Reviewing Liberty Media Corporation – Liberty Formula One Series C (NASDAQ:FWONK) and Lionsgate Studios (NYSE:LION)

Lionsgate Studios (NYSE:LION) and Liberty Media Corporation – Liberty Formula One Series C (NASDAQ:FWONK) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Lionsgate Studios and Liberty Media Corporation – Liberty Formula One Series C, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lionsgate Studios	2	4	8	1	2.53
Liberty Media Corporation – Liberty Formula One Series C	1	5	6	1	2.54

Lionsgate Studios currently has a consensus price target of $8.95, indicating a potential upside of 6.60%. Liberty Media Corporation – Liberty Formula One Series C has a consensus price target of $112.33, indicating a potential upside of 17.27%. Given Liberty Media Corporation – Liberty Formula One Series C’s stronger consensus rating and higher probable upside, analysts clearly believe Liberty Media Corporation – Liberty Formula One Series C is more favorable than Lionsgate Studios.

Risk and Volatility

Lionsgate Studios has a beta of -0.27, suggesting that its share price is 127% less volatile than the S&P 500. Comparatively, Liberty Media Corporation – Liberty Formula One Series C has a beta of 0.48, suggesting that its share price is 52% less volatile than the S&P 500.

Profitability

This table compares Lionsgate Studios and Liberty Media Corporation – Liberty Formula One Series C’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lionsgate Studios	-6.97%	N/A	-1.33%
Liberty Media Corporation – Liberty Formula One Series C	N/A	N/A	N/A

Earnings and Valuation

This table compares Lionsgate Studios and Liberty Media Corporation – Liberty Formula One Series C”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lionsgate Studios	$3.20 billion	0.76	-$125.30 million	($0.67)	-12.54
Liberty Media Corporation – Liberty Formula One Series C	$3.32 billion	7.22	$195.04 million	$0.78	122.81

Liberty Media Corporation – Liberty Formula One Series C has higher revenue and earnings than Lionsgate Studios. Lionsgate Studios is trading at a lower price-to-earnings ratio than Liberty Media Corporation – Liberty Formula One Series C, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

92.3% of Liberty Media Corporation – Liberty Formula One Series C shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Liberty Media Corporation – Liberty Formula One Series C beats Lionsgate Studios on 11 of the 12 factors compared between the two stocks.

About Lionsgate Studios

Lionsgate Studios Corp. engages in the provision of motion picture and studio operations that bring a varied portfolio of entertainment to consumers. The company is headquartered in Santa Monica, CA.

About Liberty Media Corporation – Liberty Formula One Series C

Formula One Group, through its subsidiary Formula 1, engages in the motorsports business in the United States and internationally. The company holds commercial rights for the FIA Formula One world championship, approximately a nine-month long motor race-based competition in which teams compete for the constructors' championship and drivers compete for the drivers' championship. It is also involved in the operation of the Formula 1 Paddock Club hospitality program; and provision of freight, logistical, and travel related services for the teams and other third parties, as well as the F2 and F3 race series. The company was founded in 1950 and is based in Englewood, Colorado. Formula One Group operates as a subsidiary of Liberty Media Corporation.