Madison Square Garden Entertainment Corp. (MSGE) AI Stock Analysis

• Market Cap: $2.82B
• Dividend Yield: N/A
• Average Volume (3M): 337.10K
• Price to Earnings (P/E): 55.5
• Beta (1Y): 1.03
• Revenue Growth: 0.68%
• EPS Growth: -80.73%
• Country: US
• Employees: 1,200
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Entertainment
• EPS (TTM): 1.94
• Shares Outstanding: 40,364,952
• 10 Day Avg. Volume: 268,618
• 30 Day Avg. Volume: 337,104
• PEG Ratio: -0.69
• Price to Book (P/B): -144.35
• Price to Sales (P/S): 2.04
• P/FCF Ratio: 20.63
• Enterprise Value/Market Cap: 1.17
• Enterprise Value/Revenue: 3.26
• Enterprise Value/Gross Profit: 7.07
• Enterprise Value/Ebitda: 16.85
• 1Y Price Target: $68.00
• Price Target Upside: 13.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: $65.00 ▲(8.68% Upside)

The score is driven by strong recent operating momentum and cash generation plus improving liquidity (earnings call and technical uptrend), offset most materially by elevated balance-sheet risk from high leverage and thin/historically negative equity. Valuation also detracts due to a high P/E and no dividend support.

Positive Factors

Strong cash generation and rising FCF

Sustained, material free cash flow provides durable internal funding for working capital, modest buybacks and targeted investments in venues/tech. Over 2–6 months this supports liquidity rebuilding and strategic flexibility to reduce leverage or fund high-return projects without external capital.

Robust operating margins

Healthy gross and EBITDA margins reflect venue economics, premium pricing and strong F&B/merchandising per-caps. These structural margins give the business resilience to revenue cyclicality, supporting sustainable operating profitability and cash conversion over the medium term.

Strong bookings, high-profile residencies and sponsorships

Exceptional booking momentum and large residencies create multi-period revenue visibility and high-yield inventory. Combined with multiyear sponsorship deals and premium-hospitality renewals, this strengthens recurring commercial partnerships and predictable high-margin revenue streams.

Negative Factors

Very high leverage and thin / historically negative equity

An unusually strained capital structure limits financial flexibility and raises refinancing and covenant risk. High leverage amplifies earnings volatility into solvency risk, constrains strategic initiatives, and will require sustained cash generation or capital actions to materially improve the balance sheet.

Limited debt coverage from operating cash flow

Despite solid absolute cash generation, low coverage means free cash flow repays debt slowly. This prolongs deleveraging, leaves the firm reliant on seasonal receipts and raises sensitivity to downturns, constraining credit profile improvement and strategic capital deployment over months ahead.

Earnings volatility and modest net margins

Modest net margins and uneven revenue history indicate profit sensitivity to mix, tourism and event timing. This makes forecasting and steady deleveraging harder, and elevates the impact of cost swings (labor, SG&A), reducing predictability of cash available for debt reduction or reinvestment.

Madison Square Garden Entertainment Corp. Business Overview & Revenue Model

Company Description

Madison Square Garden Entertainment Corp. engages in the entertainment business. It produces, presents, or hosts various live entertainment events, including concerts, family shows, and special events, as well as sporting events, such as professional boxing, college basketball and hockey, professional bull riding, mixed martial arts, and esports and wrestling in its venues, including The Garden, Hulu Theater, Radio City Music Hall, and the Beacon Theatre in New York City; and The Chicago Theatre. The company also operates 70 entertainment dining and nightlife venues spanning 20 markets across five continents under the Tao, Marquee, Lavo, Beauty & Essex, Cathédrale, Hakkasan, and Omnia brand names; and creates and operates New England's premier music festival. In addition, it features the Radio City Rockettes, which serves as the star for its Christmas Spectacular at Radio City Music Hall. The company was founded in 2006 and is based in New York, New York.

How the Company Makes Money

Madison Square Garden Entertainment Corp. generates revenue through multiple streams. The primary sources of income include ticket sales from live events, which encompass concerts, sports games, and other performances held at its venues. Additionally, the company earns significant revenue from sponsorships and advertising, leveraging its high-profile venues and events to attract corporate partners. Concessions and merchandise sales during events also contribute to its financial performance. Furthermore, MSGE benefits from its ownership of sports franchises, which includes broadcasting rights and league revenues. Partnerships with media networks and digital platforms enhance its reach and revenue potential, while the company continues to explore opportunities for growth through new events and enhanced customer experiences.

Madison Square Garden Entertainment Corp. Financial Statement Overview

Summary

Operating performance and cash generation are supportive (TTM gross margin ~46%, EBIT margin ~14%, EBITDA margin ~19%; TTM FCF ~$207M up ~47.6%), but the balance sheet is a major constraint with very high leverage (thin equity and historically negative equity; debt-to-equity cited at ~17.8x) and limited debt coverage from operating cash flow (coverage ~0.35).

Income Statement

Profitability has improved materially versus earlier years, with positive earnings in annual 2023–2025 and solid TTM (Trailing-Twelve-Months) operating profitability (about 46% gross margin, ~14% EBIT margin, and ~19% EBITDA margin). Revenue growth is positive in TTM (+5.5%), but the trajectory has been uneven (slight decline in FY2025 vs FY2024). Net margin is modest in TTM (~5%) and well below FY2024 levels, signaling earnings volatility and sensitivity to costs/one-time items.

Balance Sheet

Leverage is the key concern. Total debt remains sizable (TTM: ~$641M), while equity is very thin in TTM (~$36M), resulting in very high debt relative to equity (~17.8x). Prior years show negative equity (FY2023–FY2025), which points to a historically strained capital structure and reduces financial flexibility. Returns on equity are negative in the most recent periods, reinforcing that balance-sheet risk, not revenue scale, is the main constraint.

Cash Flow

Cash generation is a relative strength. TTM (Trailing-Twelve-Months) operating cash flow (~$214M) and free cash flow (~$207M) are strong, with a large TTM free-cash-flow increase (+47.6%). Free cash flow is broadly aligned with reported earnings (TTM free cash flow is ~97% of net income), supporting earnings quality. A weakness is that cash flow provides limited coverage of debt based on the provided metric (TTM operating cash flow coverage ~0.35), implying leverage still requires careful management despite healthy cash generation.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	942.73M	959.26M	851.50M	653.49M	81.81M
Gross Profit	407.09M	412.22M	351.57M	258.70M	5.96M
EBITDA	173.84M	180.02M	202.91M	69.90M	-151.28M
Net Income	37.43M	144.30M	76.60M	-133.34M	-218.61M
Balance Sheet
Total Assets	1.67B	1.55B	1.40B	1.53B	1.70B
Cash, Cash Equivalents and Short-Term Investments	43.02M	33.26M	76.09M	58.10M	317.82M
Total Debt	1.20B	1.07B	902.92M	956.79M	735.92M
Total Liabilities	1.68B	1.58B	1.47B	1.53B	1.20B
Stockholders Equity	-13.30M	-23.16M	-69.47M	-1.48M	495.90M
Cash Flow
Free Cash Flow	93.08M	87.08M	120.51M	79.55M	-158.43M
Operating Cash Flow	115.30M	111.27M	135.69M	95.35M	-148.12M
Investing Cash Flow	-23.69M	-62.37M	30.30M	45.44M	-10.34M
Financing Cash Flow	-81.62M	-99.69M	-144.22M	-396.29M	473.49M

Madison Square Garden Entertainment Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 59.81
• 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 MSGE, the sentiment is Positive. The current price of 59.81 is above the 20-day moving average (MA) of 59.31, above the 50-day MA of 55.02, and above the 200-day MA of 44.05, indicating a bullish trend. The MACD of 1.85 indicates Positive momentum. The RSI at 57.15 is Neutral, neither overbought nor oversold. The STOCH value of 49.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MSGE.

Madison Square Garden Entertainment Corp. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IMAX	76 Outperform	$1.91B	49.57	12.38%	―	9.30%	67.19%
MSGE	65 Neutral	$2.82B	55.50	―	―	0.68%	-80.73%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SPHR	59 Neutral	$3.24B	-30.67	-4.46%	―	24.54%	-119.75%
LION	52 Neutral	$2.57B	-12.81	―	―	97.19%	-21.46%
IQ	51 Neutral	$1.86B	-34.10	-2.91%	―	-10.68%	-127.54%
AMC	44 Neutral	$754.03M	-1.04	―	―	9.74%	12.29%

Madison Square Garden Entertainment Corp. Corporate Events

Madison Square Garden Entertainment Holds Annual Stockholders Meeting

On December 10, 2025, Madison Square Garden Entertainment Corp. held its annual meeting of stockholders, where Class A and Class B stockholders elected directors to the Board and voted on key proposals. The Class A stockholders elected three directors, while the Class B stockholders elected nine directors. Additionally, both classes ratified the appointment of the independent registered public accounting firm for the 2026 fiscal year and approved the compensation of the Company’s named executive officers in an advisory vote.

The most recent analyst rating on (MSGE) stock is a Buy with a $61.00 price target. To see the full list of analyst forecasts on Madison Square Garden Entertainment Corp. stock, see the MSGE Stock Forecast page.

Madison Square Garden Appoints New Senior VP

Madison Square Garden Entertainment Corp. has appointed Alexander Shvartsman as Senior Vice President, Controller & Principal Accounting Officer, effective November 24, 2025. Shvartsman, who previously held similar roles at MSG Sports, will receive an annual base salary of at least $500,000 and be eligible for bonuses and long-term incentives. His employment agreement includes provisions for severance and benefits in case of termination under specific conditions, highlighting the company’s commitment to securing experienced leadership.

The most recent analyst rating on (MSGE) stock is a Hold with a $53.00 price target. To see the full list of analyst forecasts on Madison Square Garden Entertainment Corp. stock, see the MSGE Stock Forecast page.

Madison Square Garden Exec Departure Announced

On November 7, 2025, Madison Square Garden Entertainment Corp. announced the departure of Layth Taki, the Senior Vice President, Controller & Principal Accounting Officer, effective November 14, 2025. His departure is not due to any disagreements over accounting practices or financial disclosures. David J. Collins, the Executive Vice President and Chief Financial Officer, will temporarily assume Taki’s responsibilities until a replacement is found.

The most recent analyst rating on (MSGE) stock is a Hold with a $53.00 price target. To see the full list of analyst forecasts on Madison Square Garden Entertainment Corp. stock, see the MSGE Stock Forecast page.