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1. Company Snapshot

1.a. Company Description

The Arena Group Holdings, Inc., together with its subsidiaries, operates digital media platform the United States and internationally.The company offers the Platform, a proprietary online publishing platform comprising publishing tools, video platforms, social distribution channels, newsletter technology, machine learning content recommendations, notifications, and other technology.The company was formerly known as TheMaven, Inc.


and changed its name to The Arena Group Holdings, Inc.in February 2022.The Arena Group Holdings, Inc.


was incorporated in 1990 and is based in New York, New York.

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1.b. Last Insights on AREN

The Arena Group Holdings' recent performance was negatively driven by the termination of CEO Sara Silverstein and the subsequent transition to Interim CEO Paul Edmondson, which may have created uncertainty and disrupted the company's operations. Additionally, the company's focus on transforming its business and executing a new growth plan may indicate challenges in its existing business model. The Arena Group's efforts to revamp its portfolio through the relaunch of Autoblog and Men's Fitness may also be a double-edged sword, as these initiatives may distract from the company's core business and require significant investments. Furthermore, the company's decision to list two international funds through Thornburg Investment Management may not have a significant impact on its current performance.

1.c. Company Highlights

2. The Arena Group's Q3 2025 Earnings: A Resilient Performance

The Arena Group reported a revenue of $29.8 million for Q3 2025, down from $33.6 million in the same quarter last year, but still managed to achieve a net income of $6.9 million, up from $4.0 million a year ago. The adjusted EBITDA increased to $11.9 million compared to $11.2 million last year. Earnings per share (EPS) came in at $0.14, beating estimates of $0.13. Gross margins remained healthy, above 50%, despite traffic volatility, reflecting the scalability and resilience of the company's entrepreneurial publishing model and variable cost structure.

Publication Date: Nov -23

📋 Highlights
  • Profitability Growth: Net income rose to $6.9M (+72.5%) and adjusted EBITDA reached $11.9M (+6.3%) despite 11.3% revenue decline to $29.8M YoY.
  • Margins Expansion: Net margin improved to 23.2% (vs. 11.9% prior) and EBITDA margin to 39.9% (vs. 33.3%), driven by 50%+ gross margins amid traffic volatility.
  • Strong Liquidity: Generated $12.1M cash from operations, reduced total debt by >$10M, and maintained $12.5M cash balance with leverage under 2x (Net debt <$100M, TTM EBITDA >$50M).
  • Strategic M&A Execution: Acquired ShopHQ and Lindy’s Sports for $2M total, expanding e-commerce and sports portfolios while maintaining asset-light operations with variable costs.

Operational Highlights

The company faced significant headwinds due to algorithmic changes in the industry but quickly executed a structured plan to optimize content signals, site experience, and technical SEO, resulting in the stabilization of traffic across its verticals and a significant recovery for its e-commerce-related content. The acquisition of ShopHQ and Lindy's Sports digital assets expanded the company's e-commerce and sports portfolios, deepened its brand ecosystem, and added new monetization opportunities.

Cash Flow and Balance Sheet

The Arena Group generated $12.1 million of cash from operations during Q3 2025 and reduced its total debt by more than $10 million year-to-date, amassing a cash balance of $12.5 million. With trailing 12-month EBITDA above $50 million, net debt below $100 million, and leverage under 2x, the company's balance sheet is solid, and its capital structure is flexible.

Valuation

With a P/E Ratio of 1.5, P/S Ratio of 1.33, and EV/EBITDA of 6.38, the company's valuation appears reasonable. Analysts estimate revenue growth at 13.8% for next year, indicating potential for future growth. The company's ROIC of 39.7% suggests efficient use of capital.

Growth Drivers

The Arena Group is focused on delivering cash and profits, with a disciplined approach to capital allocation. The company's growth drivers include adding entrepreneurial publishing to new areas, growing in areas where it has just started, and converting existing traffic into e-commerce buyers. The acquisition of ShopHQ is expected to drive revenue growth, with a margin comparable to the company's news business.

3. NewsRoom

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BIKE Magazine, TransWorld Skateboarding and Snowboarder Return to Print With Limited-Time On-Demand Editions

Dec -03

Source: businesswire.com

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The Spun Releases Inaugural Then & Now Issue, Highlighting Iconic Athletes in Sports History

Nov -21

Source: businesswire.com

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Cast Your Vote: Parade and Steller's Search for America's Favorite Small Town Begins

Nov -19

Source: prnewswire.com

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NiCE: A Strong Contender in the Cloud Computing Arena

Nov -18

Source: fool.com

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The Arena Group Holdings, Inc. (AREN) Q3 2025 Earnings Call Transcript

Nov -14

Source: seekingalpha.com

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The Arena Group Posts Another Profitable Quarter with Net Income of $6.9 million, Up 73% Over Last Year

Nov -13

Source: businesswire.com

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Monumental Sports & Entertainment and Ticketmaster Announce Founding Partnership to Redefine the Fan Experience at MSE's Next-Generation Arena

Nov -05

Source: prnewswire.com

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Trust Stamp hits 100 client milestone, joins Founders Arena accelerator program - ICYMI

Nov -01

Source: proactiveinvestors.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (9.53%)

6. Segments

Digital Advertising

Expected Growth: 13.05%

The Arena Group Holdings, Inc.'s 13.05% growth in Digital Advertising is driven by increasing online presence, rising demand for targeted advertising, and expansion into new markets. Additionally, the company's focus on programmatic advertising, mobile-first strategy, and partnerships with key brands have contributed to this growth.

Print Subscriptions

Expected Growth: 2.5%

The 2.5% growth in Print Subscriptions from The Arena Group Holdings, Inc. is driven by increasing demand for niche sports content, strategic partnerships with sports teams and leagues, and targeted marketing efforts to attract new subscribers. Additionally, the company's focus on premium content and exclusive access to sports personalities has contributed to the growth.

Licensing and Syndication

Expected Growth: 9.9%

The 9.9% growth in Licensing and Syndication from The Arena Group Holdings, Inc. is driven by increasing demand for premium content, strategic partnerships, and expansion into new markets. Additionally, the company's focus on digital transformation, innovative storytelling, and diversified revenue streams have contributed to this growth.

Digital Subscriptions

Expected Growth: 10.47%

The 10.47% growth in Digital Subscriptions from The Arena Group Holdings, Inc. is driven by increasing demand for premium content, strategic partnerships, and targeted marketing efforts. Additionally, the company's focus on niche audiences, user-friendly interfaces, and competitive pricing have contributed to the surge in digital subscriptions.

Print Advertising

Expected Growth: 3.63%

The 3.63% growth in Print Advertising from The Arena Group Holdings, Inc. is driven by increasing demand for targeted advertising, growth in sports and entertainment events, and strategic partnerships with prominent brands. Additionally, the company's focus on digital transformation and expansion into new markets has contributed to the segment's growth.

Other Digital

Expected Growth: 9.9%

The 9.9% growth in Other Digital from The Arena Group Holdings, Inc. is driven by increasing online advertising spend, rising demand for digital content, and strategic partnerships. Additionally, the company's focus on niche audiences and targeted marketing efforts have contributed to this growth, as well as the expansion of its digital offerings into new markets.

7. Detailed Products

Sports Illustrated Media

A leading sports media brand that provides news, analysis, and commentary on sports-related topics through various digital platforms, including websites, mobile apps, and social media.

The Spun

A digital media brand that provides sports news, commentary, and entertainment content to a younger demographic.

Empire Sports Media

A network of sports-focused websites and social media channels that provide news, analysis, and commentary on various sports teams and leagues.

SI Fantasy

A fantasy sports platform that provides news, advice, and tools for fantasy sports players.

SI Studios

A production studio that creates original sports-themed content, including documentaries, podcasts, and video series.

SI Events

A division that produces and manages sports-themed events, including conferences, awards shows, and fan festivals.

8. The Arena Group Holdings, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for The Arena Group Holdings, Inc. is medium due to the presence of alternative media outlets and online platforms that offer similar content and services.

Bargaining Power Of Customers

The bargaining power of customers for The Arena Group Holdings, Inc. is low due to the company's strong brand recognition and diversified revenue streams.

Bargaining Power Of Suppliers

The bargaining power of suppliers for The Arena Group Holdings, Inc. is medium due to the company's dependence on a few key suppliers for content creation and distribution.

Threat Of New Entrants

The threat of new entrants for The Arena Group Holdings, Inc. is high due to the low barriers to entry in the digital media industry and the increasing popularity of online content creation.

Intensity Of Rivalry

The intensity of rivalry for The Arena Group Holdings, Inc. is high due to the highly competitive nature of the digital media industry and the presence of established players.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 182.06%
Debt Cost 5.06%
Equity Weight -82.06%
Equity Cost 5.06%
WACC 5.06%
Leverage -221.86%

11. Quality Control: The Arena Group Holdings, Inc. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
EverQuote

A-Score: 5.6/10

Value: 5.9

Growth: 8.3

Quality: 8.4

Yield: 0.0

Momentum: 7.5

Volatility: 3.3

1-Year Total Return ->

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Stock-Card
Arena Group Holdings

A-Score: 5.0/10

Value: 8.5

Growth: 4.7

Quality: 6.2

Yield: 0.0

Momentum: 10.0

Volatility: 0.3

1-Year Total Return ->

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Stock-Card
Angi

A-Score: 3.9/10

Value: 8.5

Growth: 4.9

Quality: 6.1

Yield: 0.0

Momentum: 1.5

Volatility: 2.7

1-Year Total Return ->

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Stock-Card
Thryv

A-Score: 3.4/10

Value: 7.7

Growth: 1.3

Quality: 7.1

Yield: 0.0

Momentum: 1.0

Volatility: 3.0

1-Year Total Return ->

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Stock-Card
Outbrain

A-Score: 3.3/10

Value: 7.8

Growth: 3.2

Quality: 2.2

Yield: 0.0

Momentum: 1.0

Volatility: 5.7

1-Year Total Return ->

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Stock-Card
TechTarget

A-Score: 2.9/10

Value: 9.2

Growth: 2.1

Quality: 3.6

Yield: 0.0

Momentum: 0.0

Volatility: 2.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

4.45$

Current Price

4.45$

Potential

-0.00%

Expected Cash-Flows