Analyzing Reservoir Media (RSVR) and Its Rivals

Reservoir Media (NASDAQ:RSVR) is one of 184 public companies in the “Entertainment” industry, but how does it contrast to its competitors? We will compare Reservoir Media to similar businesses based on the strength of its institutional ownership, analyst recommendations, risk, profitability, earnings, dividends and valuation.

Volatility and Risk

Reservoir Media has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500. Comparatively, Reservoir Media’s competitors have a beta of 1.00, meaning that their average stock price is 0% less volatile than the S&P 500.

Earnings and Valuation

This table compares Reservoir Media and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Reservoir Media	$175.66 million	$8.30 million	60.06
Reservoir Media Competitors	$4.13 billion	$73.91 million	14.16

Reservoir Media’s competitors have higher revenue and earnings than Reservoir Media. Reservoir Media is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Reservoir Media and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reservoir Media	0	2	0	0	2.00
Reservoir Media Competitors	1877	4511	9625	255	2.51

As a group, “Entertainment” companies have a potential upside of 18.62%. Given Reservoir Media’s competitors stronger consensus rating and higher probable upside, analysts clearly believe Reservoir Media has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

44.4% of Reservoir Media shares are held by institutional investors. Comparatively, 36.3% of shares of all “Entertainment” companies are held by institutional investors. 26.0% of Reservoir Media shares are held by company insiders. Comparatively, 24.0% of shares of all “Entertainment” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Reservoir Media and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Reservoir Media	4.87%	2.33%	0.94%
Reservoir Media Competitors	11.01%	-22.78%	-2.44%

Summary

Reservoir Media competitors beat Reservoir Media on 8 of the 13 factors compared.

Reservoir Media Company Profile

Reservoir Media, Inc. operates as a music publishing company. It operates through two segments, Music Publishing and Recorded Music. The Music Publishing segment acquires interests in music catalogs, as well as signs songwriters. The Recorded Music segment engages in the acquisition of sound recording catalogs; discovery and development of recording artists; and marketing, distribution, sale, and licensing of the music catalogs. The company was founded in 2007 and is headquartered in New York, New York.