MADISON SQUARE GARDEN ENTERT (MSGE) Stock Fundamental Analysis
NYSE:MSGE - New York Stock Exchange, Inc. - US5582561032 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to MSGE. MSGE was compared to 71 industry peers in the Entertainment industry. There are concerns on the financial health of MSGE while its profitability can be described as average. MSGE is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year MSGE was profitable.
MSGE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: MSGE reported negative net income in multiple years.
MSGE had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 7.56%, MSGE belongs to the best of the industry, outperforming 88.73% of the companies in the same industry.
MSGE's Return On Equity of 1380.80% is amongst the best of the industry. MSGE outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 9.96%, MSGE belongs to the best of the industry, outperforming 85.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.56% | ||
| ROE | 1380.8% | ||
| ROIC | 9.96% |
ROA(3y)2.01%
ROA(5y)-0.45%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
MSGE's Profit Margin of 13.50% is amongst the best of the industry. MSGE outperforms 88.73% of its industry peers.
MSGE's Operating Margin of 15.55% is amongst the best of the industry. MSGE outperforms 85.92% of its industry peers.
MSGE has a Gross Margin of 42.95%. This is comparable to the rest of the industry: MSGE outperforms 45.07% of its industry peers.
MSGE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.55% | ||
| PM (TTM) | 13.5% | ||
| GM | 42.95% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y80.27%
GM growth 5Y3.57%
2. Health
2.1 Basic Checks
MSGE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for MSGE has been reduced compared to 1 year ago.
Compared to 5 years ago, MSGE has more shares outstanding
MSGE has a better debt/assets ratio than last year.
2.2 Solvency
MSGE has an Altman-Z score of 1.44. This is a bad value and indicates that MSGE is not financially healthy and even has some risk of bankruptcy.
MSGE has a Altman-Z score (1.44) which is comparable to the rest of the industry.
The Debt to FCF ratio of MSGE is 5.06, which is a neutral value as it means it would take MSGE, 5.06 years of fcf income to pay off all of its debts.
MSGE has a Debt to FCF ratio of 5.06. This is in the better half of the industry: MSGE outperforms 64.79% of its industry peers.
MSGE has a Debt/Equity ratio of 60.61. This is a high value indicating a heavy dependency on external financing.
MSGE's Debt to Equity ratio of 60.61 is on the low side compared to the rest of the industry. MSGE is outperformed by 81.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 60.61 | ||
| Debt/FCF | 5.06 | ||
| Altman-Z | 1.44 |
ROIC/WACC1.12
WACC8.92%
2.3 Liquidity
MSGE has a Current Ratio of 0.57. This is a bad value and indicates that MSGE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.57, MSGE is doing worse than 73.24% of the companies in the same industry.
A Quick Ratio of 0.56 indicates that MSGE may have some problems paying its short term obligations.
MSGE has a worse Quick ratio (0.56) than 71.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 124.59% over the past year.
MSGE shows a small growth in Revenue. In the last year, the Revenue has grown by 5.82%.
Measured over the past years, MSGE shows a decrease in Revenue. The Revenue has been decreasing by -1.77% on average per year.
EPS 1Y (TTM)124.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%183.33%
Revenue 1Y (TTM)5.82%
Revenue growth 3Y127.19%
Revenue growth 5Y-1.77%
Sales Q2Q%6.2%
3.2 Future
MSGE is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.22% yearly.
Based on estimates for the next years, MSGE will show a small growth in Revenue. The Revenue will grow by 3.57% on average per year.
EPS Next Y-70.32%
EPS Next 2Y-19.16%
EPS Next 3Y-8.22%
EPS Next 5YN/A
Revenue Next Year-0.16%
Revenue Next 2Y3.02%
Revenue Next 3Y3.57%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
MSGE is valuated correctly with a Price/Earnings ratio of 13.54.
Based on the Price/Earnings ratio, MSGE is valued cheaper than 87.32% of the companies in the same industry.
MSGE's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.25.
MSGE is valuated rather expensively with a Price/Forward Earnings ratio of 18.32.
Compared to the rest of the industry, the Price/Forward Earnings ratio of MSGE indicates a rather cheap valuation: MSGE is cheaper than 80.28% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.15, MSGE is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.54 | ||
| Fwd PE | 18.32 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MSGE indicates a somewhat cheap valuation: MSGE is cheaper than 76.06% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, MSGE is valued cheaper than 80.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.7 | ||
| EV/EBITDA | 10.89 |
4.3 Compensation for Growth
The decent profitability rating of MSGE may justify a higher PE ratio.
A cheap valuation may be justified as MSGE's earnings are expected to decrease with -8.22% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-19.16%
EPS Next 3Y-8.22%
5. Dividend
5.1 Amount
No dividends for MSGE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
37.11
+0.31 (+0.84%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners99.37%
Inst Owner Change5.64%
Ins Owners3.02%
Ins Owner Change-0.41%
Market Cap1.76B
Analysts82.67
Price Target44.5 (19.91%)
Short Float %4.37%
Short Ratio5.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-34.11%
Min EPS beat(2)-38.19%
Max EPS beat(2)-30.04%
EPS beat(4)2
Avg EPS beat(4)86.48%
Min EPS beat(4)-38.19%
Max EPS beat(4)364.06%
EPS beat(8)4
Avg EPS beat(8)31.72%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)1.13%
Min Revenue beat(2)-0.58%
Max Revenue beat(2)2.85%
Revenue beat(4)2
Avg Revenue beat(4)1.83%
Min Revenue beat(4)-2.49%
Max Revenue beat(4)7.56%
Revenue beat(8)4
Avg Revenue beat(8)0.07%
Revenue beat(12)5
Avg Revenue beat(12)-10.95%
Revenue beat(16)7
Avg Revenue beat(16)4.1%
PT rev (1m)-5.16%
PT rev (3m)-5.16%
EPS NQ rev (1m)-30.32%
EPS NQ rev (3m)-30.32%
EPS NY rev (1m)-17.57%
EPS NY rev (3m)-18.13%
Revenue NQ rev (1m)-10.85%
Revenue NQ rev (3m)-10.84%
Revenue NY rev (1m)-1.05%
Revenue NY rev (3m)-1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.54 | ||
| Fwd PE | 18.32 | ||
| P/S | 1.81 | ||
| P/FCF | 14.7 | ||
| P/OCF | 12.36 | ||
| P/B | 184.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.89 |
EPS(TTM)2.74
EY7.38%
EPS(NY)2.03
Fwd EY5.46%
FCF(TTM)2.52
FCFY6.8%
OCF(TTM)3
OCFY8.09%
SpS20.54
BVpS0.2
TBVpS-2.6
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.56% | ||
| ROE | 1380.8% | ||
| ROCE | 12.61% | ||
| ROIC | 9.96% | ||
| ROICexc | 10.76% | ||
| ROICexgc | 12.22% | ||
| OM | 15.55% | ||
| PM (TTM) | 13.5% | ||
| GM | 42.95% | ||
| FCFM | 12.29% |
ROA(3y)2.01%
ROA(5y)-0.45%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y80.27%
GM growth 5Y3.57%
F-Score8
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 60.61 | ||
| Debt/FCF | 5.06 | ||
| Debt/EBITDA | 2.78 | ||
| Cap/Depr | 40.35% | ||
| Cap/Sales | 2.33% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 68.59% | ||
| Profit Quality | 91.1% | ||
| Current Ratio | 0.57 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 1.44 |
F-Score8
WACC8.92%
ROIC/WACC1.12
Cap/Depr(3y)30.91%
Cap/Depr(5y)28.68%
Cap/Sales(3y)2.24%
Cap/Sales(5y)4.88%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)124.59%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%183.33%
EPS Next Y-70.32%
EPS Next 2Y-19.16%
EPS Next 3Y-8.22%
EPS Next 5YN/A
Revenue 1Y (TTM)5.82%
Revenue growth 3Y127.19%
Revenue growth 5Y-1.77%
Sales Q2Q%6.2%
Revenue Next Year-0.16%
Revenue Next 2Y3.02%
Revenue Next 3Y3.57%
Revenue Next 5YN/A
EBIT growth 1Y32.73%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year70.81%
EBIT Next 3Y26.33%
EBIT Next 5YN/A
FCF growth 1Y-20.17%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-14.86%
OCF growth 3YN/A
OCF growth 5Y3.94%