Analyzing Starz Entertainment (STRZ) and Its Peers

Starz Entertainment (NASDAQ:STRZ) is one of 186 publicly-traded companies in the “Entertainment” industry, but how does it weigh in compared to its peers? We will compare Starz Entertainment to similar companies based on the strength of its risk, institutional ownership, valuation, analyst recommendations, dividends, profitability and earnings.

Risk and Volatility

Starz Entertainment has a beta of 2.44, suggesting that its stock price is 144% more volatile than the S&P 500. Comparatively, Starz Entertainment’s peers have a beta of 0.93, suggesting that their average stock price is 7% less volatile than the S&P 500.

Profitability

This table compares Starz Entertainment and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Starz Entertainment	-33.98%	-25.64%	-6.79%
Starz Entertainment Competitors	8.87%	-62.58%	-3.30%

Analyst Ratings

This is a summary of recent ratings for Starz Entertainment and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Starz Entertainment	1	4	2	1	2.38
Starz Entertainment Competitors	1797	4403	9445	244	2.51

Starz Entertainment currently has a consensus target price of $31.50, suggesting a potential upside of 17.14%. As a group, “Entertainment” companies have a potential upside of 24.53%. Given Starz Entertainment’s peers stronger consensus rating and higher probable upside, analysts clearly believe Starz Entertainment has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Starz Entertainment and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Starz Entertainment	$1.32 billion	-$115.80 million	-1.05
Starz Entertainment Competitors	$4.83 billion	$76.31 million	12.61

Starz Entertainment’s peers have higher revenue and earnings than Starz Entertainment. Starz Entertainment is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

35.8% of shares of all “Entertainment” companies are owned by institutional investors. 22.6% of Starz Entertainment shares are owned by insiders. Comparatively, 23.8% of shares of all “Entertainment” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Starz Entertainment peers beat Starz Entertainment on 10 of the 13 factors compared.

Starz Entertainment Company Profile

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.”