Is Liberty Media Corp. overvalued or undervalued?

As of 21 November 2025, the valuation grade for Liberty Media Corp. moved from fair to very expensive, indicating a significant shift in its perceived value. The company appears overvalued, especially when considering its P/E ratio of 1425, which is substantially higher than its peer Live Nation Entertainment, Inc. with a P/E of 34.31, and DraftKings, Inc. which has a P/E of -161.49. Additionally, Liberty Media's EV to EBITDA stands at 54.83, again far exceeding Live Nation's 18.74, suggesting that the market is pricing in excessive growth expectations.
In terms of returns, Liberty Media Corp. has shown a year-to-date return of 0.93%, which lags behind the S&P 500's return of 12.26% during the same period. This underperformance, coupled with its high valuation ratios such as an EV to Sales of 8.97 and ROE of just 0.30%, reinforces the notion that the stock is overvalued relative to its peers and the broader market.