Starz Entertainment (NASDAQ:STRZ) vs. Sound Group (NASDAQ:SOGP) Head to Head Comparison

Sound Group (NASDAQ:SOGP) and Starz Entertainment (NASDAQ:STRZ) are both small-cap communication services companies, but which is the superior stock? We will contrast the two businesses based on the strength of their risk, earnings, dividends, analyst recommendations, institutional ownership, valuation and profitability.

Profitability

This table compares Sound Group and Starz Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sound Group	N/A	N/A	N/A
Starz Entertainment	-33.98%	-21.53%	-6.54%

Earnings & Valuation

This table compares Sound Group and Starz Entertainment”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sound Group	$443.69 million	0.11	$32.39 million	($1.21)	-9.14
Starz Entertainment	$963.40 million	0.43	-$115.80 million	($25.49)	-0.98

Sound Group has higher earnings, but lower revenue than Starz Entertainment. Sound Group is trading at a lower price-to-earnings ratio than Starz Entertainment, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Sound Group has a beta of 2.45, meaning that its stock price is 145% more volatile than the S&P 500. Comparatively, Starz Entertainment has a beta of 2.46, meaning that its stock price is 146% more volatile than the S&P 500.

Institutional & Insider Ownership

1.6% of Sound Group shares are owned by institutional investors. 25.2% of Sound Group shares are owned by company insiders. Comparatively, 22.6% of Starz Entertainment shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and price targets for Sound Group and Starz Entertainment, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sound Group	0	1	0	0	2.00
Starz Entertainment	1	4	2	1	2.38

Starz Entertainment has a consensus target price of $30.83, indicating a potential upside of 23.28%. Given Starz Entertainment’s stronger consensus rating and higher possible upside, analysts clearly believe Starz Entertainment is more favorable than Sound Group.

Summary

Starz Entertainment beats Sound Group on 8 of the 15 factors compared between the two stocks.

About Sound Group

Sound Group Inc. operates as an audio-centric social and entertainment company. It focuses on building audio platform to connect and communicate. The company, through its product portfolio and in-house technologies, caters to user interest in audio entertainment and social networking. The company was formerly known as LIZHI INC. and changed its name to Sound Group Inc. in January 2024. Sound Group Inc. was founded in 2010 and is based in Singapore.

About Starz Entertainment

Starz is a premium cable and streaming network owned by Starz Entertainment, which was formerly a part of Lionsgate. Starz had about 20 million subscribers in the U.S. and Canada as of Dec. 31, 2024. The company’s franchises include “Outlander” and “Power.”