Analyzing Archon (OTCMKTS:ARHN) and Madison Square Garden Entertainment (NYSE:MSGE)

Archon (OTCMKTS:ARHN) and Madison Square Garden Entertainment (NYSE:MSGE) are both consumer discretionary companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, institutional ownership, analyst recommendations, risk, valuation, dividends and profitability.

Analyst Ratings

This is a breakdown of recent ratings for Archon and Madison Square Garden Entertainment, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Archon	0	0	0	0	N/A
Madison Square Garden Entertainment	0	3	4	0	2.57

Madison Square Garden Entertainment has a consensus price target of $39.83, suggesting a potential upside of 3.25%. Given Madison Square Garden Entertainment’s higher possible upside, analysts clearly believe Madison Square Garden Entertainment is more favorable than Archon.

Earnings & Valuation

This table compares Archon and Madison Square Garden Entertainment’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Archon	N/A	N/A	N/A	N/A	N/A
Madison Square Garden Entertainment	$851.50 million	1.86	$76.60 million	$1.54	25.05

Madison Square Garden Entertainment has higher revenue and earnings than Archon.

Profitability

This table compares Archon and Madison Square Garden Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Archon	N/A	N/A	N/A
Madison Square Garden Entertainment	8.03%	-94.05%	5.98%

Insider & Institutional Ownership

96.9% of Madison Square Garden Entertainment shares are owned by institutional investors. 80.0% of Archon shares are owned by company insiders. Comparatively, 18.7% of Madison Square Garden Entertainment shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Madison Square Garden Entertainment beats Archon on 6 of the 8 factors compared between the two stocks.

About Archon

Archon Corporation, through its subsidiary, Pioneer Hotel Inc., engages in the ownership, management, and operation of casinos and hotels in the United States. It operates the Pioneer Hotel & Gambling Hall (the Pioneer) in Laughlin, Nevada that consists of a casino. The company also owns real estate properties on Las Vegas Boulevard South in Las Vegas, Nevada; and rental properties that include commercial office space in Dorchester, Massachusetts. Archon Corporation was founded in 1991 and is based in Laughlin, Nevada.

About Madison Square Garden Entertainment

Madison Square Garden Entertainment Corp. engages in live entertainment business. The company produces, presents, and hosts live entertainment events, including concerts, sports events, and other live events, such as family shows, performing arts events, and special events. Its operations include a collection of venues, the entertainment and sports bookings business, and the Christmas Spectacular Starring the Radio City Rockettes production. The company was formerly known as MSGE Spinco, Inc. Madison Square Garden Entertainment Corp. was incorporated in 2022 and is based in New York, New York.