Contrasting Liberty Live Group (NASDAQ:LLYVK) and Formula One Group (NASDAQ:FWONA)

Formula One Group (NASDAQ:FWONA) and Liberty Live Group (NASDAQ:LLYVK) are both consumer discretionary companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, dividends, valuation, risk, earnings and institutional ownership.

Valuation and Earnings

This table compares Formula One Group and Liberty Live Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Formula One Group	$3.65 billion	5.37	-$32.40 million	($0.13)	-605.23
Liberty Live Group	N/A	N/A	N/A	($0.34)	-194.94

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

Volatility & Risk

Formula One Group has a beta of 0.15, meaning that its share price is 85% less volatile than the S&P 500. Comparatively, Liberty Live Group has a beta of 1.55, meaning that its share price is 55% more volatile than the S&P 500.

Institutional & Insider Ownership

8.4% of Formula One Group shares are held by institutional investors. Comparatively, 60.4% of Liberty Live Group shares are held by institutional investors. 4.8% of Formula One Group shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Formula One Group and Liberty Live Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Formula One Group	1	0	3	1	2.80
Liberty Live Group	0	0	0	0	0.00

Formula One Group currently has a consensus target price of $82.33, suggesting a potential upside of 4.64%. Given Formula One Group’s stronger consensus rating and higher possible upside, analysts plainly believe Formula One Group is more favorable than Liberty Live Group.

Profitability

This table compares Formula One Group and Liberty Live Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Formula One Group	N/A	N/A	N/A
Liberty Live Group	N/A	N/A	N/A

Summary

Formula One Group beats Liberty Live Group on 8 of the 10 factors compared between the two stocks.

About Formula One Group

Formula One Group, through its subsidiary Formula 1, engages in the motorsports business in the United States and internationally. The company holds commercial rights for the FIA Formula One world championship, approximately a nine-month long motor race-based competition in which teams compete for the constructors' championship and drivers compete for the drivers' championship. It is also involved in the operation of the Formula 1 Paddock Club hospitality program; and provision of freight, logistical, and travel related services for the teams and other third parties, as well as the F2 and F3 race series. The company was founded in 1950 and is based in Englewood, Colorado. Formula One Group operates as a subsidiary of Liberty Media Corporation.

About Liberty Live Group

Liberty Live Group operates in the media, communications, and entertainment industries primarily in North America and the United Kingdom. The company is headquartered in Englewood, Colorado.