Alliance Entertainment (NASDAQ:AENT) vs. Sycamore Entertainment Group (OTCMKTS:SEGI) Financial Review

Sycamore Entertainment Group (OTCMKTS:SEGI) and Alliance Entertainment (NASDAQ:AENT) are both small-cap consumer discretionary companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Volatility and Risk

Sycamore Entertainment Group has a beta of 62.29, suggesting that its stock price is 6,129% more volatile than the S&P 500. Comparatively, Alliance Entertainment has a beta of 0.49, suggesting that its stock price is 51% less volatile than the S&P 500.

Earnings and Valuation

This table compares Sycamore Entertainment Group and Alliance Entertainment”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sycamore Entertainment Group	N/A	N/A	N/A	N/A	N/A
Alliance Entertainment	$1.06 billion	0.31	$15.08 million	$0.30	21.83

Alliance Entertainment has higher revenue and earnings than Sycamore Entertainment Group.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Sycamore Entertainment Group	N/A	N/A	N/A
Alliance Entertainment	1.42%	18.35%	4.67%

Institutional & Insider Ownership

0.3% of Alliance Entertainment shares are held by institutional investors. 75.5% of Sycamore Entertainment Group shares are held by company insiders. Comparatively, 77.6% of Alliance Entertainment shares are held 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 summary of recent recommendations and price targets for Sycamore Entertainment Group and Alliance Entertainment, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sycamore Entertainment Group	0	0	0	0	0.00
Alliance Entertainment	0	2	2	0	2.50

Alliance Entertainment has a consensus price target of $10.67, indicating a potential upside of 62.85%. Given Alliance Entertainment’s stronger consensus rating and higher possible upside, analysts plainly believe Alliance Entertainment is more favorable than Sycamore Entertainment Group.

Summary

Alliance Entertainment beats Sycamore Entertainment Group on 9 of the 10 factors compared between the two stocks.

About Sycamore Entertainment Group

Sycamore Entertainment Group, Inc., a diversified entertainment company, which specializes in the acquisition, marketing, and worldwide distribution of feature-length motion pictures. The company is based in Seattle, Washington.

About Alliance Entertainment

Alliance Entertainment Holding Corporation operates as a wholesaler, distributor, and e-commerce provider for the entertainment industry worldwide. It offers vinyl records, video games, digital video discs, blu-rays, toys, compact discs, collectibles, and other entertainment and consumer products. The company also provides third party logistics products and services. It distributes its physical media, entertainment products, hardware, and accessories through multi-channel strategy. The company was founded in 1990 and is headquartered in Plantation, Florida.