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Best Entertainment Stocks to Buy Now (2025)

Top entertainment stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best entertainment stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best entertainment stocks to buy right now are:

Alliance Entertainment Holding (NASDAQ:AENT) is the #1 top entertainment stock out of 46 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Alliance Entertainment Holding (NASDAQ:AENT) is: Value: B, Growth: A, Momentum: B, Sentiment: A, Safety: C, Financials: B, and AI: C.

Alliance Entertainment Holding (NASDAQ:AENT) has a Due Diligence Score of 39, which is 16 points higher than the entertainment industry average of 23.

AENT passed 12 out of 33 due diligence checks and has average fundamentals. Alliance Entertainment Holding has seen its stock return 43.84% over the past year, overperforming other entertainment stocks by 33 percentage points.

Alliance Entertainment Holding has an average 1 year price target of $10.00, an upside of 50.15% from Alliance Entertainment Holding's current stock price of $6.66.

Alliance Entertainment Holding stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Alliance Entertainment Holding, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Imax (NYSE:IMAX) is the #2 top entertainment stock out of 46 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Imax (NYSE:IMAX) is: Value: C, Growth: B, Momentum: C, Sentiment: C, Safety: B, Financials: B, and AI: C.

Imax (NYSE:IMAX) has a Due Diligence Score of 28, which is 5 points higher than the entertainment industry average of 23.

IMAX passed 9 out of 33 due diligence checks and has average fundamentals. Imax has seen its stock return 44.78% over the past year, overperforming other entertainment stocks by 34 percentage points.

Imax has an average 1 year price target of $37.43, an upside of 6.6% from Imax's current stock price of $35.11.

Imax stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 7 analysts covering Imax, 57.14% have issued a Strong Buy rating, 28.57% have issued a Buy, 14.29% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Roku (NASDAQ:ROKU) is the #3 top entertainment stock out of 46 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Roku (NASDAQ:ROKU) is: Value: D, Growth: B, Momentum: C, Sentiment: A, Safety: B, Financials: C, and AI: B.

Roku (NASDAQ:ROKU) has a Due Diligence Score of 28, which is 5 points higher than the entertainment industry average of 23.

ROKU passed 9 out of 33 due diligence checks and has average fundamentals. Roku has seen its stock return 32.97% over the past year, overperforming other entertainment stocks by 22 percentage points.

Roku has an average 1 year price target of $112.40, an upside of 12.39% from Roku's current stock price of $100.01.

Roku stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 15 analysts covering Roku, 53.33% have issued a Strong Buy rating, 20% have issued a Buy, 26.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 11 entertainment stocks that have issued dividends in the past year, the 3 entertainment stocks with the highest dividend yields are:

Sinclair (NASDAQ:SBGI) has an annual dividend yield of 6.12%, which is 4 percentage points higher than the entertainment industry average of 2.23%. 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 -175.4% indicates that its high dividend yield might not be sustainable for the long-term.

Nexstar Media Group (NASDAQ:NXST) has an annual dividend yield of 4.97%, which is 3 percentage points higher than the entertainment industry average of 2.23%. Nexstar Media Group's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Nexstar Media Group's dividend has shown consistent growth over the last 10 years.

Nexstar Media Group's dividend payout ratio of 44.8% indicates that its high dividend yield is sustainable for the long-term.

Sirius XM Holdings (NASDAQ:SIRI) has an annual dividend yield of 3.75%, which is 2 percentage points higher than the entertainment industry average of 2.23%. Sirius XM Holdings's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Sirius XM Holdings's dividend has shown consistent growth over the last 10 years.

Sirius XM Holdings's dividend payout ratio of 36.5% indicates that its dividend yield is sustainable for the long-term.

Entertainment stocks were down -1.44% in the last day, and up 2.22% over the last week. Disney was the among the top losers in the entertainment industry, dropping -7.75% yesterday.

Disney shares are trading lower following a slight Q4 revenue miss. The company also indicated that YouTube TV discussions could 'go for a little while.'

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued entertainment stocks right now are:

Sirius XM Holdings (NASDAQ:SIRI) is the most undervalued entertainment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Sirius XM Holdings has a valuation score of 43, which is 26 points higher than the entertainment industry average of 17. It passed 3 out of 7 valuation due diligence checks.

Sirius XM Holdings's stock has dropped -18.49% in the past year. It has underperformed other stocks in the entertainment industry by -29 percentage points.

Amc Networks (NASDAQ:AMCX) is the second most undervalued entertainment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Amc Networks has a valuation score of 14, which is -3 points higher than the entertainment industry average of 17. It passed 1 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates AMCX a Valuation Rating of "A".

Amc Networks's stock has dropped -17.41% in the past year. It has underperformed other stocks in the entertainment industry by -28 percentage points.

Nexstar Media Group (NASDAQ:NXST) is the third most undervalued entertainment stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Nexstar Media Group has a valuation score of 71, which is 54 points higher than the entertainment industry average of 17. It passed 5 out of 7 valuation due diligence checks.

Nexstar Media Group's stock has gained 10.57% in the past year. It has performed in line with other stocks in the entertainment industry.

62.5% of entertainment stocks rated by analysts are a strong buy right now. On average, analysts expect entertainment stocks to rise by 21.94% over the next year.

5.56% of entertainment stocks have a Zen Rating of A (Strong Buy), 2.78% of entertainment stocks are rated B (Buy), 61.11% are rated C (Hold), 16.67% are rated D (Sell), and 13.89% are rated F (Strong Sell).