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Best Entertainment Stocks to Buy Now (2023)

Top entertainment stocks in 2023 ranked by overall Zen Score. See the best entertainment stocks to buy now, according to analyst forecasts for the entertainment industry.

According to Zen Score, the 3 best entertainment stocks to buy right now are:

Netflix (NASDAQ:NFLX) is the top entertainment stock with a Zen Score of 53, which is 30 points higher than the entertainment industry average of 23. It passed 18 out of 33 due diligence checks and has strong fundamentals. Netflix has seen its stock return 57.52% over the past year, overperforming other entertainment stocks by 52 percentage points.

Netflix has an average 1 year price target of $460.88, an upside of 22.05% from Netflix's current stock price of $377.60.

Netflix stock has a consensus Buy recommendation according to Wall Street analysts. Of the 24 analysts covering Netflix, 41.67% have issued a Strong Buy rating, 20.83% have issued a Buy, 33.33% have issued a hold, while 0% have issued a Sell rating, and 4.17% have issued a Strong Sell.

Nexstar Media Group (NASDAQ:NXST) is the second best entertainment stock with a Zen Score of 51, which is 28 points higher than the entertainment industry average of 23. It passed 19 out of 38 due diligence checks and has strong fundamentals. Nexstar Media Group has seen its stock lose -14.01% over the past year, underperforming other entertainment stocks by -19 percentage points.

Nexstar Media Group has an average 1 year price target of $222.50, an upside of 55.19% from Nexstar Media Group's current stock price of $143.37.

Nexstar Media Group stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Nexstar Media Group, 75% have issued a Strong Buy rating, 25% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Fox (NASDAQ:FOXA) is the third best entertainment stock with a Zen Score of 47, which is 24 points higher than the entertainment industry average of 23. It passed 17 out of 38 due diligence checks and has strong fundamentals. Fox has seen its stock return 2.26% over the past year, underperforming other entertainment stocks by -3 percentage points.

Fox has an average 1 year price target of $35.29, an upside of 13.1% from Fox's current stock price of $31.20.

Fox stock has a consensus Hold recommendation according to Wall Street analysts. Of the 7 analysts covering Fox, 14.29% have issued a Strong Buy rating, 0% have issued a Buy, 71.43% have issued a hold, while 0% have issued a Sell rating, and 14.29% have issued a Strong Sell.

Out of 12 entertainment stocks that have issued dividends in the past year, the 3 entertainment stocks with the highest dividend yields are:

Amc Entertainment (NYSE:AMC) has an annual dividend yield of N/A, which is N/A percentage points lower than the entertainment industry average of 2.47%. Amc Entertainment's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Amc Entertainment's dividend has not shown consistent growth over the last 10 years.

Amc Entertainment's dividend payout ratio of -1.5% indicates that its dividend yield might not be sustainable for the long-term.

Sinclair (NASDAQ:SBGI) has an annual dividend yield of 8.91%, which is 6 percentage points higher than the entertainment industry average of 2.47%. Sinclair's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Sinclair's dividend has shown consistent growth over the last 10 years.

Sinclair's dividend payout ratio of 39.4% indicates that its high dividend yield is sustainable for the long-term.

Paramount Global (NASDAQ:PARA) has an annual dividend yield of 4.5%, which is 2 percentage points higher than the entertainment industry average of 2.47%. Paramount Global's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Paramount Global's dividend has not shown consistent growth over the last 10 years.

Paramount Global's dividend payout ratio of -41% indicates that its dividend yield might not be sustainable for the long-term.

Entertainment stocks were up 0.72% in the last day, and up 0.38% over the last week.

We couldn't find a catalyst for why entertainment stocks are up.

Based on WallStreetZen's Valuation Score, the 3 most undervalued entertainment stocks right now are:

Nexstar Media Group (NASDAQ:NXST) is the most undervalued entertainment stock based on WallStreetZen's Valuation Score. Nexstar Media Group has a valuation score of 86, which is 64 points higher than the entertainment industry average of 22. It passed 6 out of 7 valuation due diligence checks.

Nexstar Media Group's stock has dropped -14.01% in the past year. It has underperformed other stocks in the entertainment industry by -19 percentage points.

Sinclair (NASDAQ:SBGI) is the second most undervalued entertainment stock based on WallStreetZen's Valuation Score. Sinclair has a valuation score of 71, which is 49 points higher than the entertainment industry average of 22. It passed 5 out of 7 valuation due diligence checks.

Sinclair's stock has dropped -37.14% in the past year. It has underperformed other stocks in the entertainment industry by -42 percentage points.

Fox (NASDAQ:FOXA) is the third most undervalued entertainment stock based on WallStreetZen's Valuation Score. Fox has a valuation score of 57, which is 35 points higher than the entertainment industry average of 22. It passed 4 out of 7 valuation due diligence checks.

Fox's stock has gained 2.26% in the past year. It has underperformed other stocks in the entertainment industry by -3 percentage points.