Critical Review: Atlanta Braves (NASDAQ:BATRA) versus Lucky Strike Entertainment (NYSE:LUCK)

Lucky Strike Entertainment (NYSE:LUCK) and Atlanta Braves (NASDAQ:BATRA) are both consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, risk, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Valuation and Earnings

This table compares Lucky Strike Entertainment and Atlanta Braves”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lucky Strike Entertainment	$1.18 billion	1.22	-$83.58 million	($0.01)	-1,010.00
Atlanta Braves	$662.75 million	3.93	-$125.29 million	($0.52)	-81.02

Lucky Strike Entertainment has higher revenue and earnings than Atlanta Braves. Lucky Strike Entertainment is trading at a lower price-to-earnings ratio than Atlanta Braves, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

68.1% of Lucky Strike Entertainment shares are owned by institutional investors. Comparatively, 12.3% of Atlanta Braves shares are owned by institutional investors. 79.9% of Lucky Strike Entertainment shares are owned by company insiders. Comparatively, 4.8% of Atlanta Braves shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Lucky Strike Entertainment and Atlanta Braves, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lucky Strike Entertainment	0	1	0	0	2.00
Atlanta Braves	0	0	1	0	3.00

Lucky Strike Entertainment presently has a consensus target price of $12.00, suggesting a potential upside of 18.81%. Atlanta Braves has a consensus target price of $60.00, suggesting a potential upside of 42.42%. Given Atlanta Braves’ stronger consensus rating and higher possible upside, analysts clearly believe Atlanta Braves is more favorable than Lucky Strike Entertainment.

Volatility & Risk

Lucky Strike Entertainment has a beta of 0.76, suggesting that its stock price is 24% less volatile than the S&P 500. Comparatively, Atlanta Braves has a beta of 0.73, suggesting that its stock price is 27% less volatile than the S&P 500.

Profitability

This table compares Lucky Strike Entertainment and Atlanta Braves’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lucky Strike Entertainment	1.11%	-35.76%	1.68%
Atlanta Braves	-6.56%	-8.48%	-2.85%

Summary

Lucky Strike Entertainment beats Atlanta Braves on 8 of the 14 factors compared between the two stocks.

About Lucky Strike Entertainment

Lucky Strike Entertainment Corp. engages in operating bowling centers. It offers entertainment concepts with lounge seating, arcades, food and beverage offerings, and hosting and overseeing professional and non-professional bowling tournaments and related broadcasting. The company was founded by Thomas F. Shannon in 1997 and is headquartered in Mechanicsville, VA.

About Atlanta Braves

Atlanta Braves Holdings, Inc. owns and operates the Atlanta Braves Major league baseball club. It also operates mixed-use development project, including retail, office, hotel, and entertainment projects. The company was incorporated in 2022 and is based in Englewood, Colorado.