS0.5x
TKO TKO Group HoldingsUS$202.701.3%
+US$200.2m		14.6%PE67.1x

Latest News

TTWO
US$242.64
Take-Two Interactive Software
7D
5.5%
1Y
-0.2%
SPHR
US$158.20
Sphere Entertainment
7D
2.8%
1Y
287.6%
DIS
US$103.53
Walt Disney
7D
2.2%
1Y
-12.7%
NFLX
US$72.82
Netflix
7D
-7.5%
1Y
-43.1%
New Narrative • Jun 22

Netflix's Revenue Surge Will Hit 18% Despite Market Lows

Why Netflix continues to grow while reaching ATL’s Greg Peters has finally been left as the official Co-CEO of Netflix after Reed Hastings stepped down on June 4th leaving someone to take his place. Why this matters…… Hastings was a co-founder of Netflix.
ROKU
US$135.06
Roku
7D
-2.1%
1Y
61.4%
TME
US$8.20
Tencent Music Entertainment Group
7D
-8.0%
1Y
-56.3%
Narrative Update • Jun 22

TME: Content Expansion And AI Tools Will Support Monetization Against Competition

The analyst price target for Tencent Music Entertainment Group has been reduced by $0.49. Analysts generally point to ongoing competition risks, slower revenue momentum, and concerns about the sustainability of premium valuation multiples as key factors behind the change.
CAST
US$8.07
FreeCast
7D
115.2%
1Y
n/a
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Summary FreeCast (CAST) faces severe financial distress, with negative working capital and liabilities 7x higher than assets. CAST's revenue remains minimal at $93k in 1Q26, with EBITDA losses widening and negative free cash flow at record lows. The company trades at extreme P/S multiples (741x 2026, 111x 2027) with no profitability expected until 2028. I rate CAST as a SELL due to deteriorating fundamentals, high debt, and unsustainable valuation. Read the full article on Seeking Alpha
EA
US$203.52
Electronic Arts
7D
0.2%
1Y
28.9%
RBLX
US$47.11
Roblox
7D
-4.5%
1Y
-55.0%
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Roblox (RBLX) Stock Could Be 46% Below Fair Value After Kids Account Launch

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SPOT
US$455.50
Spotify Technology
7D
-3.0%
1Y
-39.3%
Seeking Alpha • Jun 19

Spotify: Long Runway For Pricing, Margins, And Free Cash Flow

Summary Spotify's platform is evolving beyond music streaming, compounding engagement, retention, and monetization via add-ons, non-music formats, and advertising. Non-music verticals now contribute significantly to gross margin, validating the add-on model and supporting higher LTV across user cohorts. Partial credit for the 2030 framework—mid-teens revenue growth, 35-40% gross margin, >20% operating margin—supports valuation upside. My valuation points to roughly €120 billion of fair enterprise value, or more than $700 per share. I reiterate my Buy rating on SPOT. Read the full article on Seeking Alpha
PLTK
US$3.95
Playtika Holding
7D
17.9%
1Y
-17.0%
Analysis Article • Jun 19

Playtika Holding (PLTK) Stock Could Be 30.4% Undervalued After New Game Events

Event driven interest around Playtika Holding stock Playtika Holding (PLTK) is drawing fresh attention after announcing a Bingo Blitz collaboration with Where’s Waldo? and a limited time coral reef protection event in Solitaire Grand Harvest, both focused on extending engagement in existing titles. See our latest analysis for Playtika Holding. These content partnerships come as Playtika Holding’s share price shows mixed momentum, with a 12.14% 7 day share price return and a 24.47% 90 day...
WBD
US$26.88
Warner Bros. Discovery
7D
1.1%
1Y
146.6%
Analysis Article • Jun 18

Warner Bros. Discovery (WBD) Stock Could Be 44% Overvalued Based On The Leading Narrative

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TKO
US$202.70
TKO Group Holdings
7D
1.3%
1Y
14.6%
LION
US$15.00
Lionsgate Studios
7D
-8.3%
1Y
149.2%
Seeking Alpha • Jun 17

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Summary Lionsgate Studios has surged ~70% YTD on deal speculation, but Netflix recently passed on acquiring the company. Despite a valuable content library and upcoming Hunger Games prequel, LION faces declining revenue and profitability concerns. The current $16 share price appears to price in significant M&A optimism, making risk/reward less attractive. I maintain a sell rating on LION, citing uncomfortable valuation versus operational headwinds and uncertain acquisition prospects. Read the full article on Seeking Alpha
LYV
US$168.60
Live Nation Entertainment
7D
-3.2%
1Y
14.1%
WMG
US$27.54
Warner Music Group
7D
-4.4%
1Y
1.9%