Head-To-Head Contrast: Cedar Fair (NYSE:FUN) versus Endeavor Group (NYSE:EDR)

Endeavor Group (NYSE:EDR) and Cedar Fair (NYSE:FUN) are both consumer discretionary companies, but which is the better investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, earnings, profitability, dividends, risk and institutional ownership.

Volatility & Risk

Endeavor Group has a beta of 0.77, suggesting that its stock price is 23% less volatile than the S&P 500. Comparatively, Cedar Fair has a beta of 1.55, suggesting that its stock price is 55% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Endeavor Group and Cedar Fair, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Endeavor Group	0	8	1	0	2.11
Cedar Fair	1	1	11	0	2.77

Endeavor Group currently has a consensus price target of $27.86, suggesting a potential downside of 3.41%. Cedar Fair has a consensus price target of $55.69, suggesting a potential upside of 20.29%. Given Cedar Fair’s stronger consensus rating and higher probable upside, analysts plainly believe Cedar Fair is more favorable than Endeavor Group.

Earnings & Valuation

This table compares Endeavor Group and Cedar Fair”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Endeavor Group	$5.96 billion	3.31	$356.52 million	($2.05)	-14.07
Cedar Fair	$1.80 billion	2.58	$124.56 million	($0.64)	-72.34

Endeavor Group has higher revenue and earnings than Cedar Fair. Cedar Fair is trading at a lower price-to-earnings ratio than Endeavor Group, indicating that it is currently the more affordable of the two stocks.

Dividends

Endeavor Group pays an annual dividend of $0.24 per share and has a dividend yield of 0.8%. Cedar Fair pays an annual dividend of $0.90 per share and has a dividend yield of 1.9%. Endeavor Group pays out -11.7% of its earnings in the form of a dividend. Cedar Fair pays out -140.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Cedar Fair is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Endeavor Group and Cedar Fair’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Endeavor Group	-8.34%	3.79%	1.94%
Cedar Fair	0.99%	113.05%	2.41%

Institutional and Insider Ownership

71.4% of Endeavor Group shares are owned by institutional investors. Comparatively, 64.7% of Cedar Fair shares are owned by institutional investors. 63.9% of Endeavor Group shares are owned by insiders. Comparatively, 1.8% of Cedar Fair shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Cedar Fair beats Endeavor Group on 10 of the 16 factors compared between the two stocks.

About Endeavor Group

Endeavor Group Holdings, Inc. operates as a sports and entertainment company in the United States, the United Kingdom, and internationally. It operates through four segments: Owned Sports Properties; Events, Experiences & Rights; Representation; and Sports Data & Technology. The Owned Sports Properties segment operates a portfolio of sports properties, including Ultimate Fighting Championship, World Wrestling Entertainment, Inc., Professional Bull Rider, and Euroleague. The Events, Experiences & Rights segment provides services to live events, including sporting events, fashion, art fairs and music, culinary, lifestyle festivals, and major attractions. This segment also distributes sports programming; and operates events on behalf of third parties. The Representation segment offers services to talent across entertainment, sports, and fashion, such as actors, directors, writers, athletes, models, musicians, and other artists in various mediums. This segment provides brand strategy, marketing, advertising, public relations, analytics, digital, activation, and experiential services to corporate and other clients; intellectual property licensing services to a portfolio of entertainment, sports, and consumer product brands, including clients' licensing logos, trade names, and trademarks representation. The Sports Data & Technology segment delivers live streaming and data feeds for sports events to sportsbooks, rightsholders, and media partners, as well as on-demand virtual sports products and front-end solutions, including the UFC Event Centre. This segment also specializes in betting engine products, services and technology, and bet processing, as well as trading, pricing, and risk management tools; player account and wallet solutions; front-end user experiences and user interfaces; and content offerings, such as BetBuilder, DonBest pricing feeds, and a sports content aggregation platform. The company was founded in 1898 and is based in Beverly Hills, California.

About Cedar Fair

Cedar Fair, L.P. owns and operates amusement and water parks, as well as complementary resort facilities. Its amusement parks include Cedar Point located on Lake Erie between Cleveland and Toledo in Sandusky, Ohio; Knott's Berry Farm near Los Angeles, California; Canada's Wonderland near Toronto, Ontario; Kings Island near Cincinnati, Ohio; Carowinds in Charlotte, North Carolina; Kings Dominion situated near Richmond, Virginia; California's Great America located in Santa Clara, California; Dorney Park in Pennsylvania; Worlds of Fun located in Kansas City, Missouri; Valleyfair situated near Minneapolis/St. Paul, Minnesota; Michigan's Adventure situated near Muskegon, Michigan; Schlitterbahn Waterpark & Resort New Braunfels in New Braunfels, Texas; and Schlitterbahn Waterpark Galveston in Galveston, Texas. The company also owns and operates the Castaway Bay Indoor Waterpark Resort, Hotel Breakers, Cedar Point's Express Hotel, and Sawmill Creek Resort. Cedar Fair, L.P. was founded in 1983 and is based in Sandusky, Ohio.