Comparing Lionsgate Entertainment (NYSE:LION) and International Media Acquisition (NASDAQ:IMAQ)

International Media Acquisition (NASDAQ:IMAQ) and Lionsgate Entertainment (NYSE:LION) are both consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, institutional ownership, risk, valuation, earnings and dividends.

Profitability

This table compares International Media Acquisition and Lionsgate Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
International Media Acquisition	N/A	N/A	-6.41%
Lionsgate Entertainment	-7.34%	-57.26%	-0.12%

Volatility and Risk

International Media Acquisition has a beta of 0.07, meaning that its share price is 93% less volatile than the S&P 500. Comparatively, Lionsgate Entertainment has a beta of 1.07, meaning that its share price is 7% more volatile than the S&P 500.

Institutional & Insider Ownership

25.9% of International Media Acquisition shares are owned by institutional investors. Comparatively, 34.0% of Lionsgate Entertainment shares are owned by institutional investors. 83.7% of International Media Acquisition shares are owned by company insiders. Comparatively, 9.4% of Lionsgate Entertainment shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings for International Media Acquisition and Lionsgate Entertainment, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International Media Acquisition	0	0	0	0	0.00
Lionsgate Entertainment	0	2	0	1	2.67

Lionsgate Entertainment has a consensus target price of $9.00, suggesting a potential upside of 23.97%. Given Lionsgate Entertainment’s stronger consensus rating and higher probable upside, analysts plainly believe Lionsgate Entertainment is more favorable than International Media Acquisition.

Valuation and Earnings

This table compares International Media Acquisition and Lionsgate Entertainment”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International Media Acquisition	N/A	N/A	-$810,000.00	N/A	N/A
Lionsgate Entertainment	$4.02 billion	0.52	-$1.11 billion	($1.24)	-5.85

International Media Acquisition has higher earnings, but lower revenue than Lionsgate Entertainment.

Summary

Lionsgate Entertainment beats International Media Acquisition on 7 of the 11 factors compared between the two stocks.

About International Media Acquisition

International Media Acquisition Corp. does not have significant operations. The company intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses in the media and entertainment sector. International Media Acquisition Corp. was incorporated in 2021 and is based in North Brunswick, New Jersey.

About Lionsgate Entertainment

Lionsgate Studios Corp. engages in the provision of motion picture and studio operations that bring a varied portfolio of entertainment to consumers. The company is headquartered in Santa Monica, CA.