Alliance Entertainment Holding (AENT) AI Stock Analysis

• Market Cap: $342.94M
• Dividend Yield: N/A
• Average Volume (3M): 72.45K
• Price to Earnings (P/E): 22.7
• Beta (1Y): 1.39
• Revenue Growth: -3.36%
• EPS Growth: 230.98%
• Country: US
• Employees: 657
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 0.11
• Shares Outstanding: 50,957,370
• 10 Day Avg. Volume: 68,306
• 30 Day Avg. Volume: 72,447
• PEG Ratio: 54.55
• Price to Book (P/B): 1.86K
• Price to Sales (P/S): 180.19
• P/FCF Ratio: 7.16K
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 0.26
• Enterprise Value/Gross Profit: 2.06
• Enterprise Value/Ebitda: 7.90
• 1Y Price Target: $10.00
• Price Target Upside: 48.59% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 70 Neutral
• Price Target: $8.00 ▲(18.87% Upside)

Alliance Entertainment Holding's overall score reflects strong earnings call results and positive technical indicators. Financial performance shows stability but faces challenges in revenue growth and profitability. Valuation is moderate, with no dividend yield to attract income investors.

Positive Factors

Strategic Partnerships

Strategic partnerships, such as with Paramount Pictures, enhance product offerings and market reach, driving significant revenue and competitive advantage.

Debt Management

Effective debt reduction improves financial flexibility and reduces interest burden, supporting long-term operational stability and growth potential.

Cash Flow Generation

Strong cash flow generation supports sustainable operations, funding for growth initiatives, and enhances financial resilience over time.

Negative Factors

Revenue Decline

A decline in revenue indicates potential challenges in market demand or competitive pressures, impacting future earnings and growth prospects.

Profitability Challenges

Low profitability margins suggest difficulties in cost management or pricing power, affecting long-term financial health and shareholder returns.

Revenue Growth Trend

Negative revenue growth trend signals potential market saturation or competitive threats, posing risks to sustained business expansion and profitability.

Alliance Entertainment Holding Business Overview & Revenue Model

Company Description

Alliance Entertainment Holding Corporation operates as a wholesaler, distributor, and e-commerce provider for the entertainment industry worldwide. It offers vinyl records, video games, digital video discs, blu-rays, toys, compact discs, collectibles, and other entertainment and consumer products. The company also provides third party logistics products and services. It distributes its physical media, entertainment products, hardware, and accessories through multi-channel strategy. The company was founded in 1990 and is headquartered in Plantation, Florida.

How the Company Makes Money

Alliance Entertainment generates revenue primarily through the distribution of entertainment products to retailers and online platforms. The company operates a multi-faceted revenue model that includes wholesale distribution to brick-and-mortar stores, direct-to-consumer sales via e-commerce channels, and licensing agreements for digital content. Key revenue streams consist of sales from physical media, digital downloads, and subscription services. Additionally, partnerships with major record labels, film studios, and gaming companies enhance AENT's product offerings and expand its market reach, contributing significantly to its earnings.

Alliance Entertainment Holding Financial Statement Overview

Summary

Alliance Entertainment Holding shows a stable but challenging financial situation. Improvements in cash flow and some balance sheet metrics are offset by hurdles in revenue growth and profitability. Continued focus on operational efficiency and debt management is crucial.

Income Statement

Alliance Entertainment Holding has shown a mixed performance in its income statement. The gross profit margin has slightly improved over the years, indicating some efficiency in cost management. However, the net profit margin remains low, reflecting challenges in translating revenue into profit. Revenue growth has been negative, which is a concern for future earnings potential. The EBIT and EBITDA margins have fluctuated, showing inconsistency in operational profitability.

Balance Sheet

The balance sheet reflects a moderate financial position. The debt-to-equity ratio has improved, indicating better leverage management, but it remains relatively high, posing a risk if earnings do not improve. Return on equity has been volatile, with recent improvements suggesting better utilization of equity. The equity ratio is stable, providing some assurance of asset backing.

Cash Flow

Cash flow analysis shows a positive trend with improving free cash flow growth, which is crucial for sustaining operations and funding future growth. The operating cash flow to net income ratio indicates a healthy conversion of earnings into cash, although it has decreased recently. The free cash flow to net income ratio is strong, suggesting efficient cash management.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2022	Dec 2020
Income Statement
Total Revenue	1.06B	1.06B	1.10B	1.42B	1.16B	775.60M
Gross Profit	132.85M	132.85M	128.89M	182.38M	103.93M	119.11M
EBITDA	34.62M	34.62M	19.98M	50.36M	-26.12M	25.05M
Net Income	15.08M	15.08M	4.58M	28.62M	-35.40M	5.36M
Balance Sheet
Total Assets	361.23M	361.23M	340.81M	473.04M	389.53M	276.83M
Cash, Cash Equivalents and Short-Term Investments	1.24M	1.24M	1.13M	1.47M	865.00K	1.33M
Total Debt	25.67M	25.67M	109.83M	148.66M	148.68M	56.31M
Total Liabilities	258.01M	258.01M	253.18M	364.11M	310.00M	223.91M
Stockholders Equity	103.22M	103.22M	87.63M	108.93M	79.53M	52.92M
Cash Flow
Free Cash Flow	26.75M	26.75M	55.59M	-83.60M	2.56M	24.69M
Operating Cash Flow	26.81M	26.81M	55.77M	-83.55M	3.39M	27.39M
Investing Cash Flow	-8.13M	-8.13M	-117.00K	-50.00K	-824.00K	-5.26M
Financing Cash Flow	-18.57M	-18.57M	-55.39M	81.04M	-3.16M	-23.35M

Alliance Entertainment Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 6.73
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AENT, the sentiment is Positive. The current price of 6.73 is above the 20-day moving average (MA) of 6.45, above the 50-day MA of 5.77, and above the 200-day MA of 4.79, indicating a bullish trend. The MACD of 0.34 indicates Positive momentum. The RSI at 56.58 is Neutral, neither overbought nor oversold. The STOCH value of 41.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AENT.

Alliance Entertainment Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AENT	70 Neutral	$342.94M	22.74	15.80%	―	-3.36%	230.98%
CNVS	65 Neutral	64.09M	25.07	9.30%	―	77.07%	―
RDI	53 Neutral	50.88M	-2.07	263.74%	―	7.59%	61.22%
AGAE	46 Neutral	36.13M	-1.84	-36.32%	―	0.52%	-225.42%
ANGH	41 Neutral	19.73M	-0.27	-106.18%	―	88.72%	-85.54%
LVO	40 Neutral	55.63M	-2.32	101.40%	―	-18.76%	-21.71%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%

Alliance Entertainment Holding Corporate Events

Alliance Entertainment Reports 229% Net Income Growth

Alliance Entertainment reported significant financial growth for the fiscal year ending June 30, 2025, with a 229% increase in net income to $15.1 million and a rise in earnings per share from $0.09 to $0.30. The company strengthened its market position through strategic partnerships, including an exclusive distribution agreement with Paramount Pictures and Master Replicas, and expanded its product offerings in premium collectibles and physical media. The launch of Alliance Home Entertainment and a focus on automation and warehouse consolidation contributed to operational efficiency and profitability. The company also emphasized its commitment to leveraging AI for future growth and operational improvements.

The most recent analyst rating on (AENT) stock is a Hold with a $5.50 price target. To see the full list of analyst forecasts on Alliance Entertainment Holding stock, see the AENT Stock Forecast page.