Starz Entertainment Corp (STRZ) AI Stock Analysis

• Market Cap: $180.43M
• Dividend Yield: N/A
• Average Volume (3M): 98.06K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.45
• Revenue Growth: -2.85%
• EPS Growth: 75.96%
• Country: US
• Employees: 1,717
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -2.54
• Shares Outstanding: 16,721,810
• 10 Day Avg. Volume: 75,986
• 30 Day Avg. Volume: 98,058
• PEG Ratio: 0.01
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.14
• P/FCF Ratio: -2.94
• Enterprise Value/Market Cap: 5.08
• Enterprise Value/Revenue: 0.47
• Enterprise Value/Gross Profit: 0.76
• Enterprise Value/Ebitda: 1.13
• 1Y Price Target: $18.00
• Price Target Upside: 63.04% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: $10.50 ▼(-4.89% Downside)

Starz Entertainment Corp's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues and profitability challenges. The technical analysis suggests a bearish trend, and the valuation is unattractive due to a negative P/E ratio. These factors collectively result in a low overall score.

Positive Factors

Strong Gross Profit Margin

A strong gross profit margin indicates operational efficiency, allowing Starz to maintain profitability potential despite revenue challenges.

Content Monetization

Monetizing content internationally diversifies revenue streams and reduces reliance on domestic markets, supporting long-term growth.

Subscription-Based Model

A subscription-based model provides predictable revenue streams and customer retention, enhancing financial stability over time.

Negative Factors

Declining Revenue

Significant revenue decline indicates challenges in market competitiveness and consumer demand, impacting long-term financial health.

High Leverage

High leverage increases financial risk, limiting flexibility and potentially impacting future investment and growth opportunities.

Negative Cash Flow

Negative cash flow indicates difficulty in sustaining operations and investing in growth, posing long-term sustainability challenges.

Starz Entertainment Corp Business Overview & Revenue Model

Company Description

Starz Entertainment Corp (STRZ) is a premium entertainment company that primarily operates in the television and film sectors. It is best known for its high-quality original programming, including popular series and films, which are distributed through various platforms. The company offers subscription-based streaming services, with a focus on delivering compelling content to audiences both domestically and internationally, enhancing its presence in the competitive entertainment landscape.

How the Company Makes Money

Starz generates revenue primarily through its subscription-based model, where customers pay for access to its streaming service and cable channel offerings. The company has multiple key revenue streams including direct-to-consumer subscriptions, licensing agreements with other platforms and networks, and advertising sales from its cable channels. Significant partnerships with major distributors, such as cable operators and streaming platforms like Amazon Prime Video, also contribute to its earnings by expanding its audience reach and providing bundled subscription options. Additionally, Starz monetizes its content through international distribution and syndication deals, which further enhances its revenue potential.

Starz Entertainment Corp Financial Statement Overview

Summary

Starz Entertainment Corp is facing significant financial challenges across all verticals. The income statement shows declining revenue and profitability, while the balance sheet reflects moderate leverage but poor returns on equity. Cash flow issues are evident, with negative growth and inefficiencies in cash generation. The company needs to address these challenges to improve its financial health and stability.

Income Statement

Starz Entertainment Corp has experienced significant revenue decline in the TTM, with a negative revenue growth rate of -37.6%. The company is facing profitability challenges, as indicated by negative net profit and EBIT margins. Despite a positive EBITDA margin, the overall income statement reflects financial instability and declining performance.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.91 in the TTM, indicating manageable leverage. However, the negative return on equity suggests the company is not generating sufficient returns on shareholders' investments. The equity ratio is not provided, but the overall balance sheet indicates a need for improved financial health and stability.

Cash Flow

Cash flow analysis reveals a concerning free cash flow growth rate of -397.2% in the TTM, highlighting cash flow challenges. The operating cash flow to net income ratio is negative, indicating inefficiencies in converting income into cash. Despite a positive free cash flow to net income ratio, the cash flow statement suggests liquidity issues.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.94B	1.37B	1.39B	1.42B	3.60B	3.27B
Gross Profit	1.20B	667.60M	699.80M	706.60M	1.31B	1.40B
EBITDA	811.48M	638.20M	-90.50M	-485.70M	1.73B	1.49B
Net Income	-270.30M	-211.20M	-915.20M	-1.87B	-188.20M	-18.90M
Balance Sheet
Total Assets	1.97B	2.17B	7.09B	7.43B	8.99B	8.31B
Cash, Cash Equivalents and Short-Term Investments	37.00M	17.80M	357.70M	300.00M	384.60M	528.70M
Total Debt	612.50M	1.09B	3.46B	4.25B	4.31B	3.50B
Total Liabilities	1.31B	1.41B	7.28B	6.30B	5.99B	5.29B
Stockholders Equity	663.20M	766.40M	-312.70M	784.50M	2.68B	2.79B
Cash Flow
Free Cash Flow	-157.42M	-63.60M	-152.20M	-472.60M	-920.30M	29.40M
Operating Cash Flow	-136.42M	-46.00M	-131.80M	-438.30M	-725.80M	64.40M
Investing Cash Flow	110.63M	-99.20M	-24.80M	-42.50M	-80.50M	-31.10M
Financing Cash Flow	21.50M	126.00M	132.00M	428.10M	664.30M	173.00M

Starz Entertainment Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IDT	68 Neutral	$1.23B	16.18	27.60%	0.48%	2.13%	18.44%
ZD	62 Neutral	$1.15B	11.82	6.26%	―	5.70%	97.88%
SPHR	61 Neutral	$2.75B	―	-4.46%	―	24.54%	-119.75%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
AMC	45 Neutral	$1.09B	―	―	―	9.74%	12.29%
STRZ	42 Neutral	$180.43M	-9.03	―	―	-2.85%	75.96%
ATUS	40 Underperform	―	―	―	―	-4.19%	-982.67%

Starz Entertainment Corp Corporate Events

Starz Entertainment Corp. Reports Strong Subscriber Growth Amid Q3 Financial Results

Starz Entertainment Corp. announced its financial results for the third quarter of 2025, reporting a consolidated revenue of $320.9 million and an operating loss of $34.8 million. Despite the loss, the company saw a significant increase in U.S. OTT subscribers, with a year-to-date growth of 520,000 and a year-over-year growth of 670,000. Engagement on the STARZ app reached a 12-month high, and management remains optimistic about the company’s outlook for 2025, driven by a strong slate of original content and strategic initiatives post-separation as a standalone public company.

The most recent analyst rating on (STRZ) stock is a Buy with a $39.00 price target. To see the full list of analyst forecasts on Starz Entertainment Corp stock, see the STRZ Stock Forecast page.