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Liberty Media Corporation Series B Liberty Formula One (FWONB)
OTHER OTC:FWONB
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Liberty Media Liberty Formula One
(OTC:FWONB)
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Rating:60Neutral
Price Target:
$93.00
▲(4.87% Upside)
The score is driven mainly by improving financial performance—especially strong TTM cash flow and solid operating profitability—supported by a constructive earnings-call outlook with continued F1 growth and partnership momentum. These positives are tempered by a very expensive valuation (high P/E) and largely neutral-to-soft technical signals (negative MACD and mixed moving-average positioning).
Positive Factors
Revenue Growth
The consistent revenue and OIBDA growth highlight the company's strong market position and effective monetization strategies, supporting long-term financial health.
Strategic Partnerships
The partnership with Apple enhances market penetration and brand visibility in the U.S., potentially driving future revenue growth and competitive advantage.
Cash Flow Strength
Strong cash flow generation supports operational flexibility and investment capacity, crucial for sustaining growth and managing financial obligations.
Negative Factors
Inconsistent Profitability
Inconsistent profitability raises concerns about earnings stability, which can affect investor confidence and the company's ability to fund growth initiatives.
Increased Costs
Rising costs could pressure margins and limit profitability, necessitating careful cost management to maintain financial performance.
Hospitality Capacity Constraints
Capacity constraints in hospitality could limit revenue opportunities and require significant investment, impacting short-term cash flow and profitability.
Liberty Media Liberty Formula One (FWONB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$29.13B
Dividend YieldN/A
Average Volume (3M)10.00
Price to Earnings (P/E)128.7
Beta (1Y)0.20
Revenue Growth9.81%
EPS Growth-42.40%
CountryUS
Employees1,184
SectorCommunication Services
Sector Strength97
IndustryEntertainment
Share Statistics
EPS (TTM)0.05
Shares Outstanding2,428,597
10 Day Avg. Volume20
30 Day Avg. Volume10
Financial Highlights & Ratios
PEG Ratio5.84
Price to Book (P/B)2.73
Price to Sales (P/S)5.52
P/FCF Ratio41.00
Enterprise Value/Market Cap0.82
Enterprise Value/Revenue5.89
Enterprise Value/Gross Profit17.89
Enterprise Value/Ebitda42.99
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Liberty Media Liberty Formula One Business Overview & Revenue Model
Company DescriptionFormula 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 MoneyLiberty Formula One generates revenue through several key streams. The primary source is the sale of broadcasting rights to television networks and streaming platforms, which allows them to air Formula 1 races globally. Sponsorship and advertising deals with major brands also contribute significantly to revenue, given the sport's high-profile viewership. Additionally, the company earns from hosting fees paid by countries and cities hosting Grand Prix events, as well as merchandising and licensing fees for Formula 1 products and branding. Partnerships with automotive and technology companies further enhance its revenue potential, leveraging the sport's global reach and appeal.
Liberty Media Liberty Formula One Earnings Call Summary
Earnings Call Date:Nov 05, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:Feb 26, 2026
Earnings Call Sentiment Positive
The earnings call highlighted strong financial and operational performance by Liberty Media, particularly through its Formula One segment, with significant revenue and OIBDA growth despite fewer races. The company continues to expand its media and sponsorship deals, notably with a new partnership with Apple in the U.S. However, the call also noted increased costs affecting MotoGP's OIBDA and challenges regarding hospitality capacity, which the company plans to address. Overall, the highlights outweigh the lowlights, indicating positive momentum for Liberty Media.Q3-2025 Updates
Positive Updates
Strong Revenue and OIBDA Growth Despite Fewer Races
Formula One's revenue increased by 9% and adjusted OIBDA by 15% year-to-date, despite having one fewer race compared to the prior year.
Expansion of Media and Sponsorship Deals
F1 renewed its global partnership with Heineken and signed a landmark distribution partnership with Apple in the U.S., which is expected to enhance growth in the U.S. market.
Strong Fan Engagement and Attendance
F1 reported a 4% increase in fan attendance and notable increases in female and under-35 attendees, with strong social media engagement.
Successful Debt Refinancing
MotoGP's debt was refinanced, resulting in future margin reductions as the business deleverages, reducing interest expenses and extending maturities.
Negative Updates
Increased Costs Affecting MotoGP's OIBDA
MotoGP's adjusted OIBDA declined year-to-date due to higher costs from race mix and increased SG&A expenses, despite revenue growth.
Challenges in Hospitality Capacity
F1's hospitality capacity is limited, indicating a need for investment to increase capacity in some markets to meet demand.
Company Guidance
During Liberty Media Corporation's 2025 Third Quarter Earnings Call, the company provided guidance indicating continued strategic investments and operational achievements. Liberty announced the planned split-off of Liberty Live, expected to be completed by December 15, aiming to enhance the trading dynamics of their asset-backed equity. Formula One (F1) reported robust financial results, with year-to-date revenue up 9% and adjusted OIBDA up 15%, despite one fewer race. F1 has renewed major partnerships, such as a multi-year deal with Heineken, and signed a landmark distribution agreement with Apple in the U.S. MotoGP, acquired in July, reflected increased costs due to strategic investments aimed at growth, with adjusted OIBDA performance impacted by these expenses. Liberty Media plans to continue leveraging opportunities across sponsorship, media rights, and licensing to drive future growth.Liberty Media Liberty Formula One Financial Statement Overview
Summary
Strong TTM cash generation (operating cash flow and free cash flow strength) supports earnings quality, and operating profitability is solid. Offsetting this are inconsistent net profitability and historical volatility (including prior losses and periods of negative equity), which cap the score.Income Statement
TTM (Trailing-Twelve-Months) shows solid operating profitability with healthy gross and EBITDA margins and modest revenue growth. However, the net profit picture is less consistent across periods (including prior-year losses and a negative net margin reported in the TTM data despite positive net income), which raises questions around earnings stability and below-the-line volatility.62
Positive
Balance Sheet
Leverage appears manageable in TTM with debt well below equity and a large asset base, suggesting improved capitalization versus prior years. That said, earlier annual periods show negative equity and highly distorted leverage/return measures, pointing to historical balance-sheet volatility and a less stable capital structure over time.54
Neutral
Cash Flow
TTM (Trailing-Twelve-Months) cash generation is a clear strength: operating cash flow and free cash flow are strong and free cash flow is growing, with cash flow meaningfully exceeding net income—supporting earnings quality. The main weakness is that earlier annual periods showed negative operating/free cash flow, indicating the business has had uneven cash conversion historically.77
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 4.04B | 3.65B | 3.22B | 2.57B | 2.14B | 1.15B |
| Gross Profit | 1.33B | 1.17B | 982.00M | 823.00M | 647.00M | 171.00M |
| EBITDA | 553.00M | 577.00M | 666.00M | 535.00M | 437.00M | -119.00M |
| Net Income | 222.00M | -30.00M | 185.00M | 558.00M | -190.00M | -596.00M |
Balance Sheet | ||||||
| Total Assets | 16.36B | 11.76B | 10.27B | 11.02B | 11.66B | 11.19B |
| Cash, Cash Equivalents and Short-Term Investments | 1.29B | 2.63B | 1.41B | 1.73B | 2.07B | 1.68B |
| Total Debt | 5.16B | 2.99B | 2.91B | 2.95B | 3.63B | 3.76B |
| Total Liabilities | 7.74B | 4.37B | 3.85B | 4.08B | 4.72B | 4.64B |
| Stockholders Equity | 7.93B | 7.39B | 6.42B | 6.91B | 6.34B | 6.55B |
Cash Flow | ||||||
| Free Cash Flow | 1.25B | 492.00M | 193.00M | 243.00M | 464.00M | -160.00M |
| Operating Cash Flow | 1.30B | 567.00M | 619.00M | 534.00M | 481.00M | -139.00M |
| Investing Cash Flow | -3.14B | -292.00M | -510.00M | 394.00M | -600.00M | 75.00M |
| Financing Cash Flow | 1.00B | 965.00M | -435.00M | -1.27B | 512.00M | 1.16B |
Liberty Media Liberty Formula One Technical Analysis
Negative
88.68
Price Trends
86.47
Negative
90.04
Negative
89.96
Negative
Market Momentum
-1.67
Positive
36.11
Neutral
21.09
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FWONB, the sentiment is Negative. The current price of 88.68 is above the 20-day moving average (MA) of 84.13, above the 50-day MA of 86.47, and below the 200-day MA of 89.96, indicating a bearish trend. The MACD of -1.67 indicates Positive momentum. The RSI at 36.11 is Neutral, neither overbought nor oversold. The STOCH value of 21.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FWONB.
Liberty Media Liberty Formula One Risk Analysis
Liberty Media Liberty Formula One disclosed 106 risk factors in its most recent earnings report. Liberty Media Liberty Formula One reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Liberty Media Liberty Formula One Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $39.52B | 80.95 | 5.82% | 1.07% | 56.31% | ― | |
69 Neutral | $33.77B | 105.07 | 79.63% | ― | 5.39% | 36.94% | |
68 Neutral | $29.13B | 126.31 | 2.25% | ― | 9.81% | -42.40% | |
68 Neutral | $68.26B | 146.70 | 1.36% | ― | -4.29% | ― | |
66 Neutral | $29.13B | 136.76 | 2.25% | ― | 9.81% | -42.40% | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
60 Neutral | $29.13B | 128.69 | 3.79% | ― | 9.81% | -42.40% |
* Communication Services Sector Average
FWONB
Liberty Media Liberty Formula One
80.46
-8.73
-9.78%
FWONA
Liberty Media Liberty Formula One
78.97
-9.31
-10.55%
LYV
Live Nation Entertainment
143.94
-1.90
-1.30%
TKO
TKO Group Holdings
200.52
45.43
29.29%
FWONK
Liberty Media Liberty Formula One
85.50
-10.20
-10.66%
WBD
Warner Bros
27.52
17.36
170.87%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.