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Madison Square Garden Entertainment Corp. (MSGE)
NYSE:MSGE
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Madison Square Garden Entertainment Corp.
(NYSE:MSGE)
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Select Model
Rating:50Neutral
Price Target:
$38.00
▼(-16.10% Downside)
Madison Square Garden Entertainment Corp. has a moderate overall stock score of 50. The most significant factor is the company's financial performance, which is challenged by declining revenue growth and negative equity. Technical analysis suggests a neutral to slightly bearish trend, while valuation indicates the stock is relatively expensive. The earnings call provided some positive strategic insights but also highlighted revenue challenges.
Positive Factors
Revenue Diversification
A diversified revenue stream reduces dependency on any single source, enhancing financial stability and resilience against market fluctuations.
Strategic Partnerships
Strong partnerships with major brands enhance MSGE's market reach and brand value, supporting long-term growth through increased sponsorship revenue.
Operational Flexibility
Refinancing efforts improve financial stability and provide flexibility for strategic investments, supporting sustainable growth and operational efficiency.
Negative Factors
Declining Revenue Growth
A decline in revenue growth indicates challenges in expanding market presence and could impact long-term profitability and shareholder value.
Negative Equity
Negative equity suggests financial instability, limiting the company's ability to raise capital and invest in growth opportunities, posing long-term risks.
Decreased Concert Events
A reduction in concert events can lead to lower venue utilization and revenue, affecting the company's core business model and financial performance.
Madison Square Garden Entertainment Corp. (MSGE) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$2.15B
Dividend YieldN/A
Average Volume (3M)386.51K
Price to Earnings (P/E)59.9
Beta (1Y)1.08
Revenue Growth-1.72%
EPS Growth-75.17%
CountryUS
Employees1,200
SectorConsumer Cyclical
Sector Strength84
IndustryEntertainment
Share Statistics
EPS (TTM)-0.57
Shares Outstanding40,593,105
10 Day Avg. Volume407,120
30 Day Avg. Volume386,514
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.42
Enterprise Value/Revenue3.25
Enterprise Value/Gross Profit7.81
Enterprise Value/Ebitda17.60
Forecast
1Y Price Target
$45.50Price Target Upside0.46% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
Madison Square Garden Entertainment Corp. Business Overview & Revenue Model
Company DescriptionMadison Square Garden Entertainment Corp. (MSGE) is a premier live entertainment and sports company based in New York City. The company operates several iconic venues, including Madison Square Garden, Radio City Music Hall, and the Beacon Theatre. MSGE is involved in the promotion and production of live events, including concerts, sports events, and other entertainment experiences. The company also owns and operates professional sports teams, such as the New York Knicks (NBA) and the New York Rangers (NHL), and has a diverse portfolio that includes ticket sales, sponsorships, and media rights.
How the Company Makes MoneyMadison Square Garden Entertainment Corp. generates revenue from multiple streams, primarily through ticket sales for live events, which constitute a significant portion of its income. Additionally, MSGE earns money through sponsorship and advertising partnerships, leveraging its high-profile venues and events to attract brands seeking exposure to large audiences. The company also generates revenue from its sports franchises, which includes merchandise sales and broadcasting rights. Furthermore, MSGE benefits from premium seating and hospitality services, which offer exclusive experiences to fans. Strategic partnerships with media companies enhance MSGE's revenue through broadcasting deals and content creation, contributing to the overall financial performance of the organization.
Madison Square Garden Entertainment Corp. Earnings Call Summary
Earnings Call Date:Aug 13, 2025
(Q4-2025)
| % Change Since: |
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with strong full-year results and strategic achievements in sponsorships and the Christmas Spectacular, but faced challenges with a drop in fourth quarter revenues and a decrease in concert events at the Garden.Q4-2025 Updates
Positive Updates
Strong Full Year Financial Performance
Full year revenues reached $942.7 million, with adjusted operating income of $222.5 million, marking a 5% increase year-over-year.
Record Breaking Christmas Spectacular
The Christmas Spectacular sold approximately 1.1 million tickets and generated over $170 million in revenue, setting a new record for the production's 91st season.
Successful Sponsorship and Partnership Efforts
Welcomed new partners including Lenovo, Motorola, and the Department of Culture and Tourism Abu Dhabi, with renewals from Verizon and Pepsi.
Share Repurchase Program
Repurchased approximately $40 million of Class A common stock, with $70 million remaining under current authorization.
Negative Updates
Decreased Fourth Quarter Revenues
Fourth quarter revenues dropped by 17% compared to the prior year, mainly due to fewer concerts and events at the Garden.
Decrease in Garden Concerts
Year-over-year decrease in the number of concerts at the Garden, impacted by the end of Billy Joel's residency.
Fourth Quarter Operating Loss
Adjusted operating income decreased by $14.4 million to a loss of $1.3 million, due to lower revenues and higher SG&A expenses.
Company Guidance
During the Madison Square Garden Entertainment Corp.'s fiscal 2025 fourth-quarter earnings call, the company provided guidance for fiscal 2026, highlighting several key metrics. The company reported full-year revenues of $942.7 million and an adjusted operating income (AOI) of $222.5 million, marking a 5% year-over-year increase. MSG Entertainment hosted nearly 6 million guests at over 975 live events in fiscal 2025 and aims to increase the number of events in fiscal 2026, with a particular focus on concerts, special events, and sports. The Christmas Spectacular production set a record with over $170 million in revenue from 200 performances and plans to increase to 211 shows for the 2025 holiday season. The fiscal fourth quarter saw revenues of $154.1 million, a 17% decrease from the previous year, primarily due to fewer concerts at the Garden. However, there was an increase in food and beverage per capita spending at concerts at the Garden. MSG Entertainment also highlighted plans to enhance its premium hospitality business and leverage marketing partnerships to drive growth. The company anticipates modest AOI margin expansion despite higher SG&A expenses, with a continued focus on capital returns, including $70 million remaining under the current share repurchase authorization.Madison Square Garden Entertainment Corp. Financial Statement Overview
Summary
Madison Square Garden Entertainment Corp. faces significant financial challenges, with declining revenue growth and negative equity. While cash flow generation remains relatively strong, the high leverage and negative equity position pose substantial risks. The company needs to address these financial weaknesses to improve its overall financial health.Income Statement
The company has experienced a decline in revenue growth, with a negative growth rate of -2.81% in the most recent year. Gross profit margin and net profit margin have also decreased over time, indicating challenges in maintaining profitability. However, the company has shown some ability to generate EBIT and EBITDA, though margins have been inconsistent.45
Neutral
Balance Sheet
The balance sheet reveals a concerning negative stockholders' equity, leading to an undefined debt-to-equity ratio. This indicates potential financial instability and high leverage. The return on equity is also negative, reflecting challenges in generating returns for shareholders.30
Negative
Cash Flow
Cash flow analysis shows a slight decline in free cash flow growth, but the company maintains a positive operating cash flow. The free cash flow to net income ratio is strong at 1.0, indicating efficient cash generation relative to net income.55
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 942.73M | 942.73M | 959.26M | 851.50M | 653.49M | 81.81M |
| Gross Profit | 391.66M | 349.32M | 336.55M | 351.57M | 233.68M | -14.42M |
| EBITDA | 173.84M | 173.84M | 164.12M | 202.91M | -1.91M | -103.19M |
| Net Income | 37.43M | 37.43M | 144.30M | 76.60M | -133.34M | -219.31M |
Balance Sheet | ||||||
| Total Assets | 4.20B | 1.67B | 1.55B | 1.40B | 1.53B | 1.70B |
| Cash, Cash Equivalents and Short-Term Investments | 368.93M | 43.54M | 33.26M | 76.09M | 58.10M | 317.82M |
| Total Debt | 188.08M | 632.05M | 1.07B | 902.92M | 956.79M | 735.92M |
| Total Liabilities | 1.89B | 1.68B | 1.58B | 1.47B | 1.53B | 1.20B |
| Stockholders Equity | 2.31B | -13.30M | -23.16M | -69.47M | -1.48M | 495.90M |
Cash Flow | ||||||
| Free Cash Flow | 17.60M | 115.30M | 87.08M | 120.51M | 79.55M | -158.43M |
| Operating Cash Flow | 32.79M | 115.30M | 111.27M | 135.69M | 95.35M | -148.12M |
| Investing Cash Flow | 159.00K | -23.69M | -62.37M | 30.30M | 45.44M | -10.34M |
| Financing Cash Flow | -158.61M | -81.62M | -99.69M | -144.22M | -396.29M | 473.49M |
Madison Square Garden Entertainment Corp. Technical Analysis
Positive
45.29
Price Trends
40.57
Positive
39.36
Positive
36.67
Positive
Market Momentum
1.57
Negative
64.97
Neutral
54.98
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 45.29 is above the 20-day moving average (MA) of 43.41, above the 50-day MA of 40.57, and above the 200-day MA of 36.67, indicating a bullish trend. The MACD of 1.57 indicates Negative momentum. The RSI at 64.97 is Neutral, neither overbought nor oversold. The STOCH value of 54.98 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. Risk Analysis
Madison Square Garden Entertainment Corp. disclosed 40 risk factors in its most recent earnings report. Madison Square Garden Entertainment Corp. 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
Madison Square Garden Entertainment Corp. Peers Comparison
Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | 1.75B | 54.31 | 10.23% | ― | 1.25% | 55.54% | |
68 Neutral | 2.53B | 205.47 | 5.72% | ― | -10.86% | -94.68% | |
65 Neutral | 2.12B | -38.60 | -6.97% | ― | 25.25% | -106.76% | |
50 Neutral | $2.15B | 59.89 | 1222.83% | ― | -1.72% | -75.17% | |
46 Neutral | 1.48B | -3.25 | 21.04% | ― | 9.42% | 39.83% | |
41 Neutral | 2.03B | -10.03 | ― | ― | 432.48% | -930.72% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
* Consumer Cyclical Sector Average
Performance Comparison
MSGE
Madison Square Garden Entertainment Corp.
45.29
2.76
6.49%
IMAX
IMAX
32.60
12.09
58.95%
AMC
AMC Entertainment
2.89
-1.66
-36.48%
IQ
Iqiyi
2.63
-0.23
-8.04%
SPHR
Sphere Entertainment
58.98
14.80
33.50%
LION
Lionsgate Studios
7.00
-0.22
-3.05%
Madison Square Garden Entertainment Corp. Corporate Events
Private Placements and FinancingBusiness Operations and Strategy
Madison Square Garden Entertainment Refinances Credit Agreement
Neutral
Jun 30, 2025
On June 27, 2025, MSG National Properties, a subsidiary of Madison Square Garden Entertainment Corp., entered into an amendment to its credit agreement, resulting in the refinancing of its term loans and revolving credit commitments. The new credit facilities, totaling $759,375,000, include financial covenants and are secured by certain assets, excluding interests in The Madison Square Garden Arena and other key properties. This strategic financial restructuring aims to optimize the company’s debt management and operational flexibility, potentially impacting its financial stability and stakeholder interests.
Shareholder MeetingsBusiness Operations and Strategy
Madison Square Garden Approves Redomestication to Nevada
Neutral
Jun 10, 2025
On June 9, 2025, Madison Square Garden Entertainment Corp. held a Special Meeting where stockholders voted on a proposal to redomesticate the company from Delaware to Nevada. The proposal was approved by both Class A and Class B stockholders, with a significant majority voting in favor of the move.
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.