(MSGS) Madison Square Garden Sports - Overview
Sector: Communication Services | Industry: Entertainment | Exchange: NYSE (USA) | Market Cap: 8.520m USD | Total Return: 97% in 12m
Avg Turnover: 87.6M
Qual. Beats: -1
Rev. Trend: 86.5%
Qual. Beats: 0
Warnings
Negative Equity with losses - insolvent profile
Interest Coverage Ratio -0.4 is critical
Altman Z'' -1.97 < 1.0 - financial distress zone
Tailwinds
Supp Ema20, Rs Leader, Idiosyncratic Leader, Tailwind
Madison Square Garden Sports Corp. (NYSE: MSGS) is a pure-play professional sports company that owns and operates the New York Knicks (NBA) and the New York Rangers (NHL). The firm’s portfolio extends to developmental franchises, including the Westchester Knicks and the Hartford Wolf Pack, alongside its dedicated training facility in Greenburgh, New York.
The business model relies heavily on contractual revenue streams, including national and local media rights, which provide high-margin cash flow regardless of team performance. In the professional sports sector, asset values are often driven by the scarcity of major market franchises and the increasing demand for live content in the streaming era.
Investors can evaluate the underlying valuation of these sports franchises by exploring the data available on ValueRay. Since its incorporation in 2015, the company has transitioned from a broader entertainment conglomerate to a focused sports entity, capturing the appreciation of its core New York-based athletic assets.
- NBA and NHL national media rights negotiations drive long-term valuation growth
- Knicks and Rangers playoff advancement increases high-margin ticket and suite revenue
- Local media rights renewals impact recurring annual distribution and advertising income
- Professional sports franchise valuation multiples dictate underlying net asset value upside
- Player payroll expenses and luxury tax thresholds affect annual operating margins
| Net Income: -22.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -6.34 > 1.0 |
| NWC/Revenue: -31.82% < 20% (prev -28.15%; Δ -3.68% < -1%) |
| CFO/TA 0.04 > 3% & CFO 56.3m > Net Income -22.3m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 0.46 > 1.5 & < 3 |
| Outstanding Shares: last quarter (24.1m) vs 12m ago 0.27% < -2% |
| Gross Margin: 22.88% > 18% (prev 0.33%; Δ 2.25k% > 0.5%) |
| Asset Turnover: 71.61% > 50% (prev 70.62%; Δ 0.98% > 0%) |
| Interest Coverage Ratio: -0.44 > 6 (EBITDA TTM -6.30m / Interest Expense TTM 21.6m) |
| A: -0.23 (Total Current Assets 294.4m - Total Current Liabilities 637.8m) / Total Assets 1.51b |
| B: -0.10 (Retained Earnings -158.2m / Total Assets 1.51b) |
| C: -0.01 (EBIT TTM -9.52m / Avg Total Assets 1.51b) |
| D: -0.09 (Book Value of Equity -158.8m / Total Liabilities 1.80b) |
| Altman-Z'' = -1.97 = D |
| DSRI: 0.92 (Receivables 129.4m/139.2m, Revenue 1.08b/1.06b) |
| GMI: 1.45 (GM 22.88% / 33.06%) |
| AQI: 1.12 (AQ_t 0.29 / AQ_t-1 0.26) |
| SGI: 1.02 (Revenue 1.08b / 1.06b) |
| TATA: -0.05 (NI -22.3m - CFO 56.3m) / TA 1.51b) |
| Beneish M = -2.66 (Cap -4..+1) = A |
As of May 29, 2026, the stock is trading at USD 369.96 with a total of 185,796 shares traded.
Over the past week, the price has changed by +4.76%,
over one month by +11.05%,
over three months by +11.55% and
over the past year by +97.02%.
Madison Square Garden Sports has received a consensus analysts rating of 4.13. Therefore, it is recommended to buy MSGS.
- StrongBuy: 4
- Buy: 1
- Hold: 3
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 385.2 | 4.1% |
P/E Forward = 72.4638
P/S = 7.8958
P/B = 1.57
Revenue TTM = 1.08b USD
EBIT TTM = -9.52m USD
EBITDA TTM = -6.30m USD
Long Term Debt = 242.0m USD (from longTermDebt, last quarter)
Short Term Debt = 73.5m USD (from shortTermDebt, last quarter)
Debt = 2.08b USD (from shortLongTermDebtTotal, last quarter) + Leases 909.3m
Net Debt = 1.97b USD (calculated: Debt 2.08b - CCE 107.0m)
Enterprise Value = 10.5b USD (8.52b + Debt 2.08b - CCE 107.0m)
Interest Coverage Ratio = -0.44 (Ebit TTM -9.52m / Interest Expense TTM 21.6m)
EV/FCF = 192.1x (Enterprise Value 10.5b / FCF TTM 54.6m)
FCF Yield = 0.52% (FCF TTM 54.6m / Enterprise Value 10.5b)
FCF Margin = 5.06% (FCF TTM 54.6m / Revenue TTM 1.08b)
Net Margin = -2.07% (Net Income TTM -22.3m / Revenue TTM 1.08b)
Gross Margin = 22.88% ((Revenue TTM 1.08b - Cost of Revenue TTM 832.2m) / Revenue TTM)
Gross Margin QoQ = 17.79% (prev 22.62%)
Tobins Q-Ratio = 6.95 (Enterprise Value 10.5b / Total Assets 1.51b)
Interest Expense / Debt = 1.04% (Interest Expense 21.6m / Debt 2.08b)
Taxrate = 21.0% (US default 21%)
NOPAT = -7.52m (EBIT -9.52m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 0.46 (Total Current Assets 294.4m / Total Current Liabilities 637.8m)
Debt / Equity = -7.03 (negative equity) (Debt 2.08b / totalStockholderEquity, last quarter -295.4m)
Debt / EBITDA = -312.6 (out of range, set to none) (Net Debt 1.97b / EBITDA -6.30m)
Debt / FCF = 36.09 (Net Debt 1.97b / FCF TTM 54.6m)
Total Stockholder Equity = -288.3m (last 4 quarters mean from totalStockholderEquity)
RoA = -1.48% (Net Income -22.3m / Total Assets 1.51b)
RoE = 17.15% (negative equity) (Net Income TTM -22.3m / Total Stockholder Equity -130.1m)
RoCE = -8.51% (EBIT -9.52m / Capital Employed (Equity -130.1m + L.T.Debt 242.0m))
RoIC = -0.84% (negative operating profit) (NOPAT -7.52m / Invested Capital 894.1m)
WACC = 6.34% (E(8.52b)/V(10.6b) * Re(7.69%) + D(2.08b)/V(10.6b) * Rd(1.04%) * (1-Tc(0.21)))
Discount Rate = 7.69% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 42.22 | Cagr: 0.15%
[DCF] Terminal Value 73.10% ; FCFF base≈92.7m ; Y1≈81.3m ; Y5≈65.7m
[DCF] Fair Price = N/A (negative equity: EV 1.05b - Net Debt 1.97b = -915.8m; debt exceeds intrinsic value)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -1.29 | # QB: -1
Revenue Correlation: 86.53 | Revenue CAGR: 7.89% | SUE: 0.12 | # QB: 0
EPS next Quarter (2026-09-30): EPS=-0.87 | Chg30d=-4.82% | Revisions=-20% | Analysts=2
EPS current Year (2026-06-30): EPS=-0.54 | Chg30d=-65.78% | Revisions=-33% | GrowthEPS=+42.1% | GrowthRev=+3.1%
EPS next Year (2027-06-30): EPS=-0.58 | Chg30d=-338.87% | Revisions=-33% | GrowthEPS=-7.9% | GrowthRev=-2.0%
[Analyst] Revisions Ratio: -33%