PLAYSTUDIOS (NASDAQ:MYPS – Get Free Report) and Sphere Entertainment (NYSE:SPHR – Get Free Report) are both communication services companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, institutional ownership, valuation, risk and profitability.
Analyst Recommendations
This is a summary of recent recommendations and price targets for PLAYSTUDIOS and Sphere Entertainment, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| PLAYSTUDIOS | 1 | 2 | 1 | 0 | 2.00 |
| Sphere Entertainment | 0 | 2 | 12 | 0 | 2.86 |
PLAYSTUDIOS currently has a consensus price target of $12.50, indicating a potential upside of 2,532.13%. Sphere Entertainment has a consensus price target of $166.00, indicating a potential upside of 23.72%. Given PLAYSTUDIOS’s higher probable upside, research analysts clearly believe PLAYSTUDIOS is more favorable than Sphere Entertainment.
Earnings & Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| PLAYSTUDIOS | $235.10 million | 0.24 | -$28.64 million | ($0.36) | -1.32 |
| Sphere Entertainment | $1.22 billion | 3.95 | $33.40 million | ($2.68) | -50.06 |
Sphere Entertainment has higher revenue and earnings than PLAYSTUDIOS. Sphere Entertainment is trading at a lower price-to-earnings ratio than PLAYSTUDIOS, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares PLAYSTUDIOS and Sphere Entertainment’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| PLAYSTUDIOS | -20.65% | -19.61% | -15.33% |
| Sphere Entertainment | -6.19% | -1.38% | -0.74% |
Institutional and Insider Ownership
37.5% of PLAYSTUDIOS shares are held by institutional investors. Comparatively, 92.0% of Sphere Entertainment shares are held by institutional investors. 14.9% of PLAYSTUDIOS shares are held by insiders. Comparatively, 22.1% of Sphere Entertainment shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.
Volatility and Risk
PLAYSTUDIOS has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500. Comparatively, Sphere Entertainment has a beta of 1.62, suggesting that its share price is 62% more volatile than the S&P 500.
Summary
Sphere Entertainment beats PLAYSTUDIOS on 11 of the 14 factors compared between the two stocks.
About PLAYSTUDIOS
PLAYSTUDIOS, Inc. develops and publishes free-to-play casual games for mobile and social platforms in the United States and internationally. The company's game portfolio includes a diverse range of titles comprising social casino, card, puzzle, and adventure games. It also offers POP! Slots, myVEGAS Slots, my KONAMI Slots, MGM Slots Live, myVEGAS Blackjack, myVEGAS Bingo, Tetris, Solitaire, Spider Solitaire, Jumbline 2, Sudoku, and Mahjong games. PLAYSTUDIOS, Inc. is headquartered in Las Vegas, Nevada.
About Sphere Entertainment
Sphere Entertainment Co. engages in the entertainment business. It produces, presents, or hosts various live entertainment events, including concerts, family shows, and special events, as well as sporting events, such as professional boxing, college basketball and hockey, professional bull riding, mixed martial arts, and esports and wrestling in its venues, including The Garden, Hulu Theater, Radio City Music Hall, and the Beacon Theatre in New York City; and The Chicago Theatre. The company also operates entertainment dining and nightlife venues markets under the Tao, Marquee, Lavo, Beauty & Essex, Cathédrale, Hakkasan, and Omnia brand names. The company was formerly known as Madison Square Garden Entertainment Corp. and changed its name to Sphere Entertainment Co. in April 2023. Sphere Entertainment Co. was founded in 2006 and is based in New York, New York.
Receive News & Ratings for PLAYSTUDIOS Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for PLAYSTUDIOS and related companies with MarketBeat.com's FREE daily email newsletter.
