ENDEAVOR GROUP HOLD-CLASS A (EDR)
US29260Y1091 - Common Stock
EDR gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 73 industry peers in the Entertainment industry. While EDR is still in line with the averages on profitability rating, there are concerns on its financial health. EDR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year EDR was profitable.
EDR had a positive operating cash flow in the past year.
In multiple years EDR reported negative net income over the last 5 years.
Each year in the past 5 years EDR had a positive operating cash flow.
1.2 Ratios
EDR has a better Return On Assets (0.99%) than 69.44% of its industry peers.
EDR has a Return On Equity of 4.59%. This is in the better half of the industry: EDR outperforms 77.78% of its industry peers.
The Return On Invested Capital of EDR (0.04%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 4.59% | ||
| ROIC | 0.04% |
ROA(3y)0.03%
ROA(5y)-2.53%
ROE(3y)-3.15%
ROE(5y)-57.13%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
EDR has a Profit Margin of 3.44%. This is in the better half of the industry: EDR outperforms 76.39% of its industry peers.
EDR's Profit Margin has declined in the last couple of years.
EDR has a Operating Margin (0.18%) which is in line with its industry peers.
EDR's Operating Margin has improved in the last couple of years.
EDR's Gross Margin of 58.77% is fine compared to the rest of the industry. EDR outperforms 70.83% of its industry peers.
In the last couple of years the Gross Margin of EDR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.18% | ||
| PM (TTM) | 3.44% | ||
| GM | 58.77% |
OM growth 3Y50.68%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5Y-7.33%
GM growth 3Y5.81%
GM growth 5Y2.44%
2. Health
2.1 Basic Checks
EDR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for EDR has been increased compared to 1 year ago.
Compared to 5 years ago, EDR has more shares outstanding
The debt/assets ratio for EDR has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.75, we must say that EDR is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.75, EDR is in line with its industry, outperforming 50.00% of the companies in the same industry.
EDR has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
EDR has a worse Debt to Equity ratio (1.06) than 63.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.75 |
ROIC/WACC0
WACC10.54%
2.3 Liquidity
EDR has a Current Ratio of 1.16. This is a normal value and indicates that EDR is financially healthy and should not expect problems in meeting its short term obligations.
EDR has a Current ratio of 1.16. This is comparable to the rest of the industry: EDR outperforms 54.17% of its industry peers.
A Quick Ratio of 1.16 indicates that EDR should not have too much problems paying its short term obligations.
EDR has a Quick ratio of 1.16. This is comparable to the rest of the industry: EDR outperforms 55.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 62.50% over the past year.
The Earnings Per Share has been decreasing by -9.33% on average over the past years.
Looking at the last year, EDR shows a quite strong growth in Revenue. The Revenue has grown by 15.26% in the last year.
Measured over the past years, EDR shows a quite strong growth in Revenue. The Revenue has been growing by 10.53% on average per year.
EPS 1Y (TTM)62.5%
EPS 3YN/A
EPS 5Y-9.33%
EPS Q2Q%315.63%
Revenue 1Y (TTM)15.26%
Revenue growth 3Y19.66%
Revenue growth 5Y10.53%
Sales Q2Q%15.87%
3.2 Future
The Earnings Per Share is expected to grow by 8.07% on average over the next years. This is quite good.
EDR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.52% yearly.
EPS Next Y-11.45%
EPS Next 2Y-7.32%
EPS Next 3Y8.93%
EPS Next 5Y8.07%
Revenue Next Year25.14%
Revenue Next 2Y11.31%
Revenue Next 3Y13.02%
Revenue Next 5Y8.52%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.74 indicates a reasonable valuation of EDR.
91.67% of the companies in the same industry are more expensive than EDR, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 24.41. EDR is valued rather cheaply when compared to this.
EDR is valuated correctly with a Price/Forward Earnings ratio of 15.04.
84.72% of the companies in the same industry are more expensive than EDR, based on the Price/Forward Earnings ratio.
EDR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.74 | ||
| Fwd PE | 15.04 |
4.2 Price Multiples
EDR's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 36.68 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.32%
EPS Next 3Y8.93%
5. Dividend
5.1 Amount
EDR has a yearly dividend return of 0.88%, which is pretty low.
Compared to an average industry Dividend Yield of 2.91, EDR pays a better dividend. On top of this EDR pays more dividend than 86.11% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, EDR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
5.2 History
EDR has been paying a dividend for over 5 years, so it has already some track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
71.18% of the earnings are spent on dividend by EDR. This is not a sustainable payout ratio.
DP71.18%
EPS Next 2Y-7.32%
EPS Next 3Y8.93%
ENDEAVOR GROUP HOLD-CLASS A
NYSE:EDR (7/26/2024, 7:26:27 PM)
After market: 27.07 -0.19 (-0.7%)27.26
+0.06 (+0.22%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap12.74B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.74 | ||
| Fwd PE | 15.04 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.99% | ||
| ROE | 4.59% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 0.18% | ||
| PM (TTM) | 3.44% | ||
| GM | 58.77% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)62.5%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-11.45%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)15.26%
Revenue growth 3Y19.66%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y