Liberty Media Liberty Formula One (FWONA) AI Stock Analysis

• Market Cap: $30.36B
• Dividend Yield: N/A
• Average Volume (3M): 116.97K
• Price to Earnings (P/E): 40.3
• Beta (1Y): 0.50
• Revenue Growth: 9.81%
• EPS Growth: -42.40%
• Country: US
• Employees: 6,667
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): 0.54
• Shares Outstanding: 23,991,058
• 10 Day Avg. Volume: 124,275
• 30 Day Avg. Volume: 116,965
• PEG Ratio: -0.02
• Price to Book (P/B): 2.88
• Price to Sales (P/S): 4.99
• P/FCF Ratio: 29.75
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 5.32
• Enterprise Value/Gross Profit: 17.10
• Enterprise Value/Ebitda: 18.47
• 1Y Price Target: $113.67
• Price Target Upside: 43.85% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): 1.89
• Revenue Forecast (FY): $4.86B

• Rating: 58 Neutral
• Price Target: $83.00 ▲(5.04% Upside)
• Action: Reiterated Date: 02/27/26
• Date: Action: Reiterated 02/27/26

The score is supported by strong cash generation and a constructive earnings-call outlook highlighting robust F1 growth and improving leverage metrics. It is held back by unstable reported profitability (including a concerning 2025 datapoint showing zero revenue with losses), a weak technical trend (below key moving averages with negative MACD), and a demanding valuation (P/E 130.5 with no dividend yield provided).

Positive Factors

Cash generation

Consistent positive operating cash flow since 2021 and stronger free cash flow in 2024 provide durable internal funding for capex, commercial investment, and deleveraging. Reliable cash generation cushions earnings volatility and supports multi-year strategic initiatives without constant external financing.

Top-line & commercial momentum

Sustained revenue and OIBDA growth across media rights, sponsorship, hospitality and licensing reflects a diversified, scalable commercial model. Combined with rising attendance and digital engagement, this drives repeatable monetization channels that should underpin durable revenue expansion over multiple years.

Improving leverage

Material deleveraging at the operating level lowers refinancing and covenant risk and increases balance-sheet optionality. A clear management plan to reduce leverage enhances capacity for strategic M&A, rights renewals, or shareholder returns while preserving liquidity through cycles.

Negative Factors

Inconsistent profitability

Volatile net income—profits in 2022–2023, a small loss in 2024 and an anomalous 2025 datapoint—undermines earnings predictability. This weakens long-term forecasting, complicates capital allocation decisions, and raises comparability risk for multi-period performance assessment.

Large absolute debt load

A $5.0B principal debt burden elevates interest, refinancing and liquidity risk despite improving ratios. High absolute debt can constrain investments, raise funding costs in stress scenarios, and limit strategic flexibility if cash generation weakens or costs rise materially.

MotoGP leverage & cost structure

MotoGP's higher net leverage and euro-denominated exposures increase refinancing and currency risk. Its flyaway race mix raises freight and travel costs, pressuring margins and making commercial growth less cash-accretive until structural cost-to-revenue metrics improve.

Liberty Media Liberty Formula One Business Overview & Revenue Model

Company Description

Formula One Group engages in the motorsports business in the United States and internationally. It holds commercial rights for the world championship, approximately a nine-month long motor race-based competition in which teams compete for the constructors' championship and drivers compete for the drivers' championship. The company was founded in 1950 and is based in Englewood, Colorado. Formula One Group is a subsidiary of Liberty Media Corporation.

How the Company Makes Money

Liberty Formula One generates revenue through multiple streams, primarily from race promotion fees, broadcasting rights, advertising, and sponsorship deals. A significant portion of revenue comes from hosting fees paid by race promoters for the rights to host a Grand Prix event. Additionally, the company earns substantial income from selling exclusive broadcasting rights to television networks and digital platforms across the globe. Sponsorship and advertising also play a crucial role, as brands seek to associate themselves with the high-profile sport, leading to lucrative commercial partnerships. Merchandise sales and licensing agreements further contribute to the company's earnings, capitalizing on the sport's global fanbase. These revenue streams are supported by strategic partnerships with racing teams, sponsors, and media companies, enhancing the overall value proposition of Formula One.

Liberty Media Liberty Formula One Financial Statement Overview

Summary

Cash flow is the key strength (consistently positive operating cash flow since 2021 and improved free cash flow in 2024), and leverage appears manageable in periods with complete data. However, profitability has been inconsistent (profit in 2022–2023, small loss in 2024) and the 2025 annual datapoint showing zero revenue with losses materially raises continuity/comparability risk.

Income Statement

Revenue expanded strongly from 2021–2024 (about $2.1B to $3.7B), but profitability has been inconsistent. Net income swung from a meaningful profit in 2022–2023 to a small loss in 2024, and 2025 annual data shows zero revenue with losses, which is a major red flag for comparability/continuity. Operating profitability improved materially versus 2020, but margins softened from 2023 to 2024 and the business has not demonstrated stable bottom-line performance.

Balance Sheet

Leverage looks moderate in the years with complete data, with debt running around $2.9–$3.0B against equity of ~$6.4–$7.4B (debt-to-equity roughly 0.40–0.57), showing balance-sheet capacity. However, returns on equity have been volatile (positive in 2022–2023, negative in 2024), and the 2025 annual snapshot shows zero debt and zero equity alongside sizable assets, which is unusual and reduces confidence in the latest period’s balance-sheet read-through.

Cash Flow

Cash generation is the clear strength. Operating cash flow has been consistently positive since 2021 and stepped up again in 2024, while free cash flow remained solid and improved versus 2023. That said, free cash flow has been somewhat choppy year-to-year (notably weak in 2023), and cash flow has at times outpaced reported earnings—supportive from a liquidity standpoint, but it also highlights earnings volatility and potential non-cash swings.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.48B	3.65B	3.22B	2.57B	2.14B
Gross Profit	1.12B	1.17B	982.00M	823.00M	647.00M
EBITDA	1.15B	577.00M	666.00M	535.00M	437.00M
Net Income	555.00M	-30.00M	185.00M	558.00M	-190.00M
Balance Sheet
Total Assets	15.40B	11.76B	10.27B	11.02B	11.66B
Cash, Cash Equivalents and Short-Term Investments	1.05B	2.63B	1.41B	1.73B	2.07B
Total Debt	5.12B	2.99B	2.91B	2.95B	3.63B
Total Liabilities	6.95B	4.37B	3.85B	4.08B	4.72B
Stockholders Equity	7.76B	7.39B	6.42B	6.91B	6.34B
Cash Flow
Free Cash Flow	751.00M	492.00M	193.00M	243.00M	464.00M
Operating Cash Flow	870.00M	567.00M	619.00M	534.00M	481.00M
Investing Cash Flow	-3.20B	-292.00M	-510.00M	394.00M	-600.00M
Financing Cash Flow	408.00M	965.00M	-435.00M	-1.27B	512.00M

Liberty Media Liberty Formula One Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 79.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FWONA, the sentiment is Neutral. The current price of 79.02 is below the 20-day moving average (MA) of 79.68, below the 50-day MA of 80.77, and below the 200-day MA of 88.07, indicating a bearish trend. The MACD of -0.97 indicates Positive momentum. The RSI at 48.77 is Neutral, neither overbought nor oversold. The STOCH value of 30.99 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FWONA.

Liberty Media Liberty Formula One Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FOXA	68 Neutral	$23.26B	34.54	16.22%	0.75%	14.91%	9.30%
TKO	62 Neutral	$38.78B	86.44	4.89%	1.07%	56.31%	―
FWONK	62 Neutral	$30.36B	44.38	2.25%	―	9.81%	-42.40%
WBD	62 Neutral	$68.22B	98.11	2.05%	―	-4.29%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
LYV	59 Neutral	$36.50B	66.61	157.65%	―	5.39%	36.94%
FWONA	58 Neutral	$30.36B	40.26	10.50%	―	9.81%	-42.40%

Liberty Media Liberty Formula One Corporate Events

Liberty Media CEO to Present at Morgan Stanley Conference

On February 24, 2026, Liberty Media Corporation announced that President and CEO Derek Chang would present at the Morgan Stanley Technology, Media & Telecom Conference in San Francisco on March 3 at 1:50 p.m. P.T. The appearance places Liberty Media alongside major sector peers and offers investors a window into management’s thinking on performance trends and macro dynamics in media and sports entertainment.

During the event, Chang plans to share observations on Liberty Media’s financial performance and outlook, signaling an opportunity for the market to gain additional color on the company’s strategic direction. The presentation will be webcast live and archived on the company’s investor website, broadening access for stakeholders and reinforcing Liberty Media’s commitment to transparent communication with investors and analysts.

The most recent analyst rating on (FWONA) stock is a Buy with a $89.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.

Liberty Media Sets Date for Q4 2025 Earnings Release

On January 23, 2026, Liberty Media Corporation announced it will release its fourth-quarter 2025 results before U.S. markets open on Thursday, February 26, 2026, and will host a conference call at 10:00 a.m. Eastern Time that day, accompanied by a brief Q&A session covering both Liberty Media and Liberty Live Holdings, Inc. The earnings release, live webcast, and an archived replay will be made available through the company’s investor relations website, underscoring Liberty Media’s ongoing engagement with investors and analysts and providing stakeholders with updated visibility into the financial performance and outlook of its media, sports and entertainment assets, including Formula 1 and MotoGP.

The most recent analyst rating on (FWONA) stock is a Buy with a $91.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.

Liberty Media Completes Split-Off of Liberty Live

On December 15, 2025, Liberty Media Corporation completed the split-off of its subsidiary, Liberty Live Holdings, Inc., making it an independent, publicly traded company. The split-off involved several agreements, including reorganization, tax sharing, and services agreements, and resulted in Liberty Live Holdings’ shares trading on Nasdaq and OTC Markets. This strategic move allows both companies to focus on their respective market areas, potentially enhancing their operational efficiency and market positioning.

The most recent analyst rating on (FWONA) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.

Liberty Media Executes Reverse Exchange with Malone Group

On December 8, 2025, Liberty Media Corporation executed a Reverse Exchange with the Malone Group to maintain John C. Malone’s voting power at 49% in Liberty Formula One. This exchange involved the transfer of 47,297 shares of Series B Liberty Formula One common stock from the JM Trust to the company, in return for an equivalent number of Series C shares, ensuring compliance with the Exchange Agreement and stabilizing the company’s voting structure.

The most recent analyst rating on (FWONA) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.

Liberty Media Announces Split-Off of Liberty Live Holdings

On December 8, 2025, Liberty Media Corporation and its subsidiary Liberty Live Holdings announced the approval of a split-off, effective December 15, 2025, which will result in Liberty Live Holdings becoming an independent, publicly traded company. This move involves the reattribution of assets and liabilities between the Formula One Group and the Liberty Live Group, each valued at $421.7 million, and the subsequent trading of Liberty Live Holdings’ stocks on Nasdaq and OTC Markets. The split-off is expected to enhance the operational focus and market positioning of both Liberty Media and Liberty Live Holdings.

The most recent analyst rating on (FWONA) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.

Liberty Media Announces Equity Awards for Key Executives

On December 3, 2025, Liberty Media Corporation announced equity awards for Robert R. Bennett and Derek Chang, key figures in the company. Bennett was granted options related to his upcoming roles as Executive Chairman of Liberty Media and Chairman of Liberty Live Holdings, contingent on his assumption of these positions. Chang’s equity awards were adjusted to align with the company’s management team, with options granted ahead of schedule and allocated to different tracking stocks. Additionally, John C. Malone’s employment agreement was amended to reflect his transition to Chairman Emeritus, effective January 1, 2026. These strategic changes are part of Liberty Media’s efforts to strengthen its leadership and align executive incentives with company goals.

The most recent analyst rating on (FWONA) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on Liberty Media Liberty Formula One stock, see the FWONA Stock Forecast page.