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U.S. Entertainment Industry Analysis

UpdatedJul 31, 2026
DataAggregated Company Financials
Companies152
  • 7D4.3%
  • 3M-5.2%
  • 1Y-20.5%
  • YTD-13.1%

Netflix is up 4.4%, leading the way for the Entertainment industry, which has gained 5.0%. In the past year, the industry is down 20%. As for the next few years, earnings are expected to grow by 22% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 31 Jul 2026US$966.8bUS$294.8bUS$25.1b24.8x38.5x3.3x
Sun, 28 Jun 2026US$958.6bUS$292.9bUS$24.8b23.1x38.7x3.3x
Tue, 26 May 2026US$1.0tUS$293.2bUS$24.8b31x41.5x3.5x
Thu, 23 Apr 2026US$1.1tUS$289.8bUS$25.4b33.1x41.5x3.6x
Sat, 21 Mar 2026US$1.0tUS$287.7bUS$23.0b34.2x44.5x3.5x
Mon, 16 Feb 2026US$984.4bUS$286.6bUS$22.9b32.7x43x3.4x
Wed, 14 Jan 2026US$1.1tUS$281.3bUS$21.2b22.6x53x4x
Fri, 12 Dec 2025US$1.2tUS$281.3bUS$21.3b20.8x54.5x4.1x
Sun, 09 Nov 2025US$1.2tUS$277.3bUS$22.1b23.4x54.3x4.3x
Tue, 07 Oct 2025US$1.3tUS$274.8bUS$21.8b29.4x57.7x4.6x
Thu, 04 Sep 2025US$1.3tUS$274.5bUS$21.8b38.2x58.1x4.6x
Sat, 02 Aug 2025US$1.3tUS$290.9bUS$7.8b25.9x168.8x4.5x
Mon, 30 Jun 2025US$1.4tUS$288.8bUS$7.5b23.7x183.3x4.8x
Wed, 28 May 2025US$1.2tUS$288.2bUS$7.3b21.4x170.5x4.3x
Fri, 25 Apr 2025US$1.1tUS$284.4bUS$3.1b22.5x344.3x3.8x
Sun, 23 Mar 2025US$1.1tUS$289.4bUS$2.4b26.2x447.9x3.8x
Tue, 18 Feb 2025US$1.2tUS$288.3bUS$2.3b26.2x519.5x4.1x
Thu, 16 Jan 2025US$995.7bUS$284.3b-US$93,688.4619.7x-10627879.9x3.5x
Sat, 14 Dec 2024US$1.1tUS$284.7bUS$69.0m17.8x15622.5x3.8x
Mon, 11 Nov 2024US$917.6bUS$282.5b-US$418,969,072.1422.8x-2190.2x3.2x
Wed, 09 Oct 2024US$930.1bUS$299.1bUS$1.1b23x878.9x3.1x
Fri, 06 Sep 2024US$869.3bUS$299.2bUS$1.1b18.7x794.7x2.9x
Sun, 04 Aug 2024US$836.9bUS$296.4bUS$7.7b21.3x108.5x2.8x
Tue, 02 Jul 2024US$863.1bUS$291.1bUS$7.8b14.4x111.1x3x
Thu, 30 May 2024US$851.7bUS$291.4bUS$7.8b16.4x109.4x2.9x
Sat, 27 Apr 2024US$818.8bUS$289.6bUS$10.9b20.2x75x2.8x
Mon, 25 Mar 2024US$850.6bUS$287.9bUS$9.2b16.2x92x3x
Wed, 21 Feb 2024US$806.4bUS$284.8bUS$8.0b18.1x100.5x2.8x
Fri, 19 Jan 2024US$820.4bUS$295.8bUS$7.1b18.9x116.2x2.8x
Sun, 17 Dec 2023US$839.3bUS$297.0bUS$7.1b18.1x118.5x2.8x
Tue, 14 Nov 2023US$797.1bUS$289.6bUS$5.7b20.7x140.2x2.8x
Thu, 12 Oct 2023US$747.3bUS$287.5bUS$1.2b20.1x626x2.6x
Sat, 09 Sep 2023US$744.2bUS$286.2bUS$846.5m20.6x879.2x2.6x
Mon, 07 Aug 2023US$785.0bUS$286.0bUS$167.4m22.1x4689.2x2.7x
Price to Earnings Ratio

4689.2x


Total Market Cap: US$785.0bTotal Earnings: US$167.4mTotal Revenue: US$286.0bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Entertainment Industry Price to Earnings3Y Average -68109.8x202420252026
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 38.2x 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
  • The earnings for companies in the Entertainment industry have grown 431% per year over the last three years, while revenues have remained mostly flat.
  • This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.

Industry Trends

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

US Market0.50%
Telecom0.61%
Entertainment4.32%
Movies and Entertainment4.55%
Interactive Home Entertainment2.99%
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 82.8x.
    • Analysts are expecting annual earnings growth of 20.6%, which is higher than its past year's earnings growth of 16.0% per year.
Forecasted Growth
  • Analysts are most optimistic on the Interactive Home Entertainment industry, expecting annual earnings growth of 28% over the next 5 years.
  • This is better than its past earnings decline of 4.8% 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
NFLX NetflixUS$73.174.4%
+US$12.8b		-36.8%PE22.3x
SPOT Spotify TechnologyUS$522.6111.4%
+US$11.0b		-16.6%PE34.4x
DIS Walt DisneyUS$96.163.6%
+US$5.8b		-19.3%PE14.9x
TTWO Take-Two Interactive SoftwareUS$247.436.8%
+US$3.3b		12.2%PS7x
LYV Live Nation EntertainmentUS$183.564.3%
+US$1.7b		24.3%PS1.7x

Latest News

NFLX
US$73.17
Netflix
7D
4.4%
1Y
-36.8%
MRDN
US$11.16
Meridian Holdings
7D
-7.7%
1Y
-37.4%
DIS
US$96.16
Walt Disney
7D
3.6%
1Y
-19.3%
Narrative Update • Jul 30

DIS: Experiences And Streaming Monetization Will Drive Future Repricing Under Execution Focus

Analysts have trimmed their average price targets on Walt Disney by a few dollars, generally citing updated models that reflect slightly lower fair value estimates and P/E assumptions, along with mixed views on parks, film and streaming profitability. Analyst Commentary Recent research on Walt Disney highlights a mixed but engaged Wall Street view, with both bullish and bearish analysts adjusting price targets and focusing closely on execution in parks, streaming, film, and ESPN.
PODC
US$3.48
PodcastOne
7D
-9.4%
1Y
123.1%
NIPG
US$9.40
NIP Group
7D
-39.4%
1Y
-82.0%
SPOT
US$522.61
Spotify Technology
7D
11.4%
1Y
-16.6%
Seeking Alpha • Jul 26

Spotify Is A Buy-The-Dip Opportunity, Here's Why

Summary SPOT's stock price dropped by 30% since its ATH. But I think the drop is not justified by business fundamentals. SPOT demonstrates robust MAU and premium subscriber growth, supported by geographic diversification and effective monetization initiatives. Gross margin reached 33%, operating leverage improved, and free cash flow turned positive to €3.2B LTM despite increased CAPEX. I expect double-digit total returns, so SPOT is a strong buy for me. Read the full article on Seeking Alpha
WBD
US$25.47
Warner Bros. Discovery
7D
-1.2%
1Y
97.9%
TTWO
US$247.43
Take-Two Interactive Software
7D
6.8%
1Y
12.2%
Seeking Alpha • Jul 25

Take-Two Interactive: After November 19th, The Gaming World Won't Be The Same

Summary Take-Two Interactive is rated a Buy, driven by underappreciated GTA VI potential and robust existing franchises. TTWO projects FY2027 net bookings of $8–8.2B, with diversified revenue from Rockstar, Zynga, and 2K labels. GTA VI's groundbreaking patents and community gaming create a durable competitive moat and recurring revenue streams. Valuation is attractive relative to forward growth; asymmetric upside exists if GTA VI outperforms, though risks include execution, valuation compression, and macro headwinds. Read the full article on Seeking Alpha
HODO
US$0.63
House of Doge
7D
-47.4%
1Y
-93.1%
CAST
US$1.32
FreeCast
7D
-36.5%
1Y
n/a
RBLX
US$48.67
Roblox
7D
2.4%
1Y
-64.7%
Seeking Alpha • Jul 22

Roblox: AI Could Turn A Great Flywheel Into A Dominant One

Summary Roblox is positioned as an AI-native entertainment platform, leveraging AI across its ecosystem to drive growth and operational leverage. Q1 results showed 39% revenue growth to $1.44B, 43% bookings growth, and 71% adjusted EBITDA growth, underscoring accelerating scale and engagement. AI-driven productivity, creator empowerment, and improved user discovery are expected to yield 5-8% annual growth above baseline and significant long-term free cash flow. I rate RBLX a strong buy, targeting $109/share in three years, supported by robust growth, low debt, and peer-relative valuation. Read the full article on Seeking Alpha
GDEV
US$12.00
GDEV
7D
-4.8%
1Y
-17.8%
Seeking Alpha • Jul 22

GDEV: Forward-Looking Risks Continue To Outweigh Potential Reward

Summary GDEV Inc. maintains a 'Hold' rating due to persistent structural and operational risks despite cheap valuation and bullish EPS revisions. A $60 million special dividend raises concerns about capital allocation given weak liquidity and low balance sheet equity. GDEV remains heavily reliant on its core game 'Hero Wars,' which generated 90% of FY2025 revenues, increasing concentration risk. Sustained dependence on third-party platforms and the need for ongoing investment in 'Hero Wars' limit visibility for long-term growth. Read the full article on Seeking Alpha
LYV
US$183.56
Live Nation Entertainment
7D
4.3%
1Y
24.3%
Narrative Update • Jul 21

LYV: Legal Overhang And Concert Demand Will Shape Future Return Balance

The fair value estimate for Live Nation Entertainment has been updated from $185.43 to $190.00 as analysts incorporate higher long term price targets across the sector. They cite resilient live event demand, expanding venue capacity, and expectations for solid concerts, sponsorship, and ticketing trends.
TME
US$9.48
Tencent Music Entertainment Group
7D
8.2%
1Y
-54.8%
Narrative Update • Jul 20

TME: Future Risk Reward Hinges On Competition And Margin Execution

The latest Narrative Update for Tencent Music Entertainment Group reflects a reduced analyst price target to about $10 from roughly $21.77, as analysts factor in softer revenue growth expectations, slightly lower projected profit margins, and a more modest future P/E outlook. This comes alongside recent target cuts from $12 to $10 and from $23 to $18 at major firms, which cited elevated competition risks and slower revenue trends.
FWON.K
US$100.00
Formula One Group
7D
3.0%
1Y
1.1%
MYPS
US$0.59
PLAYSTUDIOS
7D
-10.0%
1Y
-48.4%
Narrative Update • Jun 26

MYPS: Reverse Split Path Will Support Future Listing Compliance

Analysts have reduced their fair value estimate for PLAYSTUDIOS from $1.75 to $0.50, citing a lower assumed P/E multiple, slightly softer discount rate and revenue expectations, and a modestly higher profit margin outlook. What’s in the News for PLAYSTUDIOS PLAYSTUDIOS has scheduled its annual meeting of stockholders for July 10, 2026, and is asking investors to vote on an amendment to its Certificate of Incorporation that would allow the Board to implement a reverse stock split of Class A and Class B common stock at a ratio between 1-for-10 and 1-for-30, at its discretion, within 12 months following the meeting.