SPHERE ENTERTAINMENT CO (SPHR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SPHR - US55826T1025 - Common Stock
96.2 USD
-2.18 (-2.22%)
SPHR gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 80 industry peers in the Entertainment industry. Both the profitability and financial health of SPHR have multiple concerns. SPHR does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
- In the past year SPHR has reported negative net income.
- SPHR had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: SPHR reported negative net income in multiple years.
- In multiple years SPHR reported negative operating cash flow during the last 5 years.
1.2 Ratios
- SPHR's Return On Assets of -3.80% is in line compared to the rest of the industry. SPHR outperforms 41.25% of its industry peers.
- SPHR's Return On Equity of -7.30% is in line compared to the rest of the industry. SPHR outperforms 48.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.8% | ||
| ROE | -7.3% | ||
| ROIC | N/A |
ROA(3y)0.78%
ROA(5y)0.85%
ROE(3y)0.36%
ROE(5y)0.04%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- SPHR's Gross Margin of 47.64% is in line compared to the rest of the industry. SPHR outperforms 55.00% of its industry peers.
- In the last couple of years the Gross Margin of SPHR has grown nicely.
- The Profit Margin and Operating Margin are not available for SPHR so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 47.64% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-7.81%
GM growth 5Y5.53%
2. Health
2.1 Basic Checks
- SPHR does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for SPHR has been increased compared to 1 year ago.
- The number of shares outstanding for SPHR has been increased compared to 5 years ago.
- Compared to 1 year ago, SPHR has a worse debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.00, we must say that SPHR is in the distress zone and has some risk of bankruptcy.
- SPHR's Altman-Z score of 1.00 is in line compared to the rest of the industry. SPHR outperforms 47.50% of its industry peers.
- SPHR has a debt to FCF ratio of 380.04. This is a negative value and a sign of low solvency as SPHR would need 380.04 years to pay back of all of its debts.
- The Debt to FCF ratio of SPHR (380.04) is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.36 indicates that SPHR is not too dependend on debt financing.
- SPHR's Debt to Equity ratio of 0.36 is in line compared to the rest of the industry. SPHR outperforms 51.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 380.04 | ||
| Altman-Z | 1 |
ROIC/WACCN/A
WACC9.45%
2.3 Liquidity
- SPHR has a Current Ratio of 0.96. This is a bad value and indicates that SPHR is not financially healthy enough and could expect problems in meeting its short term obligations.
- SPHR's Current ratio of 0.96 is in line compared to the rest of the industry. SPHR outperforms 43.75% of its industry peers.
- A Quick Ratio of 0.94 indicates that SPHR may have some problems paying its short term obligations.
- With a Quick ratio value of 0.94, SPHR perfoms like the industry average, outperforming 42.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
- SPHR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -110.75%.
- Looking at the last year, SPHR shows a decrease in Revenue. The Revenue has decreased by -0.24% in the last year.
- The Revenue has been decreasing by -0.42% on average over the past years.
EPS 1Y (TTM)-110.75%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%25.56%
Revenue 1Y (TTM)-0.24%
Revenue growth 3Y16.62%
Revenue growth 5Y-0.42%
Sales Q2Q%-18.3%
3.2 Future
- The Earnings Per Share is expected to grow by 14.79% on average over the next years. This is quite good.
- SPHR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.63% yearly.
EPS Next Y78.03%
EPS Next 2Y15.17%
EPS Next 3Y8.84%
EPS Next 5Y14.79%
Revenue Next Year17.4%
Revenue Next 2Y13.77%
Revenue Next 3Y8.88%
Revenue Next 5Y5.63%
3.3 Evolution
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- SPHR reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- Also next year SPHR is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
- SPHR's Enterprise Value to EBITDA ratio is in line with the industry average.
- SPHR's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1475.6 | ||
| EV/EBITDA | 49.84 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y15.17%
EPS Next 3Y8.84%
5. Dividend
5.1 Amount
- SPHR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
SPHERE ENTERTAINMENT CO / SPHR FAQ
Can you provide the ChartMill fundamental rating for SPHERE ENTERTAINMENT CO?
ChartMill assigns a fundamental rating of 2 / 10 to SPHR.
What is the valuation status for SPHR stock?
ChartMill assigns a valuation rating of 1 / 10 to SPHERE ENTERTAINMENT CO (SPHR). This can be considered as Overvalued.
How profitable is SPHERE ENTERTAINMENT CO (SPHR) stock?
SPHERE ENTERTAINMENT CO (SPHR) has a profitability rating of 2 / 10.
Can you provide the financial health for SPHR stock?
The financial health rating of SPHERE ENTERTAINMENT CO (SPHR) is 2 / 10.